Wheat closes at highest level in 9 years threatening more food inflation 

Thresher harvesting wheat (Getty)
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Updated 02 November 2021
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Wheat closes at highest level in 9 years threatening more food inflation 

RIYADH: Benchmark wheat in Chicago climbed above $8 a bushel for the first time in almost nine years amid increasing pressures threatening to raise food prices all over the world, Bloomberg reported.

This comes as importers boosted purchases amid adverse weather conditions and soaring fertilizer prices that risk denting next year’s harvests.

Other grain-related futures also rose in the US and Europe, with Paris milled wheat futures nearing all-time highs, and Minneapolis spring wheat prices at their highest since April 2008.

Saudi Arabia’s state buyer booked 1.3 million tons of wheat in a tender this past weekend, almost double the amount expected, while top importer Egypt bought 180,000 tons of Russian wheat less than a week after its largest purchase of the season.

The latest United Nations figures show food prices at a decade-high amid harvest setbacks and supply-chain disruptions. Wheat is on its longest streak of monthly gains since 2007, Bloomberg said.

Some farmers are now contending with dry soil at planting time, as well as a run up in fertilizer prices. The world’s largest phosphate producer, Mosaic Co., said it expects fertilizer prices to continue surging.


Existing world order would only disappear through a ‘major war,’ says Aboul Gheit

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Existing world order would only disappear through a ‘major war,’ says Aboul Gheit

  • Arab League secretary-general calls on member states to preserve it through ‘positive work’
  • Aboul Gheit tells WGS that Arab League has so far been successful in maintaining its ‘cohesion and its role on the international stage’ despite tough challenges

DUBAI: The Arab League’s secretary-general warned Tuesday that despite significant developments in the international arena, these “do not change the existing international world order’s essence,” which would only disappear through “a major war.”

Ahmed Aboul Gheit stressed the need to preserve the League through positive action, given the external forces seeking to dismantle the Arab system and replace it with either a regional one entirely subject to international influence or one controlled by non-Arab regional powers.

“I would like to call on all AL’s member states to preserve the League, through the biggest form of positive work,” he told a crowded hall during his address at the World Government Summit in Dubai.

Aboul Gheit stated that the Arab League has so far been successful in maintaining its “cohesion and its role on the international stage,” despite the challenges it has faced since 2011.

Addressing a session moderated by Imad Eldin Adeeb, political analyst at Sky News Arabia, the AL’s secretary-general said, “I will return the League to the Arab states intact, unbroken, and which is in itself a great success,” noting that the League has continued to be active and represented on the world stage in various forums, despite multifaceted regional and international circumstances.

He emphasized that preserving the Arab League is a “strategic necessity for protecting Arab interests” and safeguarding independent Arab decision-making amid the rapidly changing international landscape.

On Gaza, he explained that the Arab League had exerted considerable efforts and fully exercised its role in relation to the actions and decisions of Arab states.

“If I were to convene a closed meeting with Arab leaders to offer advice regarding the remaining days of Trump’s presidency, I would advise action and engagement that preserves sovereignty and dignity. This means engaging where we can and postponing and maneuvering where we cannot accept,” said Aboul Gheit.

Speaking on the League’s role in ongoing conflicts in the Arab world, Adeeb asked: “Where is the Arab League’s role? I haven’t seen, for example, the League intervene and play a mediating role. I haven’t seen the League attempt to take a position related to inter-Arab conflicts. I haven’t seen the League try to stop the ongoing bloodshed in Arab conflicts.”

Aboul-Gheit replied that the League addresses all these “conflicts and wounds” through periodic meetings of foreign ministers or summits, issuing resolutions that are always agreed upon after the necessary deliberation.

The real problem, he said, lies in the will of the countries involved in the conflict.

“The Arab League is always constrained in this regard. In other words, any government in a country facing a crisis always rejects direct mediation and has its own perspective. Therefore, given the current circumstances, with foreign interventions, internal situations, and relations between Arab states, it is always preferable for us (the Arab League) to leave the lead to the United Nations — that is, for it to take the initiative while the League operates within that framework,” the secretary-general emphasized.