Egypt’s state grain buyer the General Authority for Supply Commodities said on Tuesday it had bought 770,000 tonnes of wheat, mostly Russian, in an international tender, its biggest single purchase since 2022 after Russian wheat prices fell.
The authority, which is the state buyer of grains in Egypt, said the purchases included 50,000 tons of Bulgarian wheat, in addition to 720,000 tons of Russian wheat.
The Russian wheat price was the lowest in practice, and traders believe that Russia’s unofficial minimum export price was not being enforced. The minimum price has been in place since last year in an attempt to slow Russian wheat exports and cool domestic flour and bread prices.
Reuters data showed that the purchase is believed to be the largest by the General Authority for Supply Commodities in a single exercise since June 2022.
Two sources told Reuters that Hossam Al-Jarrahi, the deputy head of the authority, met with Russian officials last month to urge a review of the minimum price to allow for further negotiations on it.
Egypt, often the world’s largest wheat importer, relies heavily on competitive Russian wheat imports. The General Authority for Supply Commodities has bought wheat from cheaper origins in the past two months.
“The Russian government’s decision to end the minimum price seems to have been a welcome move during Egypt’s financial crisis,” said one trader.