Egypt Revokes Contracts To Buy 240,000 Tonnes of Stranded Ukrainian Wheat

Egypt revoked contracts to purchase a total of 240,000 tonnes of Ukrainian wheat before Russia’s invasion, despite Kyiv’s preparation to resume grain exports after several months.

Reports suggest that Egypt inked the contract to import wheat in February and March, but never loaded it due to Russia’s war on Ukraine.

Officials at Egypt’s General Authority for Supply Commodities (GASC), said that four batches of wheat were purchased in December 2021 at a price of $346 to $360 per tonne.

Three sources within GASC said that Egypt, in April 2022, paid $494.30 per tonne of wheat with one cargo still stuck at Ukraine’s Chornomorsk Port and four others having yet to be loaded.

Last week, Ukraine and Russia signed deals that will allow Kyiv to resume exports of grain through the Black Sea.

The UN-brokered agreement, which was signed in Istanbul, Turkey, would allow millions of tonnes of grain currently stuck in Ukraine to be exported.

However, it is not clear whether the GASC contracts had been canceled before the Russia-Ukraine deal on the resumption of grain shipments.

The world has been scrambling with the shortages of wheat since Russia’s February 24 invasion that also put millions of people at risk of hunger. 

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