The Egyptian government is racing to lower poultry prices and ease commodity release
Goods worth $1.5 billion leave the ports
Tuesday – Rajab 2, 1444 AH – January 24, 2023 AD
A government meeting to follow up the mechanisms of container exit from Egyptian ports (Egyptian Cabinet on Facebook)
Cairo: Mohamed Agam
With the prices of poultry and eggs in Egypt witnessing increases in their prices in the markets, due to the lack of production requirements represented in feed, the Egyptian government (Tuesday) announced a new step regarding the release of poultry production requirements from the ports, which will operate according to his assurance of “market stability.” .
In a government meeting to follow up on the mechanisms to speed up the completion of procedures and the exit of containers at Egyptian ports, Dr. Mostafa Madbouly, the Egyptian Prime Minister, explains that “the government is currently accelerating the release of goods and merchandise in the various Egyptian ports, while ensuring that the pre-shipment system works efficiently which contributes to speeding up the release procedures and facilitated.
Ambassador Nader Saad, the official spokesperson of the Presidency of the Council of Ministers, said in a statement that the meeting dealt with the review of the current position of the policy accumulated in the ports, as well as the values of the goods that within the advance shipment system (ACI), as well as the total of the released goods during the period from the 18th to the 23rd of January, which amounted to more than $1.5 billion. The Spokesperson said that the meeting witnessed a discussion of some proposals and mechanisms that would speed up the completion of procedures and the exit of containers at the ports.
In addition, the Egyptian Minister of Agriculture and Land Reclamation, Al-Sayyed Al-Qaseer, announced (Tuesday) that “for the first time during a week, poultry feed stocks worth $135 million were released, as 292 thousand tons of corn and soybeans were immediately released, in The framework of government directives regarding the release of production requirements of Egyptian ports, in coordination with the Central Bank of Egypt.
The minister indicated in a statement that the release is aimed at providing quantities of maize and soya in the market, which are the basic ingredients for poultry feed as well as farm animals, and pointed out that “these successive large releases have a positive impact on the decrease will have in the prices of eggs and poultry and the stability of the markets.”
Poultry prices have risen at the highest pace in years since the beginning of this year, bringing the price of a kilogram of poultry to 59 pounds (the dollar equals 29.87 Egyptian pounds on average) at the farm, and within the scope of 70 for the local consumer. The price of eggs also rose, to be recorded (Tuesday), according to the “General Federation of Poultry Producers”: (86.75 pounds for a white egg dish, 88.75 pounds for a red egg dish, in addition to 96, 75 pounds in the price of a carton of municipal eggs).
Dr. Hoda Al-Mallah, Director of the International Center for Economic Consultations and Viability Studies, during her interview with Asharq Al-Awsat, appreciated the government’s move regarding the release of production requirements from the ports in coordination with the Central Bank of Egypt, and says: “This step means that the Central Bank of Egypt has provided. This large number of dollars ($135 million) is in favor of efforts to release feed shipments held in the ports, and it is of course a very good step that reflected in the rise of poultry trade after seeing huge increases in recent weeks, either for poultry or eggs, which are unprecedented increases. This has not happened before in the Egyptian market.
It is worth noting that the Egyptian government has been working for several months to improve the country’s foreign exchange reserves in light of the dollar crisis. Egyptian President Abdel Fattah El-Sisi made statements (Monday) addressing the dollar crisis that has recently hung over the Egyptian economic scene, stressing that “the dollar gap crisis is not a result of today or this period, but rather it is a repeating pattern, and is due to weak production and export capabilities.” And an increase in demand for dollar goods and services ».
The economist agrees with what the Egyptian Minister of Agriculture indicated that the release of production requirements from the ports will have a positive impact on the drop in the prices of eggs and poultry and the stability of the markets. However, she demands that, in In conjunction with this expected decline, there will be effective moves by the regulatory authorities on traders, who say: “Just as the government provided the dollars needed for the process to release feed and other commodities, there must be oversight in the coming period, because it is possible that some poultry and egg traders will continue to raise their prices, or they will take the opportunity to sell to the consumer at the same current prices, or we will get someone who monopolizes feed after it becomes available is as a form of greed.
In the same context, Tariq Suleiman, head of the livestock and poultry sector at the Egyptian Ministry of Agriculture, explained to him in televised statements that there is a decrease in the price of poultry during the coming period, due to the release of feed farms during the past days, highlighting that new poultry production cycles will be placed on the market during the next half of February.