Egypt's Bread Prices Soar Amid Wheat Import Crisis

Egypt's bread prices have surged due to higher flour costs, which have risen by around 3,000 Egyptian pounds per ton since early August. This increase has led to a 25-50 piaster hike in unsubsidized bread and fino roll prices at bakeries across the country.

Khaled Sabry, official spokesman for the bakery division at the Federation of Egyptian Chambers of Commerce, stated that higher flour prices are pushing up production costs and, consequently, consumer prices. He noted that the bread price increases coincide with the start of the new school year, when demand for fino bread rises as families rely on it for packed lunches.

The rise in flour prices is attributed to a 75% decline in wheat imports in July and August, which fell to about 480,000 tons from 1.95 million tons during the same period last year. This decline was caused by difficulties importing Russian and Ukrainian wheat due to disruptions to shipping in the Black Sea region.

Russian wheat exports are facing new logistical pressures as the country has restricted truck deliveries of grain to three export terminals at the ports of Novorossiysk and Taman, covering over 40% of Russia's total seaborne grain exports. Egypt relies heavily on Black Sea supplies to meet its wheat needs, importing around 4.5 million tons from Russia in the first half of this year.