Market Snapshot 2018 - Egypt - Commodity Table

Supply/Demand Basics

  • Largest corn market in the region, 7 MMT imports in 2017.
  • Nearly 6 MMT of local corn crop, mostly white corn.
  • #1 import market for U.S. CGM importing 65,000 MT in 2016/2017; U.S. DDGS imports of 149,000 MT in 2016/2017.
  • Price-sensitive market; quality less important than price.
  • U.S. freight disadvantage to Black Sea export markets.

Country Overview

  • Population / growth: 375 million / 1.87%
  • Urban % / growth: 8% / 1.72%
  • GDP / growth (PPP): $336.3 billion / 4.29%
  • GDP per capita (PPP): $10,319
  • Large government debt and stagnant economy magnified by both local and regional instability.
  • Government is cutting consumer subsidies gradually since 2014. Saudi Arabia and UAE continue to support Egypt economy. Mega infrastructure projects contribute to economic stimulation.

Trade and Market Share Issues

  • U.S. corn market share with 322,000 MT at fourth¬†place in 2017 behind Ukraine, Brazil and Argentina.
  • Poultry sector leads corn demand by nearly 60% to 70% consumption followed by dairy, red meat, water buffalo and corn milling/crushing.
  • The Regional Center for Food & Feed (RCFF) mirrors FGIS inspection system. RCFF operates as a training center for other countries in the region.
  • Political instability, stagnant economy and higher inflation rate (21.9%) decreases demand.

Policy Issues

  • All feed grains and co products have zero duty except for a 5% import duty on sorghum.
  • The average total annual consumption of corn in Egypt, with all its types, reached around 16 MMT. 50% of the consumed amount is locally produced and the other 50% is provided through importation.

Market Snapshot 2018 - Egypt - Chart