The UN’s Food and Agriculture Organization (FAO) said in a report Egypt is expected to witness a rise in local food prices as a result of the decrease in fuel subsidies and the seasonal rise in demand due to Ramadan.
FAO has forecast an increase in wheat production in 2014 both globally and in the Near East and North Africa (MENA) region, according to Daily News Egypt.
The estimated production in MENA for 2014 is 49m tons compared to 47.1m tons in 2013. The expected increase in global and regional wheat production has already positively impacted the market, resulting in more affordable prices, the press release said. This has, consequently, encouraged utilisation and trade, and aided in replenishing the world stock.
Earlier this month, the Egyptian government has introduced electricity and fuel price increases in a move to cut state subsidies and reduce the budget deficit. Some fuel tariffs are reported to be increasing by 78% while electricity prices are expected to almost double within five years.
FAO has forecast an increase in wheat production in 2014 both globally and in the Near East and North Africa (MENA) region, according to Daily News Egypt.
The estimated production in MENA for 2014 is 49m tons compared to 47.1m tons in 2013. The expected increase in global and regional wheat production has already positively impacted the market, resulting in more affordable prices, the press release said. This has, consequently, encouraged utilisation and trade, and aided in replenishing the world stock.
Earlier this month, the Egyptian government has introduced electricity and fuel price increases in a move to cut state subsidies and reduce the budget deficit. Some fuel tariffs are reported to be increasing by 78% while electricity prices are expected to almost double within five years.
Source:
Mubasher
