Egypt’s poultry industry suffers several crises

A series of crises are affecting poultry production in Egypt. The most recent is the detention of poultry feed in ports due to the foreign currency problem and the complications of banks’ letters of credit amid a government move to contain these situations that threaten the entire industry.

Crises have been cascading since the outbreak of the Russian-Ukrainian War, which affected most emerging market economies, especially Egypt, which made drastic decisions to counter the effects resulting from the crisis, including:

• Halting letters of credit for imported goods to counter the lack of dollar liquidity, which in turn caused the seizure of fodder in ports and halting its import, making it scarce in the market.

The Central Bank of Egypt (CBE) also stopped dealing with collection documents in import operations, instead using letters of credit with everything except for 15 essential commodities. This created a crisis for importers due to their inability to provide foreign currency.

>> The decision caused the accumulation of goods in Egyptian ports, and its effects began to be reflected in the local market, especially concerning the scarcity of some commodities and the tendency of merchants to raise their prices at record rates in all commercial sectors.

Moreover, the canceled collection documents allowed importers to transfer the value of their goods to suppliers after submitting documents listing specific amounts and the date of their collection that could be paid in installments.

According to estimates by the Ministry of Agriculture and Land Reclamation:

Egypt imports about 75% of its feed and raw materials for the poultry industry. The imports come from the US, Brazil, and Ukraine.

This crisis affected the poultry industry in Egypt in

TO CONTINUE READING REGISTER IT IS COMPLETELY FREE Access to articles in PDF
Keep up to date with our newsletters
Receive the magazine for free in digital version REGISTRATION ACCESS
YOUR ACCOUNT LOGIN Lost your password?

terms of price hikes and poultry producers running out entirely of supplies, creating a situation in which Egypt may very well lose a very important source of protein and food.

Consequently, the government is seeking to solve this crisis, especially in light of a global trend to preserve food security by increasing local production of all agricultural crops and protecting many local industries, especially the poultry industry.

Read the full article: Daily News Egypt

It may interest you: Israeli scientists bred gene-edited hens to stop the male chicks culling

[/regoster]