The presidency announced on Tuesday that Egypt will launch a revamped commodity exchange in order to monitor imports and exports for essential agricultural products. It is aiming to ensure consistent supplies and maintain prices.

In a press release, the president said that the exchange, which is majority owned by the military-linked Future of Egypt for Sustainable Development, will serve as a "safety valance" for the local markets and balance the needs of both producers and consumers.

The statement was made following a meeting with President Abdel Fattah al-Sisi and Prime Minister Mostafa Mbouly. Also present were the ministers of agriculture and supplies, and Future of Egypt.

A draft law to regulate the operations of the exchange is being developed. The statement also said that the registration procedures for private importers and exporters had begun. The statement said that two traders had not yet been contacted to register.

The statement didn't specify which goods will be traded, but a preliminary announcement made in March stated that it would oversee the trading of crops, processed food, animal feeds, fertilisers and pesticides as well as veterinary medicine.

The move coincides with a sharp drop in Egypt's imports of wheat following a major overhaul of the country's procurement system.

Trade data revealed that wheat imports for the first half 2025 were down by over 27% compared to the same period last year, and the government's portion of these imports was down by 57%, to about 1.5 million tons.

Egypt is one the largest wheat importers in the world, and relies on imported supplies both for its subsidised bread program and private milling.

The government signed contracts on Tuesday to import 3.4 millions tons of wheat and 192,000 tons crude vegetable oil, as well as 4,000 tons frozen poultry and 6,000 tonnes frozen meat. However, the timeline for delivery or purchase was not specified.

Future of Egypt, which took over the procurement of commodities from the General Authority for Supply Commodities (GASC) in late 2024 when the military tightened their grip on the economic system, has had a rough start.

Early this year, traders told the agency that it initially lacked important requirements for doing business. They also said they relied heavily on middlemen despite some direct deals with foreign suppliers.

Future of Egypt said that it was working to build deferred purchase positions in order to maintain a steady flow of commodities.

The Supply Ministry didn't immediately respond to an inquiry for comment.

Madbouly, the Prime Minister of Egypt, said that Egypt had strategic reserves sufficient to last for six months. Reporting by Mohamed Ezz Editing and Mark Potter

(source: Reuters)