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Wednesday, 21 September 2016

Egypt could face extended boycott from wheat traders -Bloomberg

Egypt is under pressure to loosen its restrictions on ergot content in wheat “or face an extended boycott from international traders,” Bloomberg’s Anatoly Medetsky and Abdel Latif Wahba write. “They will probably return to the terms that existed before,” said Vadim Sarkisov, director of Russia’s largest grain exporter OOO Trading House RIF. If not, Sarkisov, says, “we will look for other markets … What’s the point of participating if the wheat we offer has a percentage of ergot, even if it’s microscopic?”

Also, we’re not a in trade war with Russia: Russian Deputy Prime Minister Arkady Dvorkovich has denied reports that Moscow’s ban on fruit and vegetable imports from Egypt came in retaliation for Egypt’s rejection of Russian wheat, Reuters reported. No, tovarish, it’s all a big coincidence. Egypt’s Agriculture Quarantine Authority received a notice from Russia detailing the problems with Egypt’s food imports, said Industry and Trade Minister Tarek Kabil, who did not elaborate further, Al Shorouk reports.

We’re not done grandstanding on ergot: Egypt is not accepting ergot-contaminated shipments, said Agriculture Ministry spokesperson Eid Hawash. “Egypt will not bow down to foreign or domestic pressure to reverse a decision that is final,” a General Authority for Supply Commodities source tells Al Borsa. He points to the boycott by foreign traders and Russia’s ban as examples of that pressure. He added that Supply Minister Mohamed Ali El Sheikh has a plan to address the repeated boycotts which he will bring to today’s cabinet meeting.

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