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Thursday, 16 November 2017

Agriculture Ministry awaits instruction on what to do after ergot court decision

The Agriculture Ministry is awaiting instructions from cabinet after a court ruling reinstating the zero-tolerance policy for ergot in wheat, Reuters reports. “The ruling was against a decision that was issued by the cabinet so we have to await directions from there to know whether it will affect our process … Until then it is business as usual,” Minister Spokesman Hamid Abdel Dayem says. He added that the court ruling, if implemented, would be retroactive, potentially impacting cargoes that have already been contracted. “If implemented, the court order would restore a strict import rule that suppliers have said is impossible to guarantee and which has them led them to add hefty premiums to their tender bids to account for the added risk of cargo rejection,” Reuters notes. “This will take us back to the zero point, which will lead to zero offers in tenders and a lack of supply for the private sector,” said Hesham Soliman, president of grain traders Med Star.

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