Egyptian company Mostakbal Misr again purchased 200 thousand tons of French wheat and possibly wheat shipments from Ukraine

Egypt's state grain purchasing company Future of Egypt has agreed to purchase at least 200,000 tons of French wheat in recent private deals with exporters, as well as several batches of wheat of 30,000 tons each from Ukraine and Romania, Reuters reports.

Egypt is one of the world's largest importers of wheat, purchasing over 12 million tons each year, of which government agencies import about 5 million tons.

Previously, state procurement of wheat and vegetable oils was carried out by the State Agency of Egypt GASC (under the Ministry of Supply), but since December 2024, these powers have been transferred to the military-linked company Future of Egypt or Mostakbal Misr, which has concluded private agreements mainly with local importers.

According to traders, Future of Egypt could have contracted up to seven Panamax of French wheat in the past two weeks, totaling over 400,000 tons, including at least one vessel (63,000 tons) for delivery from September 10 to 20 and payment by 270-day letter of credit. Other cargoes will be shipped in the coming weeks. The price of the purchased wheat is $265-270/ton C&F (including freight), and in individual deals the price exceeded $275/ton C&F, but Future of Egypt refused to provide detailed information on prices and payment terms.

In April, Future of Egypt purchased about 180,000 tons of French wheat at a price of $246 and $256/ton C&F with payment in 180 days with delivery in May and June, which actually took place only in August.

Egypt uses wheat to produce subsidized bread consumed by two-thirds of the country's population, making imports vital as Egypt missed its domestic wheat procurement target of 4-5 million tonnes in the 2024/25 MY (which ended on August 15).

In the first half of 2025, wheat imports to Egypt through the public and private sectors decreased by 30% to 4.9 million tons.

Such a high price for wheat purchases by Egypt corresponds to the market price level for Ukrainian food wheat within $230-235/t with delivery to Black Sea ports, so we do not expect a decrease in wheat prices in Ukraine in the coming months, especially given the growing demand from Iran, which will import Russian wheat, as well as Syria, whose new government does not want to buy Russian wheat due to political differences.