Egypt considers sugar trading on commodity exchange to boost transparency and Price stability
Egypt explores sugar trading reforms as exports resume and authorities push for self-sufficiency and food security.
EGYPT – Egypt is considering the introduction of sugar trading on its commodity exchange as part of broader efforts to improve governance, transparency and price stability in the domestic market, according to the Ministry of Supply and Internal Trade.
The proposal was discussed during a high-level meeting between Minister of Supply and Internal Trade Sherif Farouk, Minister of Agriculture and Land Reclamation Alaa Farouk, and Bahaa El-Ghannam, head of the Mostakbal Misr Authority for Sustainable Development.
The talks focused on coordinating a strategy for the sugar industry to strengthen self-sufficiency in strategic commodities and secure the local market on a sustainable basis.
Sherif Farouk said the sugar industry remains a priority strategic file for the state because of its direct impact on national food security.
He noted that the government is working to develop affiliated companies and modernise production lines at sugar factories to raise output capacity and improve product quality.
“Achieving self-sufficiency will allow the state to build a safe strategic stockpile and curb price volatility for citizens,” Farouk said.
Agriculture Minister Alaa Farouk said the ministry is prioritising sugar beet and sugar cane production by expanding cultivated areas and supplying farmers with high-yield seeds alongside modern agricultural practices.
He emphasised the role of agricultural research centres in supporting these plans in coordination with the Ministry of Supply and the Mostakbal Misr Authority.
Bahaa El-Ghannam said the Mostakbal Misr Authority is focusing on national projects linked to food security. He described integration across agricultural production, industrial processing and distribution as a “key pillar” in securing Egypt’s strategic commodity needs.
In parallel, the government has resumed sugar exports to help local producers clear a surplus inventory estimated at about one million tonnes. Officials said the move follows the establishment of a 10-month strategic reserve and the start of the sugar beet harvest.
The decision to lift the export ban after three years is intended to provide an immediate liquidity boost for state-owned and private sugar factories facing high operating costs. Producers have warned that domestic production costs exceed global prices and that exporting is essential to generate cash flow.
The timing is also significant, with a ban on raw sugar imports set to expire soon, increasing domestic market pressure nationwide significantly further.
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