EGYPT – Egypt plans to reduce import volumes of plant-based oils which stand at 97% by increasing production in a bid to meet the local demand, Ali Al-Moselhi, the Minister of Supply and Internal Trade has said.
The plan, which was revealed during the inauguration of the second phase of the city of food industries, “Silo Foods”, outlined the plan to the planting of 250,000 feddans (105,000 Ha) of soybeans and 100,000 feddans (42,000 Ha) of sunflowers.
According to industry stakeholders, the oil industry in Egypt is still insignificant with only 40 factories in the sector. In addition, the industry relies heavily on imports for raw materials as only 4% is supplied locally.
Moselhi, therefore, said that among the plans to increase oil production include approving the development of oil factories, which are being offered, noting that Egypt’s reserves of oils are sufficient for 4.9 months.
The minister also stressed that a storage capacity has been added to the oil depots, which will help to absorb shocks due to the presence of a strategic reserve of oils.
In support of the plan, the government also committed to providing the required seeds, as well as encouraging contract farming by providing products to citizens to meet the target.
“About 100,000 feddans of corn will be cultivated in 2023, and this area will increase to 500,000 feddans next year, and 90,000 feddans of sunflower will be cultivated in 2023, and it is scheduled to increase to 250,000 feddans next year,” said Mostafa Madbouli, Government Prime Minister.
Previously, the cabinet announced that Egypt aims to grow more than 750,000 feddans (315,000 Ha) of oily plants during 2024, to reduce oil imports and rely on local alternatives.
“We aim to reach 500,000 feddans (210,000 Ha) in the cotton-cultivated area next year, because of its high percentage of oils, as the cotton-cultivated area this year amounted to 320,000 feddans (134,400 Ha).”
According to the state, the plan still stands and will be realized during the actualization of the laid down plan.
Silo Foods, affiliated with the National Service Projects Organization (NSPO), is the first and only food industrial city in the Middle East in terms of being the most integrated and best equipped, as it aims to provide a wide range of food products with high quality and standards.