Market Trends of Agriculture In Egypt
The Cereals Sub-segment holds a Significant Share in the Crop Type Segment
The consumption of cereals in the country has increased considerably over the past years with the rising importance of their high nutritional value in consumers' diets and their numerous applications in the food and processing industries in the country. The improved standard of living of consumers, fueled by the increased disposable income, has led to rising health awareness among consumers in urban areas of the country. The increased occurrence of lifestyle-related diseases has further influenced the cereals consumption demand for cereals.
Moreover, the favorable growing conditions have increased the production of cereals in the country. For instance, according to FAOSTAT, Egypt’s total cereal production in 2021 was 23.1 million metric tons, which increased to 23.9 million metric tons in 2022. This increase in production further supports consumption by increasing the availability of cereals throughout the year.
Furthermore, the demand for cereals, such as maize and wheat, in the animal feed sector is anticipated to grow due to its easy availability in the country. This is anticipated to support the consumption of cereals by the animal feed sector in Egypt. In addition, initiatives are taken in the country that are anticipated to support the cereals industry. For instance, in May 2022, Egyptian researchers developed GM wheat with resistance to salinity and water scarcity.
The Export Market is Expanding in Egypt
Agriculture products such as grains constitute a major portion of the world’s food demand and are expected to remain so till 2050. This is attributed to the increasing demand for cereals for food and feed. The per capita consumption of cereals is anticipated to increase faster compared to the previous decade as the per capita use of maize, rice, and other coarse grains increases. The global demand for food is expected to increase by 70%, driven by rapid population growth, rising incomes, urbanization, and changing food habits.
With the increasing demand for protein meals, the rising demand for animal feed, and the increasing demand from the biofuel sector, the demand for oilseeds has increased significantly in recent years. The demand for protein meals has been recorded to be high in the country due to the increasing meat consumption.
According to the Minister of Agriculture and Land Reclamation, Egypt’s agricultural exports reached USD 1.5 billion during the first quarter of 2024, with a USD 300 million increase compared to last year. Moreover, Egypt’s agricultural exports exceeded 2.2 million metric tons despite global and regional supply-chain challenges.
Egypt currently exports more than 400 agricultural commodities to 160 countries. In 2023, exports of Egypt’s fresh and processed agricultural products amounted to about USD 9 billion, according to the Minister of Agriculture and Land Reclamation. As per the ITC Trade Map, the total maize, rice, and dates exported from Egypt in 2022 were 3,310, 14,319, and 18,307 metric tons, respectively.
