Egypt remains confident of securing its target of around 3.8 million metric tonnes of imported wheat by the end of 2024, through a combination of tenders, direct purchases and government-to-government agreements, a minister said on Monday.

Egypt's General Authority for Supply Commodities, or GASC, launched the largest ever wheat tender by the world's biggest importer on August 6.

The Supply Minister Sherif Farouk told reporters that "we still have the green light" to engage in direct negotiations to get the best possible price. He also said that Egypt should receive certain "advantages," whether it be through preferential payment terms or preferential prices, due to the importance of its wheat purchases.

Egypt announced on August 12 that it had purchased just 280,000 tonnes in a global tender, a far cry from its original target.

The traders attributed the shortfall in sales to the higher prices resulting from the longer payment delays offered. Since then, GASC engaged in informal conversations with suppliers, traders reported.

GASC, according to traders, is looking to buy up to 1.8 millions tonnes of wheat, including from Russia, for a reported price of $248 per ton, payable via letters of credit with 270-day terms.

Farouk stated, "We're confident we can purchase (wheat at discounted prices) from our main sources thanks to the balanced foreign relations." Reporting by Mohamed Ezz, Writing by Clauda Tanianos and Mohamed Ezz, Editing by David Goodman & David Holmes

(source: Reuters)