Iraqi Government Struggles with Wheat Surplus
In a surprising turn of events, the Iraqi government is facing a major financial loss due to an unexpected wheat surplus in the country. With an excess of 1.5 million tons of wheat, Iraq, known as one of the top wheat importers in the Middle East, is losing approximately $500 million.
The surplus is a result of favorable weather conditions and government support, which includes offering farmers prices significantly higher than the global market rate to encourage production. Currently, Iraq’s strategic wheat reserves stand at over 5.5 million tons, ensuring stability in flour prices even during global crises.
While Iraq had been self-sufficient in wheat production in recent years, challenges such as water scarcity and desertification led to a decline in local output. As a result, the government had to rely on imports to meet demand. However, with the recent surplus, Iraq finds itself in a unique position of excess production and high costs.
Despite these challenges, the Iraqi government remains committed to supporting local farmers and ensuring food security for its 43 million citizens. This unexpected surplus serves as a reminder of the importance of agricultural planning and adaptation in the face of changing climate conditions.
Source: Iraqi News