Egypt is the most populous country in the Middle East with more than 82.5 million people. Feeding such a large, and rapidly growing, population under Egypt’s climate and topographic conditions is a challenge. Today Egypt is the largest importer of wheat in the world.
This makes the country dependent on external supplies and subject to the volatility of global markets. Buffering price and supply swings are politically inevitable, yet they put a huge strain on the government’s coffers. These are funds which are later lacking for crucial investments without which the current vicious circle cannot be broken.
However, this is not how it has to be. Egypt has strong agricultural potential and has the ability to massively improve its agricultural supply. Local and international private companies are ready to invest provided they find the right conditions. One example where there is vast room for improvement is the efficiency of production and distribution infrastructure.
Read the full article at Emerging Markets.