Egypt To Issue Decree Wednesday on Ergot in Imported Wheat

Egypt is poised to issue a decree that will allow imports of wheat with up to 0.05% ergot, according to a statement by the country's prime minister in a meeting with ministers involved in the country's ag import policy.

His office is expected to issue a decree Wednesday instructing the country's ag quarantine authority to accept wheat shipments with up to 0.05% ergot. The quarantine office previously indicated they had to enforce the zero-tolerance policy that has roiled Egyptian wheat imports.

"The decree has been promised to be sent tomorrow, it will trump the previous ministerial decree which had dictated a zero tolerance policy," said Eid Hawash, spokesman for the agriculture ministry.

But it may not impact demand for U.S. wheat even once it is resolved as U.S.-origin wheat has not been competitively priced when exporters submitted it under tenders issued by Egypt previously.