According to bank documents, the project objective is to ensure the short-term supply of wheat for uninterrupted access to bread for vulnerable households and to strengthen Egypt’s resilience to food crises.
The project would consist of three components providing a balance between short-term response and medium-term resilience to food crises.
Component 1. Emergency Response Measures (US$ 380 million). The objective of this component is to address the shortfall in imports of wheat, to minimize the disruptions in the Bread Subsidy Program. The component will finance the public procurement of up to 700,000 metric tons of imported wheat (the final quantity will depend on the market price at the time of procurement) through a procurement process acceptable to the Bank, to be conducted by the General Authority for Supply Commodities (GASC) of the Ministry of Supply and Internal Trade (MOSIT). This short-term emergency wheat supply, made available through the project, will contribute to replenishing the country’s strategic reserves.
Component 2. Strengthening Preparedness and Response to Shocks (US$ 117.5 million). This component aims to reduce wheat losses, improve domestic cereal production, and strengthen farm-level resilience and preparedness to shocks. This would be achieved by (a) increasing the storage capacity for wheat in modern silos (Sub-component 2.1); and (b) financing the research, development and dissemination of high yielding adapted wheat varieties, piloting climate smart extension services in lagging regions and upscaling the national Agro-Meteorological early warning system (Sub-component 2.2).
Component 3. Project Management and Knowledge Management (US$ 2.5 million). This component will support project management activities and knowledge management activities envisaged under the project. With regards to project management activities, this component will support financial management (including audit), procurement, monitoring and evaluation and ESF compliance (including a citizen engagement mechanism and a strengthened Grievance Redress Mechanism (GRM) for better risk management). Additionally, this component will facilitate dialogue on food security policies and reforms and cross-border collaboration around regional risk management tools for strategic agricultural commodities.
Senior Agriculture Economist
Senior Agriculture Economist
Ministry of International Cooperation
Mohamed A. Gawad Allam
Minister Plenipotentiary (Commercial)
Ministry of Supply and Internal Trade
Ahmed Youssef Mansour
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