Russia sends grain supplies to crisis-hit Egypt amid Iran war


Russian President Vladimir Putin has said his country would supply Egypt with grain, ordering his government to cooperate with the Egyptians on this matter.

The Russian president added, as he received Egyptian Foreign Minister Badr Abdelatty in Moscow on 2 April, that his country had no problem making Egypt's gain supplies available, thanks to last year's abundant output.

His gesture comes as the US-Israel war on Iran starts to gnaw more painfully at Egypt's economy.

The war has disrupted essential supplies to Egypt, especially energy, with Gulf crude shipments , particularly from Kuwait, struggling to cross the Strait of Hormuz en route to the North African country.

Iranian attacks on Israel also disrupted Israeli natural gas supplies to Egypt, which constituted 15-20% of Egypt's overall consumption before the war, before Tel Aviv resumed supplies almost four weeks later.

The war has also caused the flight of billions of dollars in foreign assets , putting pressure on the Egyptian pound, which continues to decline against all foreign currencies, especially the US dollar, the main import currency in this country.

A weaker pound and war-induced price surges have contributed to the rising commodity prices in the local market, worsening the suffering of tens of millions of consumers in a country where almost a third of the population of 110 million was officially designated as "poor".

Russia's intervention to supply Egypt with grain comes at a critical time, especially with the war on Iran taking a heavy toll on commodity and energy supplies worldwide, specialists in Cairo said.

"The same developments are also negatively affecting the Egyptian economy," trade expert Hesham al-Dugwi said.

Speaking to The New Arab , he warned against the war dragging on for too long.

" Egypt has started using the commodity reserves it stocked up in the past months, but there can be a problem if the war persists," al-Dugwi said. Deeply harmed The same developments may also have their toll on Egypt's ability to get its grain needs from the international market.

Egypt heavily relies on imports, especially of wheat, to bridge a wide gap between production and consumption.

With local output accounting for a little less than 50% of overall consumption, Egypt, the world's largest wheat importer, has to turn to the international market for the remainder.

In 2025, this wheat-reliant country imported 13.2 million tonnes of wheat, an 8% decline from the previous year, driven by higher global prices, lower demand, and higher local production.

Local wheat production in the same year amounted to 9.2 million tonnes , a little higher than the previous year's output.

This year, the government is taking special measures to ensure it buys the largest amount of wheat from local farmers in the new harvest season, which starts on 15 April.

The measures include raising purchase prices to make them commensurate with international prices.

The more farmers sell their output to the government, the less Egypt will need to buy wheat from the international market, specialists said.

Grains and agriculture specialist Nader Noureddine said Egypt pays a lot of money to get its wheat needs from the international market each year.

"These imports constitute a heavy burden on the state treasury," Noureddine told TNA.

He noted that any reduction in wheat imports reflects positively on the state treasury by saving foreign currency and reducing pressure on foreign currency reserves.

Egypt coughed up between $3 and $3.3 billion last year to buy its wheat needs from the international market, based on available international price data .

The US-Israel war on Iran is driving up wheat prices in the international market, with rising energy prices, fertiliser shortages and geopolitical risks intersecting to make the case harder for major importers like Egypt. Appealing for help Russia appears to be offering a grain lifeline to Egypt at a time when the Egyptian government scrambles to secure the wheat it needs to produce bread for over 60 million people registered in this country's food rationing system.

Food rationing beneficiaries receive bread from state-commissioned bakers at a fraction of its market price, a tradition that has sustained the nation's bread-based diet for decades. The meeting between the Russian president and the Egyptian foreign minister took place only a few days after Putin spoke with Egyptian President Abdel Fattah al-Sisi over the phone.

It also came only a few days after Abdelatty appealed for economic support from the US, during a phone call with his American counterpart, Marco Rubio. Russia has been one of the main sources of Egyptian wheat imports for a long time.

Nevertheless, the new potential grain support is emerging at the centre of Russia's geopolitical tensions, with Ukrainians appearing perturbed by it.

Ukrainian President Volodymyr Zelenskyy called Sisi a day after the Egyptian foreign minister met Putin in Moscow to ensure that Egypt would not accept grain imports from Ukrainian territories occupied by Russia.

He claimed that the Egyptian president had assured him that his country would not accept such grain.

The same Russian support attests to growing cooperation between Cairo and Moscow, analysts said.

The two capitals have been increasing cooperation over the years, with Russia becoming a principal supplier of arms, industrial products and food, especially cooking oils, to Egypt.

Russia builds a nuclear power plant in western Egypt and an industrial zone near the Suez Canal.

However, Russia's grain support comes at a time when Moscow is trying to break free from its isolation by leveraging Egypt's strategic geographic location, the same analysts said.

During his meeting with the Egyptian foreign minister, Putin floated the idea of establishing grain and energy hubs in Egypt.

Russia has been the target of a series of international sanctions since it invaded Ukraine in 2022, which has limited its ability to trade freely in the international market.

The proposed grains and energy hubs, analysts said, would help Russia bypass western sanctions, using Egypt's strategic location, especially with the Arab country functioning as a neutral, sanctions-friendly gateway for the redirection of Russian grain, oil products and potentially other energy resources.

"By using Egypt as a transit point for its grains and energy products on the way to the international market, Russia can go around international economic sanctions," Khaled al-Shafie, the head of Egyptian think tank Capital Centre for Economic and Strategic Studies, told TNA . Egypt , he added, will also benefit greatly from hosting such grain and energy hubs.

"The presence of these hubs in Egypt will ensure a stable supply of such products, especially at times of crises," al-Shafie said.

Published: Modified: Back to Voices