Egypt’s domestic corn prices have risen sharply as local demand strengthens amid the depreciation of the Egyptian pound. According to a report published by Platts, part of S&P Global Commodity Insights, corn prices climbed to EGP 14,000/mt as of June 20, up from EGP 13,500/mt a week earlier.
This sharp price movement reflects a broader context of economic and geopolitical instability. The exchange rate rose to EGP 50 per US dollar, from EGP 49 during the same period, largely influenced by the ongoing Iran-Israel conflict, which has contributed to regional uncertainty and inflationary pressure on imports.
The rising demand for corn-based products—particularly starch and glucose—has added additional pressure on the domestic market.“Everybody is anticipating further price increases, which is driving up demand,” a local corn processor told Platts reporter Amrutha Dileep Chingoroth.
As a result, buyers are attempting to raise the local prices of processed corn products by 5% to 7%, according to market sources. While higher prices burden consumers, Egyptian importers are now seeing positive margins for the first time in months, reversing a long trend of losses under previous low-price conditions. One importer commented, “It is refreshing to see a positive margin after enduring losses for so long.”
The geopolitical context has also led to rising oil prices, which in turn have driven up freight and insurance costs, especially for long-distance shipments. An importer based in Cairo stated, “As the war continues, we expect the exchange rate to exceed EGP 51 [against the US dollar], and naturally, prices will rise.” Another trader added, “As prices increase, the demand for storage rises, further driving prices higher.”
While South American corn is expected to arrive in Egypt by August, many traders are turning to Ukrainian corn as a near-term supply option. However, prices remain high. A handysize cargo for June delivery on a CIF Egypt basis was reportedly bid at $245/mt, with offers at $252/mt.
“The market should be trying to source from nearby origins like Ukraine, but it is not easy due to the high prices,” one importer said. A Ukrainian seller confirmed that “there is certainly some demand for coasters from Egypt.” As of June 19, Platts assessed Ukrainian corn loading over July 17–31 on FOB POC basis at $233/mt.