Egypt is negotiating with Abu Dhabi Commercial Bank a loan to finance the purchase of wheat in Kazakhstan, Reuters reports.
Egypt is currently the largest buyer of wheat in the world and is trying to reduce its import costs. According to the news agency, negotiations on a loan agreement for the purchase of wheat in Kazakhstan are at an initial stage.
Negotiations are also underway regarding the price and quantity of wheat.
In addition, Egypt's grain buyer General Authority for Supply Commodities is negotiating a price that may be lower than the unofficial floor price set by the Russian government, which is believed to have been set at $270 per metric ton in the tender.
According to Reuters, the Russian Ministry of Agriculture recently blocked the private sale of 480,000 tons of Russian wheat to Egypt, apparently because it was sold below the minimum price.
Egypt criticized Russia for withdrawing from the grain agreement and said it would continue to buy Ukrainian grain through alternative routes. In August, it emerged that India was negotiating with Russia to import wheat at a discount.
Last month, Russia exported 7.7 million tons of grain, according to data from the Russian Grain Union. This is a record figure for August in the last seven years. The largest buyer of Russian wheat in August was Egypt, where 910,000 tons were shipped.