:. Food Industry News


Iraq Bans Vegetable Imports, Eyes State Purchases

Source: Reuters
29/05/2009

Baghdad, May 29 - Iraq has placed a temporary ban on vegetable imports from countries including Turkey, Iran and Syria in a bid to boost its neglected farm sector.

Daily News Alerts

Acknowledging the move could fuel inflation, the Agriculture Ministry said it had also decided to take over from private buyers the purchase of vegetables from abroad.

It will also require private sector firms to procure licences to buy set volumes of vegetables when the country needs additional supplies.

The Iraqi government already manages one of the world's largest grain purchase programmes through frequent, huge tenders.

"The ban began on May 1," Subhi al-Jumaily, a senior deputy agriculture minister said in an interview on Thursday.

"We don't want to shut off imports completely but want to arrange them through official agreements for all different food items," he said.

The vegetable import ban will be in place whenever Iraq's domestic supply is deemed sufficient, and will be lifted for foreign purchases if there is a shortfall, Jumaily said.

Iraqi farmers and manufacturers have complained of a flood of cheap imports since the fall of Saddam Hussein and his tightly controlled economy in the 2003 U.S.-led invasion.

That has stoked calls for a partial reversal of free market reforms to give Iraqi industries time to develop and compete after years of war and sanctions.

The ministry did not have any statistics on the volume and value of vegetables imported into Iraq, which has a population of about 28 million people.

Abdul Rahman al-Mashhadani of Baghdad's al-Mustansiriya University, said Iraq imports between 90 and 94 percent of all its food, and 60 to 70 percent of its vegetables.

For the year to date, $5.5 billion of food was imported from Turkey, $3.5 billion from Iran, and $3 billion from Syria, he said, while substantial imports also come from Jordan and China.

The figures do not include huge state purchases of wheat and rice from countries including Australia, Russia and Canada.

Iraq's farming sector has suffered from decades of underinvestment and neglect. Jumaily said the country now only produced 30 percent of the food it consumed domestically.

The move to restrict vegetable imports could stoke inflation but the ministry was taking measures to prevent this, he said, without giving details.

Inflation in Iraq has fallen steeply to an expected 10 percent this year, as Iraq emerges from the sectarian war and insurgency of the past six years. Three years ago, core inflation ran at more than 30 percent.



GO   View more articles on this subject


More Alerts from 01/06/2009


Email This Article To A Colleague     Print A Copy Of This Page
 
 
 
 
FLEXNEWS - Business News for the Food Industry

About Us | Contact Us | Terms & Conditions | Privacy Policy
 
Daily News Alerts
Related Items
Lur Berri Iceland ehf Takeover Bid on the Shares of...
European Commission Clears Acquisition of Subsidiaries...
Sime Darby Eyes Expanding Palm Oil Processing
Bonduelle Annual Improves Operational Profitability...
French July Farm Prices Fall; Fruit & Veg Tumble
U.S. Farmers Warm to Community Agriculture Model
Lännen Tehtaat Decision to Combine the Operations...
French Farmers Angered by Fruit Subsidy Offer
Bonduelle Reports Sustained Growth of Annual Turnover...
Europe: 'Wonky' Fruit and Vegetables Back on Sale from...

More in Food Industry News
Procter & Gamble Repurchasing Shares, Quiet on...
US Shoppers Going Green Despite Struggling Economy
Wessanen Sells Liberty Richter to World Finer Foods
Cheesecake Factory Sticks to 2010 Forecast
Brenntag Changes 2.5 Bln Euro Loan to Allow IPO
European Commission Refers Greece to ECJ over Unjustified...
JM Smucker's Quarterly Net Income Increases 172%
Ferrero, Hershey Would Likely Break up Cadbury
Indonesia's Astra Agro Revises Up CPO Forecast
Cocoa Supplier Olam to Benefit from Consolidation Among...

Top Headlines
Procter & Gamble Repurchasing Shares, Quiet on...
US Shoppers Going Green Despite Struggling Economy
Wessanen Sells Liberty Richter to World Finer Foods
Cheesecake Factory Sticks to 2010 Forecast
European Commission Refers Greece to ECJ over Unjustified...
JM Smucker's Quarterly Net Income Increases 172%
Cocoa Supplier Olam to Benefit from Consolidation Among...
Avebe and National Starch Food Innovation to Expand...
Auchan Backs Hypermarkets as Rivals Rethink
Ferrero Could Eye Cadbury Gum, Candy Unit
Dole Food Posts Wider Q3 Loss
Fonterra Sells Stake in UK Joint Venture to Arla
Imperial Sugar Company Closes Three-Way Joint Venture...
PepsiCo to Invest $100 Million in Egypt in 2010
Ex-Parmalat Auditors Settle US Investor Lawsuit
Tesco in Broadband Push as Reaches Beyond Groceries
India Sugar Protest Forces Parliament to Shut
Kerry Group Keeps Full Year Earnings Growth Forecast
Nestle Professional to Acquire Vitality Foodservice
Pinnacle Foods Acquires Birds Eye Foods for USD 1.3...
DSM Makes Great Strides in Production Processes for...
Russian Grocer X5 Plans Higher 2010 Capex
Brazil: Laep in Talks to Sell Dairy Plant to Nestle
SunOpta Announces Opening of Natural and Organic Sesame...
Products Comprising, and Uses of, Decarboxylated Phenolic...
Process for the Preparation of Packaged Heat-Preserved...


 


FLEXNEWS 2009 - All rights reserved
ISSN 1950-6228