Egypt Updates Policy to End Ergot Confusion

A farmer tends to his wheat field north of Cairo. REUTERS/Mohamed Abd El Ghany
A farmer tends to his wheat field north of Cairo. REUTERS/Mohamed Abd El Ghany
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Egypt Updates Policy to End Ergot Confusion

A farmer tends to his wheat field north of Cairo. REUTERS/Mohamed Abd El Ghany
A farmer tends to his wheat field north of Cairo. REUTERS/Mohamed Abd El Ghany

Egypt's agriculture ministry has officially brought its policy on common grain fungus ergot into line with other government agencies, in a move traders hope will end long-running confusion over import requirements at the world's biggest wheat buyer.

"We want to reassure our suppliers," Hamed Abdel Dayem, spokesman for the ministry, told Reuters on Thursday, confirming its new decree.

Reuters reported late on Wednesday the new decree, dated Dec. 12, stated that any wheat with an ergot content above 0.05 percent would be rejected, while shipments infected below that level would be treated and accepted.

This fixes a discrepancy in regulations governing the work of the agricultural quarantine agency, which falls under the agriculture ministry.

Confusion over Egypt's ergot policy wreaked havoc on global grain markets in 2016 until a decree by the prime minister put an end to the crisis by enforcing the common international 0.05 percent tolerance level over the stricter zero tolerance policy practiced by agricultural inspectors.

The root of the problem was a 2001 regulation used by the country's agriculture quarantine inspectors which stipulated, until this week's decree, a zero tolerance for ergot.

That regulation had remained unchanged despite the prime minister's decree issued more than a year ago.

Other Egyptian officials and bodies followed a different specification issued in 2010 by the Egyptian Organization for Standardization and Quality allowing trace levels of up to 0.05 percent, the common worldwide standard and the one stipulated by Egypt's grain-importing body, the General Authority for Supply Commodities (GASC).

The agriculture ministry's latest decree changes that.

"This means officially by the law, there should be no more ergot issues," a Cairo-based trader said.



Indonesia, Singapore Sign Deals on Power Trade, Carbon Capture 

Indonesian Energy and Mineral Resources Minister Bahlil Lahadalia speaks to the media during a press conference at the presidential palace in Jakarta, Indonesia, Tuesday, June 10, 2025. (AP) 
Indonesian Energy and Mineral Resources Minister Bahlil Lahadalia speaks to the media during a press conference at the presidential palace in Jakarta, Indonesia, Tuesday, June 10, 2025. (AP) 
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Indonesia, Singapore Sign Deals on Power Trade, Carbon Capture 

Indonesian Energy and Mineral Resources Minister Bahlil Lahadalia speaks to the media during a press conference at the presidential palace in Jakarta, Indonesia, Tuesday, June 10, 2025. (AP) 
Indonesian Energy and Mineral Resources Minister Bahlil Lahadalia speaks to the media during a press conference at the presidential palace in Jakarta, Indonesia, Tuesday, June 10, 2025. (AP) 

Indonesia and Singapore signed initial deals on Friday to develop cross-border trade in low carbon electricity and collaborate on carbon capture and storage, ministers from both countries said in Jakarta.

The electricity deal reaffirmed an earlier agreement to export solar power from Indonesia to Singapore, with a group of companies planning to build plants and grid infrastructure to generate and transmit the power.

The memorandum of understanding signed by the two countries says they will aim to draw up policies, regulatory frameworks and business arrangements that will enable Indonesian power to be delivered to Singapore.

Indonesia expects to export 3.4 gigawatts of low-carbon power by 2035, according to a presentation slide shown by Indonesia's energy minister Bahlil Lahadalia.

In another MoU, the two countries said they would look into drawing up a legally binding agreement for carbon capture and storage that would allow cross-border projects to go ahead.

If successful, it will be the first such project in Asia, said Singapore government minister Tan See Leng.

Energy firms BP, ExxonMobil, and Indonesia's state company Pertamina are already developing CCS projects in Indonesia.

With its depleted oil and gas reservoirs and saline aquifers capable of storing hundreds of gigatons of CO2, Indonesia has allowed CCS operators to set aside 30% of their storage capacity for carbon captured in other countries.

The two countries also signed a deal for the development of sustainable industrial zones on several Indonesian islands near Singapore, including Batam, Bintan and Karimun.

Bahlil said the deals could bring in more than $10 billion of investment from the manufacturing of solar panels, the development of CCS projects and potential investment in industrial estates.