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Imports Deal to Boost Saudi Arabia’s Strategic Wheat Stockpiles

Imports Deal to Boost Saudi Arabia’s Strategic Wheat Stockpiles

Tuesday, 5 April, 2022 - 09:30
A field of unharvested wheat is seen in Beaucamps-le-Vieux, northern France, July 31, 2014. (Reuters)

The Saudi Grains Organization (SAGO) has completed the procedures for importing 625,000 tons of wheat from Europe, North and South America, and Australia.

Governor of the SAGO Eng. Ahmed bin Abdul Aziz Al-Faris said the move comes within the framework of strengthening the strategic stock of wheat, maintaining it at safe levels and meeting all the needs of milling companies.

He added that this batch will be supplied during September-November 2022 distributed in 10 shipments: one shipment for the Jeddah Islamic Port (63,000 tons), six for Yanbu Commercial Port (379,000 tons), two for King Abdulaziz Port in Dammam 128,000 tons) and one shipment for Jazan Port (55,000 tons).

Al-Faris pointed out that with the completion of this tender, the organization has contracted to import about 2.6 million tons of wheat in 2022.

He revealed that 24 international companies specialized in the grain trade had received an invitation to tender, of which 13 companies submitted proposals.

The three companies with the lowest-priced offers for the required shipments were awarded the contracts.

Al-Faris stated that SAGO started last month to purchase local wheat from farmers for the current season.

The organization is buying local wheat through the "My Harvest" platform, which enables farmers to benefit from determining the location of the supply, book appointments and inquire about the details of the shipments received.

Moreover, the platform gives farmers a chance to access their bank account to check for the disbursement of their payments.

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