Arab League Organization for Agricultural Development: Supply Chains, Previous Pledges Likely to be Disrupted

Director of the Arab League’s Organization for Agricultural Development (AOAD), Dr. Ibrahim El-Dukheri. (AOAD)
Director of the Arab League’s Organization for Agricultural Development (AOAD), Dr. Ibrahim El-Dukheri. (AOAD)
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Arab League Organization for Agricultural Development: Supply Chains, Previous Pledges Likely to be Disrupted

Director of the Arab League’s Organization for Agricultural Development (AOAD), Dr. Ibrahim El-Dukheri. (AOAD)
Director of the Arab League’s Organization for Agricultural Development (AOAD), Dr. Ibrahim El-Dukheri. (AOAD)

The Director of the Arab League’s Organization for Agricultural Development (AOAD), Dr. Ibrahim El-Dukheri, warned that food security in the Arab world was shrouded in ambiguity, adding the region would not be safe from the repercussions of the ongoing war in Europe.

In an interview with Asharq Al-Awsat, El-Dukheri noted that supply chains would weaken, or sometimes interrupt, especially if the Russian-Ukrainian war continues.

He stressed that the Nouakchott Declaration, which was recently adopted during the 37th General Assembly meetings in the Mauritanian capital, had highlighted the issue of food insecurity, which would worsen with the war in Europe, the Covid-19 pandemic and climate change.

Immediate action

“Urgent measures must be taken to guarantee food security in the Arab region and maintain supply chains,” El-Dukheri underlined, adding: “In this context, we presented what was known as the Permanent Program for Arab Food Security, which is an integrated study that was conducted during the past two years in coordination with the General Secretariat of the League of Arab States and Arab foreign ministers.”

He pointed to the sustainable food security initiative, which was launched at the same time as the Nouakchott Declaration and detailed the arrangements required to achieve public food security.

Production increase

The most important points agreed upon, according to El-Dukheri, include the launch of the Sustainable Arab Agricultural Development Strategy 2030, and the Arab Program for Sustaining Food Security, which aims to increase productivity and agricultural production levels of basic food commodities by a minimum of 30% during the next ten years.

This goal can be achieved through the use of technological packages and the correct standards for inputs, especially drought and salt tolerant seeds and fertilizers, in addition to the development of irrigation systems for irrigated and rain-fed crops, the expansion of the use of agricultural mechanization, and the adoption of smart agriculture.

The AOAD director said the declaration focused on seeking to find a specialized financing mechanism for agricultural development and Arab food security, to implement the projects of the Arab Program for the Sustainability of Food Security, which would be led by the AOAD in close cooperation and coordination with the relevant Arab and regional countries and organizations.

Arab investments

According to El-Dukheri, the Arab Program for the Sustainability of Food Security focuses on investments and trade.

He explained that the program looks at the existing agricultural infrastructure in order to increase the efficiency of the various modern irrigation systems, with the aim to expand water capacities and subsequently, promote agricultural investments in the sector of rain-fed crops.

“This gives us a wide ability to increase the volume of total production in the Arab world, while also improving agricultural integration, by looking at the mechanisms of intra-Arab trade between countries,” the Arab official remarked.

Current situation

Furthermore, he stressed that the ongoing war between Russia and Ukraine has two major implications.

El-Dukheri pointed to great fear over the interruption of supply chains, as “we know that Russia and Ukraine are countries that produce a major commodity, such as wheat.”

Thus, supply chains will deteriorate or be interrupted at times, he warned.

El-Dukheri noted that with the continuation of the war, many European countries would think about sustaining their national needs and perhaps fail to meet export pledges that were made before the eruption of the conflict.

Other options

He stressed that food security in the Arab world was shrouded in ambiguity. He added that the region would not be safe from the repercussions of the crisis in the near term, as prices of food are likely to soar, making them inaccessible for a large number of people.

As for the alternatives, including the option to resort to imports from the United States or Canada - given that they are wheat-producing countries – El-Dukheri explained that the shipping costs would be very high and would thus increase the prices of the products.

Most affected countries

The most affected countries in the Arab region are those in which the levels of income or development are limited, he explained.

The Arab region relies mostly on imports. Consequently, Gulf states, which enjoy financial and security stability, would be less impacted than countries that suffer from economic hardship, conflicts and instability, according to El-Dukheri.

Investment opportunities

El-Dukheri said the sustainable program for Arab food security presented a clear and comprehensive vision that took into consideration the capabilities of the Arab world in terms of the existence of suitable lands, rainfall rates, water resources, weather, and viable crops, according to a comprehensive and integrated study.

He pointed to another supporting document under the title, Finance Mechanism, which explains the means to support the program through “national and regional agencies,” including the Union of Arab Banks, Arab Chambers of Commerce, and all organizations that operate under the umbrella of the General Secretariat of the Arab League.

“It is necessary to have arrangements to reduce the gap and differences between the Arab countries,” El-Dukheri urged, explaining that the program was aimed at increasing self-sufficiency to 50%, while the rest would be imported from outside the Arab region.



'Handful' of G20 Countries Reject US Stance on Excess Industrial Capacity

US Trade Representative Jamison Greer speaks on the second day of the G20 Trade Ministerial Meeting in Milwaukee, Wisconsin - October 1 (AFP)
US Trade Representative Jamison Greer speaks on the second day of the G20 Trade Ministerial Meeting in Milwaukee, Wisconsin - October 1 (AFP)
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'Handful' of G20 Countries Reject US Stance on Excess Industrial Capacity

US Trade Representative Jamison Greer speaks on the second day of the G20 Trade Ministerial Meeting in Milwaukee, Wisconsin - October 1 (AFP)
US Trade Representative Jamison Greer speaks on the second day of the G20 Trade Ministerial Meeting in Milwaukee, Wisconsin - October 1 (AFP)

A "handful" of Group of 20 trade ministers rejected US calls to curb excess industrial capacity and "non-market" policies, the US Trade Representative's office said on Friday, exposing divisions within the group of major economies.

The US, this year's G20 chair, issued the statement a day after a trade meeting in Milwaukee that revealed that only two countries — Mexico and Argentina — signed on to a US-led statement calling for more work and cooperation to eliminate goods produced with forced labor from supply chains, Reuters reported.

The rejection from the vast majority of G20 countries follows the Trump administration's imposition of ‌tariffs of 10% or ‌12.5% on goods from 59 countries and the European Union over allegations ‌that ⁠they fail to ⁠adequately enforce bans on forced labor.

USTR also is conducting a second "Section 301" tariff investigation into 16 trading partners that show signs of excess industrial capacity. The probe is widely expected to lead to new duties in coming months.

The USTR statement did not name countries that objected to the excess-capacity statement. But China had objected to a similar G20 statement denouncing forced labor and non-market economic policies that lead to excessive exports at a finance leaders' meeting a month ago in North Carolina.

"The draft ministerial statement was supported by all but a handful ⁠of members, a few of whom firmly rejected creating this pathway toward cooperative ‌action" on excess capacity, the statement said, adding that this "severely ‌disappointed" the US G20 presidency.

China's excess industrial capacity and industrial subsidies have been key themes of the US-led G20 ministerial ‌meetings so far this year. Beijing has rejected claims that its industrial policies have created excess capacity, ‌accusing Western countries of using the issue to justify protectionist measures.

The US said that G20 trade ministers reached consensus on denouncing the weaponization of food trade, with members agreeing that trade in food or agricultural inputs should not be used as a tool for economic or political coercion.

In that G20 joint statement, the ministers defined the weaponization of ‌food as measures to "slow, stop, block or direct the flow of food and agricultural inputs" to exert coercive pressure to extract unrelated geopolitical concessions.

"We ⁠condemn food weaponization, as ⁠it poses a significant humanitarian and economic threat," the G20 trade ministers said.

After pressure from US President Donald Trump that included the threat of a US diesel export ban, Group of Seven countries on Friday agreed to release some 100 million barrels of diesel reserves to try to drive down record-high US diesel prices. The fuel is widely used in agricultural production.

TARIFF STRUCTURE DISCUSSIONS

US Trade Representative Jamieson Greer said on Thursday that he did not seek a joint statement on a fourth discussion topic, reforming the "most favored nation" system of published, unconditional global tariff rates that underpin the World Trade Organization. MFN tariffs have defined the global trading system since the end of World War Two.

Greer has argued that the MFN principle has been abused by non-market-oriented economies such as China that have subsidized industries, but it does not allow these countries to be treated differently.

The US statement said some G20 members had expressed a willingness to consider changes to MFN, including expanding exceptions to the principle and issuing new legal interpretations to enable greater use of existing exceptions.


DOJ Will Not Reopen Criminal Probe into Fed's Powell

(FILES) US Federal Reserve Chair Jerome Powell speaks during a press conference following the Federal Open Market Committee meeting at the Federal Reserve Board Building in Washington, DC, on March 18, 2026. (Photo by Brendan SMIALOWSKI / AFP)
(FILES) US Federal Reserve Chair Jerome Powell speaks during a press conference following the Federal Open Market Committee meeting at the Federal Reserve Board Building in Washington, DC, on March 18, 2026. (Photo by Brendan SMIALOWSKI / AFP)
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DOJ Will Not Reopen Criminal Probe into Fed's Powell

(FILES) US Federal Reserve Chair Jerome Powell speaks during a press conference following the Federal Open Market Committee meeting at the Federal Reserve Board Building in Washington, DC, on March 18, 2026. (Photo by Brendan SMIALOWSKI / AFP)
(FILES) US Federal Reserve Chair Jerome Powell speaks during a press conference following the Federal Open Market Committee meeting at the Federal Reserve Board Building in Washington, DC, on March 18, 2026. (Photo by Brendan SMIALOWSKI / AFP)

The US Justice Department is not reopening a criminal probe into former Federal Reserve Chair Jerome Powell for cost overruns related to the central bank's building renovation project, a DOJ spokesperson said on Friday.

Attorney General Todd Blanche, in comments to Bloomberg News, which first reported the development, said he ‌has not ruled out ‌continuing to look into ‌the ⁠project's oversight and potentially ⁠take action if evidence of wrongdoing came to light.

The Fed's Inspector General on Wednesday said it found no grounds for a criminal referral or evidence of administrative misconduct tied to the project cost overruns, ⁠but its conclusion there was lax ‌oversight drew a ‌fresh call from President Donald Trump for Powell's ‌resignation. Powell has remained at the ‌Fed as a governor since stepping down as chair in May.

His successor Fed Chairman Kevin Warsh said on Thursday he would hire an independent ‌auditor to "verify accuracy and compliance" for all of the project's costs.

Blanche told ⁠Bloomberg ⁠News that if this new review finds any evidence of criminal wrongdoing, the Justice Department could investigate.

At his final press conference as Fed chief in April, Powell said he would not leave the Board "until this investigation is well and truly over, with transparency and finality."

A Fed spokesperson had no immediate comment on Blanche's statements.


Copper Crawls Higher on Softer Dollar and Supply Issues

FILE PHOTO: A coil of copper rod sits on the production line for copper flat wire at the Wellascent factory in Ganzhou, Jiangxi province, China, August 14, 2025. REUTERS/Florence Lo/File Photo
FILE PHOTO: A coil of copper rod sits on the production line for copper flat wire at the Wellascent factory in Ganzhou, Jiangxi province, China, August 14, 2025. REUTERS/Florence Lo/File Photo
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Copper Crawls Higher on Softer Dollar and Supply Issues

FILE PHOTO: A coil of copper rod sits on the production line for copper flat wire at the Wellascent factory in Ganzhou, Jiangxi province, China, August 14, 2025. REUTERS/Florence Lo/File Photo
FILE PHOTO: A coil of copper rod sits on the production line for copper flat wire at the Wellascent factory in Ganzhou, Jiangxi province, China, August 14, 2025. REUTERS/Florence Lo/File Photo

Copper prices edged higher on Friday, supported by a weaker dollar and supply issues, but gains were modest due to worries about high oil prices hitting demand.

Benchmark three-month copper on the London Metal Exchange rose 0.5% to $14,319 a metric ton in official open-outcry trading. That marked a decline of 2% since the end of last week.

"Metals have seen light turnover again so far this session with copper finding some support with a slightly softer dollar, but the broader tone remains cautious," Neil Welsh, head of metals at broker Britannia Global Markets, said in a note.

"High energy costs stemming from the ⁠ongoing US-Iran conflict and ⁠signs of industrial weakness in China have weighed on sentiment across the complex."

The dollar index hit its strongest in 17 months this week, but weakened on Friday, making commodities priced in the US currency cheaper for buyers using other currencies.

LME copper has gained 16% over the past six months, largely due to a large shift in ⁠inventories to the US attracted by the prospect of tariffs there, creating shortages elsewhere.

Stocks in warehouses monitored by the Shanghai Futures Exchange <CU-STX-SGH> have slumped by 79% over the past four months to 38,744 tons, their lowest since January 2024.

The SHFE was closed for China's National Day and will reopen on October 8.

The prospect of less output in the world's largest copper producer Chile has also underpinned the market, with data on Wednesday showing production fell 12.8% year-on-year in August.

Supervisors at Chile's Escondida copper mine, the world's largest, rejected a collective ⁠contract offer, ⁠paving the way for a potential strike and adding to supply fears.

"This adds to an overall slump in output, as the industry struggles to maintain aging infrastructure amid difficult operating conditions," Reuters quoted Daniel Hynes, senior commodity strategist at ANZ, as saying in a note.

Among other metals, LME aluminium dipped 0.1% in official activity to $3,121.50 a ton and nickel also shed 0.1% to $15,620.

Zinc rose 0.2% to $3,732.50, lead ticked 0.3% higher to $1,863 and tin was little changed at $54,350.