Rabat – Morocco’s wheat and barley yields are to witness a sharp fall in the 2022-2023 agriculture season, with production going down by more than 70% from last year.
Extreme drought continues to weigh down on the country’s natural resources as the rarity of heavy rainfall over the year affects the majority of growing areas, according to a report from the United States Department of Agriculture’s Foreign Agricultural Service.
For the 2022-2023 agriculture season, wheat and barely total harvested area is set to total 3.8 million hectares, 15% less than the five-year average, said the report.
Barley production is estimated at 2.25 million metric tons (MMT) over the same period, down by a sweeping 70% from last year.
Wheat production will reach an estimated 0.6 MMT this year, 78% down from last year, the report suggested.
Given the poor agriculture season, Morocco’s wheat imports are expected to spike this year. And price volatility is expected to further worsen amid the ongoing Russia-Ukraine war, with the two countries accounting for 24% of Morocco’s wheat imports.
Morocco’s imports will likely reach 6 MMT, a 10% year-on-year increase from last year.
Wheat, flour, and bread prices in Morocco are strictly managed, with the country having a government entity, the National Inter-Professional Office for Cereals and Legumes (ONICL), tasked with monitoring prices to keep bread wheat prices between $260/MT and $280/MT.
ONICL subsidizes common wheat flour, “National Flour,” to preserve the purchasing power of low-income consumers.
As of March 2022, Morocco had 3.6 MT of wheat in reserves, approximately four months of consumption.
To counter adverse weather, Morocco’s government took several measures including scrapping taxes on imported wheat, as well as an emergency anti-drought program for Moroccan farmers.
Under the program, the government will distribute 700,000 MT barely at a price of $200 per ton, covering the cost of transport to remote areas.
The program will also provide 400,000 MT of compound feed to farmers to offset the rising prices of animal feed.
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