Supply Ministry proposes reducing citizens’ share of subsidised bread from five to four

Mohamed Ayyad
2 Min Read

The Minister of Supply and Internal Trade Aly Meselhi made a proposal to the cabinet to double the difference of bread points per person to 20 piastres for each loaf not purchased by citizens, instead of 10 piastres currently, with a reduction of the subsidised bread quota to four loaves instead of five.

Daily News Egypt learned that that the proposal was discussed by the Minister of Supply with the Prime Minister, in the presence of the Finance Ministry. It was initially approved and is expected to be passed to the cabinet during the next few days.

Government sources told Daily News Egypt that the first proposal made by the Minister of Supply stipulated that the government will pay 20 piastres for each loaf not purchased by a citizen. It will pay 50 piastres for the second loaf not purchased. However, the proposal was rejected by the Finance Ministry from fear of adding extra burdens on the state’s budget.

Daily News Egypt also learned that there is a group within the government that suggests leaving the quota of citizens as it is, while doubling bread point incentives, which will be left optional to citizens.

The proposal aims to limit the consumption of subsidised bread and providing the hard currency used in importing wheat, which is mixed with the local one in order to produce subsidised bread, especially that doubling bread points will stimulate citizens to rationalise bread consumption. This will consequently reduce the consumption of wheat and limit manipulation and theft, starting from supplying wheat to distributing bread.

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