Berliner Boersenzeitung - Tunisia struggles to grow more wheat as Ukraine war bites

EUR -
AED 4.095102
AFN 72.480008
ALL 90.801688
AMD 402.807486
ANG 1.995737
AOA 1023.635334
ARS 1721.721299
AUD 1.61933
AWG 2.007127
AZN 1.900047
BAM 1.955836
BBD 2.250342
BDT 139.162586
BGN 1.948955
BHD 0.422108
BIF 3342.96213
BMD 1.115071
BND 1.431727
BOB 13.402249
BRL 6.138357
BSD 1.117321
BTN 104.873949
BWP 15.391286
BYN 3.345962
BYR 21855.38619
BZD 2.247142
CAD 1.573644
CDF 2586.964483
CHF 0.914162
CLF 0.027822
CLP 1094.980351
CNY 7.444774
CNH 7.438418
COP 3608.76707
CRC 506.709417
CUC 1.115071
CUP 26.815498
CVE 110.267049
CZK 24.346956
DJF 198.963698
DKK 7.480457
DOP 67.891262
DZD 151.940824
EGP 59.957114
ERN 16.726061
ETB 183.378708
FJD 2.526309
FKP 0.834974
GBP 0.834166
GEL 2.893653
GGP 0.834974
GHS 13.055243
GIP 0.834974
GMD 83.077063
GNF 9896.183924
GTQ 8.538159
GYD 234.234353
HKD 8.744429
HNL 30.029558
HRK 7.547925
HTG 146.432722
HUF 363.51345
IDR 20192.258205
ILS 3.552538
IMP 0.834974
INR 104.716854
IQD 1693.83148
IRR 2108992.359359
ISK 136.919964
JEP 0.834974
JMD 177.323296
JOD 0.790629
JPY 176.710877
KES 145.192698
KGS 97.510486
KHR 4552.084602
KMF 492.86165
KPW 1003.563608
KRW 1520.737678
KWD 0.346765
KYD 0.931217
KZT 500.809308
LAK 25136.46717
LBP 100053.859534
LKR 371.556906
LRD 189.94353
LSL 18.477643
LTL 3.292514
LVL 0.674496
LYD 7.150133
MAD 10.921803
MDL 19.971371
MGA 5077.094359
MKD 61.556144
MMK 2341.587311
MNT 4015.514918
MOP 9.019368
MRU 45.108838
MUR 52.442198
MVR 17.176258
MWK 1937.436008
MXN 20.766565
MYR 4.528864
MZN 71.257178
NAD 18.477643
NGN 1502.23485
NIO 41.120764
NOK 10.548462
NPR 167.798119
NZD 2.015128
OMR 0.428348
PAB 1.117421
PEN 3.848972
PGK 5.092095
PHP 70.369926
PKR 309.016043
PLN 4.399568
PYG 6984.129802
QAR 4.084276
RON 5.343646
RSD 117.622186
RUB 91.352798
RWF 1649.13065
SAR 4.188587
SBD 8.974739
SCR 15.358485
SDG 670.719139
SEK 11.033072
SGD 1.430306
SHP 0.835103
SLE 25.591287
SLL 23382.48045
SOS 638.511867
SRD 41.908265
STD 23079.712667
STN 24.500455
SVC 9.776182
SYP 14498.149201
SZL 18.471343
THB 37.411034
TJS 10.307092
TMT 3.902748
TND 3.343362
TOP 2.684822
TRY 55.9111
TTD 7.577141
TWD 36.546782
TZS 2952.454872
UAH 50.616941
UGX 4570.084937
USD 1.115071
UYU 44.950835
UZS 13332.247784
VES 999.456181
VND 28526.296796
VUV 132.393741
WST 3.108622
XAF 655.957
XAG 0.021465
XAU 0.000274244363
XCD 3.013535
XCG 2.013637
XDR 0.788413
XOF 655.957
XPF 119.331742
YER 263.853652
ZAR 18.420333
ZMK 10036.978597
ZMW 22.703422
ZWL 359.052318
SSP 6406.340367
MXV 2.33632
  • CMSD

    -0.1200

    19.81

    -0.61%

  • JRI

    0.0000

    10.77

    0%

  • BCC

    -1.8200

    74.15

    -2.45%

  • CMSC

    -0.2228

    19.53

    -1.14%

  • BCE

    0.2000

    20.34

    +0.98%

  • RIO

    0.0100

    94.17

    +0.01%

  • AZN

    -2.7400

    161.47

    -1.7%

  • GSK

    -1.1800

    48.17

    -2.45%

  • RBGPF

    0.0000

    65

    0%

  • NGG

    0.8800

    75.82

    +1.16%

  • RYCEF

    -0.7300

    19.08

    -3.83%

  • BTI

    -0.4500

    54.4

    -0.83%

  • BP

    0.4700

    43.99

    +1.07%

  • RELX

    -0.0600

    33.18

    -0.18%

  • VOD

    -0.1800

    16.15

    -1.11%

Tunisia struggles to grow more wheat as Ukraine war bites
Tunisia struggles to grow more wheat as Ukraine war bites / Photo: FETHI BELAID - AFP

Tunisia struggles to grow more wheat as Ukraine war bites

Tunisian farmer Mondher Mathali surveys a sea of swaying golden wheat and revs his combine harvester, a rumbling beast from 1976 which he fears could break down at any moment.

Text size:

Since the Ukraine war sent global cereal prices soaring, import-dependent Tunisia has announced a push to grow all its own durum wheat, the basis for local staples like couscous and pasta.

The small North African country, like its neighbours, is desperate to prevent food shortages and social unrest -- but for farmers on the sun-baked plains north of Tunis, even the basics are problematic.

"I'd love to buy a new combine harvester, but I could only do it with help from the government," said Mathali, 65.

He reckons his outdated machine wastes almost a third of the crop. With spare parts hard to find, he fears a breakdown could cost him his entire harvest.

But even a second-hand replacement would cost him an unimaginable sum: $150,000.

"Our production and even the quality would go up by maybe 50 percent, even 90 percent" with government help, he said.

"But our situation is getting worse and the state isn't helping us."

- 'No continuity' -

Tunisia's wheat production has suffered from years of drought and a decade of political instability, with 10 governments since the country's 2011 revolution.

That has exacerbated its reliance on imports. Last year, it bought almost two-thirds of its cereal from overseas, much of it from the Black Sea region.

Those supply chains have been rocked first by the coronavirus pandemic and then by the war in Ukraine, which last year provided around half of Tunisia's imports of the soft wheat used in bread.

While it still plans to import soft wheat, the country is pushing for self-sufficiency in durum wheat by the 2023 harvest.

That would be a valuable contribution to the national diet: the average Tunisian eats 17 kilograms (37 pounds) of pasta per year, second only to Italians.

In April, the government unveiled a programme to help farmers access better seeds, technical assistance and state-backed loans.

It also plans to devote 30 percent more farmland to wheat, and has dramatically boosted the prices it pays growers.

But the agriculture ministry's chief of staff acknowledged Mathali's problems.

"Tunisia has about 3,000 combine harvesters, 80 percent of which are old and very wasteful, which represents a major loss," said Faten Khamassi.

She said the state plans to fund farmers' collectives to buy shared equipment.

- 'Need to choose' -

Agricultural technician Saida Beldi, who has worked with farmers in the northern Ariana governorate for three decades, says political instability has gutted the sector.

With each new minister, "the policy changes", she said. "There's no continuity."

She said many farmers struggled to obtain state-subsidised fertilisers, which trade on the black market at inflated prices.

Khamassi said it was "certainly possible to reach self-sufficiency in durum wheat".

But she said Tunisia faces another dilemma: "develop cereal production to reach self-sufficiency, or develop other crops like strawberries and tomatoes for export? We need to choose."

International organisations have long pushed poorer countries to focus on specific cash crops for export, rather than growing essentials.

A 2014 World Bank report argued that Tunisia "does not have a strong comparative advantage in cereals" and should instead focus on "labour intensive" crops because of cheap labour.

But in June, announcing a $130 million loan for emergency cereal imports, the lender said it was providing "incentives to sustainably increase domestic grain production" and cut import dependency.

Today, Khamassi said, comparative advantage is "no longer relevant".

"We need to return to much more self-sufficient policies, local production," she said.

- Changing times -

The ministry also said in June that it would allow foreign investors to own agricultural firms outright, instead of requiring at least one-third Tunisian ownership.

Khamassi said this would attract investment and create jobs.

But economist Fadhel Kaboub said this strategy would make Tunisia even more vulnerable.

"Small-scale Tunisian farmers operating on small plots of land will not be able to compete with big foreign investors with access to cheap loans from European banks," he said.

"These companies' business model is to push for cash crops for export, to earn dollars and euros -- not to produce wheat to sell for dinars in the local market."

For farmer Mathali, who hopes to pass his business on to his son, the stakes couldn't be higher.

"Tunisia was the Roman Empire's main supplier of wheat," he said, squinting under the summer sun.

"Why can't we revive that?"

(P.Werner--BBZ)