Egypt cotton exports record high revenues despite Russia-Ukraine war
Despite the Russian war on Ukraine and its negative repercussions on global trade, Egypt succeeded in exporting 50,000 tons, or up to 75%, of its cotton production this season.
CAIRO — Despite the Russian war on Ukraine and its negative repercussions on global trade, Egypt succeeded in exporting 50,000 tons of cotton by the end of February, i.e., up to 75% of its production this season, estimated at 62,000 tons. The exports amounted to 5 billion Egyptian pounds ($274 million), an increase of 1.3 billion pounds ($71.2 million) compared to the same period last year, which witnessed exports worth 3.7 billion pounds ($203 million), according to data from the Cotton Arbitration and Testing General Organization.
The cotton production season in Egypt begins in April and extends until August; the export season extends from October until March.
It seems that Egypt benefited from the increase in global energy prices and the lack of global cotton production as a result of Russia's war on Ukraine, making the demand for Egyptian cotton high. This has contributed to an increase in Egypt’s agricultural export revenues and thus supporting its national economy.
On Feb. 24, Russian President Vladimir Putin announced the launch of a military operation to invade Ukraine, which had a severe impact on global trade and caused a significant rise in energy and oil prices. This was largely reflected in the fuel price hike.
