Egypt Independent: Business-Main news http://www.egyptindependent.com//enhome_channel/Economy/rss.xml en Egypt's GASC buys 240,000 tonnes Russian, Romanian wheat http://www.egyptindependent.com//node/2451127 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/05/12/484151/image.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Egypt&#39;s state grain buyer, the General Authority for Supply Commodities (GASC), said on Thursday it had bought 240,000 tonnes of Russian and Romanian wheat in a tender for July 1-10 shipment.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Egypt, the world&#39;s biggest importer of wheat, bought 60,000 tonnes of Romanian wheat from Nidera, 120,000 tonnes of Russian wheat from Union Co. and 60,000 tonnes of Russian wheat from Vitol, Mamdouh Abdel Fattah, GASC vice-chairman, said.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">The wheat was purchased at an average price of $199.28 a tonne on a cost-and-freight basis, he said.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Traders gave the following breakdown of the purchase:</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">-60,000 tonnes of Romanian wheat from Nidera at $191 a tonne on a free-on-board basis (fob) and $8.20 a tonne freight from National Navigation</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">-60,000 tonnes of Russian wheat from Union Co. at $190.72 a tonne fob and $8.50 a tonne freight from National Navigation</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">-60,000 tonnes of Russian wheat from Union Co. at $190.72 a tonne fob and $8.50 a tonne freight from National Navigation</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">-60,000 tonnes of Russian wheat from Vitol at $191 a tonne fob and $8.50 a tonne freight from National Navigation</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Apart from purchases on the international market, Egypt is also in the middle of its local wheat procurement season. The North African country has purchased more than 4 million tonnes of Egyptian wheat since mid-April from its farmers, surpassing a 3.7 million tonne target.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">The Egyptian government, which will continue buying local wheat until mid-July, annually fixes a local procurement price for Egyptian wheat that is above global prices in an attempt to encourage farmers to grow the crop.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">After this latest tender, Egypt&#39;s strategic wheat reserves will last until Nov. 20, Supplies Minister Khaled Hanafi said in a statement.</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><strong><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">OFFERS</span></strong></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Traders said the following offers were presented, in dollars a tonne, on a free-on-board basis, unless otherwise stated:</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Vitol: 60,000 tonnes Russian at $191.38</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Nidera: 60,000 tonnes Romanian at $191.49, 55,000 tonnes Russian at $196.95</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Union Co.: 60,000 tonnes Russian at $192.50, 60,000 tonnes Russian at $193</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Louis Dreyfus: 60,000 tonnes Russian at $192.64</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Bunge: 60,000 tonnes Romanian at $193.69</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Ameropa: 60,000 tonnes Romanian at $197.88</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*ADM: 60,000 tonnes Polish at $198.90</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Soufflet: 60,000 tonnes French at $198.94 from two ports</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Aston: 60,000 tonnes Russian at $198.98</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Olam: 60,000 tonnes Russian at $199.70</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Glencore: 60,000 tonnes Russian at $202</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Cargill: 60,000 tonnes Russian at $203</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">FREIGHT</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Traders also said the following freight (ocean shipping) offers were made in the tender, in dollars per tonne:</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Russia</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*National Navigation Company: $8.50</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Mina Dubai: $8.80</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Union Co: $7.50, $8.00</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*United: $8.28</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Nidera: $8.85</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Romania:</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*National Navigation Company: $8.20</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Embros: $8.40</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Venus: $8.29</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Nidera: $8.25</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">France</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*National Navigation Company: $13.10</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Venus: $11.43</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*United: $12.45</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">Poland:</span></p><p style="font-family: verdana, helvetica, sans; margin-bottom: 1em; padding: 0px;"><span class="focusParagraph" style="color: rgb(0, 0, 0); font-family: arial, helvetica, sans; font-size: 13px; line-height: 15.6000003814697px;">*Mina Egypt: $13.9</span></p> Thu, 28 May 2015 17:32:00 +0000 Reuters 2451127 at http://www.egyptindependent.com sites/default/files/photo/2014/05/12/484151/image.jpg Egypt's market loses LE2.5 billion on Thursday, EGX30 down 0.6% http://www.egyptindependent.com//node/2451106 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2013/12/26/484151/__sqwt_mwshr_blbwrs_lmy_tswyr_mhmd_mrwf_4_536.jpeg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p>Egypt&#39;s market closed on Thursday in the red zone for the third session in a row, as the benchmark EGX30 index inched down 0.61 percent, recording 8,912.05 points and a turnover of LE709&nbsp; million, the Egyptian Exchange data showed. <o:p></o:p></p><p>Meanwhile, the small and mid-cap index EGX70 and the broader EGX100 index declined 1.19 percent and 0.83 percent, respectively, <o:p></o:p></p><p>Arab, local and foreign institutions were net sellers, recording net flows of LE16.6 million, LE16.19 million and LE14.3 million, respectively, while Arab, local and foreign investors&nbsp;were net buyers, recording net flows of LE7.7 million, LE39.9 million and LE131,031, respectively.<o:p></o:p></p><p>The EGX market capital lost LE2.48 billion (US$326 million) to hit LE501.11 billion, compared to LE503.59 billion on Tuesday.<o:p></o:p></p> Thu, 28 May 2015 13:38:00 +0000 Egypt Independent 2451106 at http://www.egyptindependent.com sites/default/files/photo/2013/12/26/484151/__sqwt_mwshr_blbwrs_lmy_tswyr_mhmd_mrwf_4_536.jpeg Egyptian pound steady at official auction, on black market http://www.egyptindependent.com//node/2451092 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/12/01/499612/dollar_vs_egyptian_pound.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p>&nbsp;Egypt&#39;s central bank kept the pound steady at 7.53 to the dollar at a foreign exchange auction on Thursday, while the currency was largely stable on the black market.</p><p>The central bank has held the official exchange rate steady for more than three months since letting the pound weaken at the beginning of 2015. This weakening and other measures have helped reduce black market trading significantly.</p><p>In Thursday&#39;s auction, the bank said it had offered $40 million and sold $37.8 million at a cut-off price of LE7.5301 per dollar, unchanged from Tuesday&#39;s rate.</p><p>On the black market, the pound was trading at 7.67 LE to the dollar on Thursday, a trader said, virtually unchanged from the LE7.675 on Tuesday.</p><p>Black market traders say volumes have fallen sharply since the central bank&#39;s drive to stamp out their transactions, including the introduction in February of a cap on the amount of dollars that can be deposited in banks.</p> Thu, 28 May 2015 12:24:00 +0000 Reuters 2451092 at http://www.egyptindependent.com sites/default/files/photo/2014/12/01/499612/dollar_vs_egyptian_pound.jpg EGX changes rules to benchmark index to encourage listings http://www.egyptindependent.com//node/2451090 <img src="http://www.egyptindependent.com///sites/default/files/imagecache/media_thumbnail/photo/2014/06/19/484151/217788_0.jpg" alt="" title="" class="imagecache imagecache-media_thumbnail" width="152" height="114" /><p>&nbsp;Egypt&#39;s stock exchange said on Thursday it would reduce the free float required for new companies to list on its benchmark EGX30, as part of structural changes to the index with the aim to boost trading in the Arab world&#39;s most populous country.</p><p>Companies were previously required to have a 15 percent free float to list on the EGX30. Under the new rules, which take effect on Aug. 1, firms will be able to join with a minimum 5 percent free float as long as the market value of the float is at least LE100 million ($13 million).</p><p>The reforms aim to help reinvigorate trading in Egypt, which has struggled to win investor confidence during years of political and economic turmoil since a popular uprising in 2011.</p><p>&quot;For a company to enter the EGX30, its shares had to be traded 50 percent [of trading days] in the last six months,&quot; Mohamed Omran, the head of Egypt&#39;s bourse, told Reuters.</p><p>&quot;This isn&#39;t right because it means if there&#39;s an actively traded company but it is newly listed, then it couldn&#39;t join the index,&quot; said Omran.</p><p>The new rules stipulate that a company&#39;s shares have to be traded on 75 percent of the trading days since its listing date. That move could prompt the addition to the EGX30 of Egyptian foodmaker Edita, which first listed in April.</p><p>The free float reduction could also pave the way for the entrance of Orascom Construction into the index, since its free float is less than 15 percent but the market value of its free floating shares is more than LE100 million.</p><p>Omran also said the bourse planned to launch a new equal-weighted index that would include the top 50 companies in terms of liquidity from Aug. 1.</p><p>&quot;Each company will have only a 2 percent weight of the overall index,&quot; he said.</p> Thu, 28 May 2015 12:13:00 +0000 Reuters 2451090 at http://www.egyptindependent.com sites/default/files/photo/2014/06/19/484151/217788_0.jpg