Economic Literature Review

Demand and Supply Challenges of Food Security in Egypt

Publication Number: ECES-ELR2

July, 2015

Author : Racha Ramadan

Type : Economic Literature Review

Egypt is facing high rates of poverty and unemployment, with 17 percent of Egyptians suffering from food insecurity in 2011. Food insecurity is an important challenge facing the Egyptian government, especially after the 25th of January Revolution and its second wave in June 2013. This paper reviews the food security situation in Egypt, shedding light on the main factors affecting the food situation on both the demand and supply sides. The paper takes into consideration the food subsidy system that has always ensured food security in Egypt. The paper concludes that more reform of the subsidy system is crucial given its increasing budget and its inefficiency. Moreover, Egypt cannot afford to continue depending on food imports without increasing its local food production as well as exports to secure the needed foreign currency.