Soft Wheat: Morocco Reinforces Support for Imports
Morocco has reactivated its support mechanism for soft wheat imports intended for milling. This program will be in effect from September 16 to December 31, 2026, featuring a flat-rate premium aimed at offsetting part of the procurement costs in international markets.
The details of this measure were outlined in a circular from the National Interprofessional Office for Cereals and Pulses (ONICL), dated August 18, 2026.
A System to Secure Supplies for Mills
The reactivation of the mechanism follows a joint decision made on August 3 by the Ministries of Economy and Finance and Agriculture.
This program pertains to imports made by storage organizations, including grain and pulse traders as well as agricultural cooperatives. The industrial mills are also eligible for this measure, which aims to facilitate their supply of soft milling wheat.
Through this intervention, the authorities seek to maintain sufficient supply conditions for the domestic market, especially given the limited availability of wheat from local production.
National Harvest Below Expectations
This decision comes amid a backdrop of a grain harvest that has proven to be less significant than anticipated. According to milling professionals, approximately 6 million quintals of wheat have been collected, while the initial targets were set at 15 million quintals.
The collected volume thus represents only about 12% of the annual needs of the mills, highlighting the urgent necessity to rely on imports to ensure a continuous supply.
This situation is further compounded by a gradual decrease in stocks that were built up before the previous suspension of imports.
International Prices Affect Procurement Costs
Alongside the domestic supply deficit, the evolution of wheat prices on international markets is a concern. According to industry professionals, current price levels indicate a gap estimated between 14.5 and 15 dirhams per quintal compared to the reference price set in Morocco.
However, this differential is not static; it may change based on fluctuations in global wheat prices.
It is specifically to absorb part of this gap that the restitution mechanism has been reactivated. The flat-rate premium is intended to help importers and the relevant mills reduce the impact of soft wheat purchase costs on the international market.
Temporary Support Until the End of December
The mechanism will be in place for a period of over three months, from September 16 to December 31, 2026. Its implementation therefore occurs at a strategic moment to secure the needs of Moroccan mills while awaiting developments in wheat availability on the domestic market and international prices.
As such, the measure is expected to contribute to the consistency of soft milling wheat supply in the Moroccan market, in a context where local production alone cannot meet the sector’s needs.
