Government subsidies

Iraq sends second wheat payment to farmers in Kurdistan Region

ERBIL – The Iraqi government released the second round of payments for wheat to farmers in the Kurdistan Region on Friday. The funds will be distributed among the governorates of Erbil, Sulaymaniyah, and Duhok.

Following negotiations on wheat quotas between the Kurdistan Regional Government and the Iraqi federal government, government-operated silos in the region started purchasing wheat on June 6.

Nawzad Sheikh Kamil, the General Director of Trade in the Kurdistan Region, informed 964media, “Baghdad has sent 20 billion dinars ($15,260,000). The distribution process will commence after the Eid al-Adha holiday.”

The allocation of the 20 billion dinars includes 10 billion dinars ($7,630,000) for Sulaymaniyah, six billion dinars ($4,578,000) for Erbil, and four billion dinars ($3,052,000) for Duhok.

This year, the Iraqi Ministry of Trade aims to procure 700,000 tons of wheat from local farmers, an increase from last year’s 500,000 tons. The targeted procurement is broken down as 282,000 tons for Sulaymaniyah, 228,000 tons for Erbil, and 189,000 tons for Duhok.

Farmers who have delivered their wheat to the silos are now eligible to collect their payment checks. They will receive 850,000 dinars ($649) per ton, a rate significantly higher than the current market prices of 350,000 to 400,000 dinars per ton ($267 to $306).

Earlier, the Iraqi government had allocated an additional 6 billion dinars ($4,578,000) for wheat payments, with 3 billion dinars ($2,289,000) earmarked for Sulaymaniyah and the remainder split between Erbil and Duhok.