Economic Developments in Iraq
In a significant advancement for agricultural development, the Governor of Karbala, Nassif Al-Khattabi, on Thursday, inaugurated the foundation for 22 grain storage facilities aimed at bolstering the region’s grain processing capacity. During the event, Al-Khattabi emphasized the superior quality of wheat produced in the province, which is expected to support diverse food industries. Current wheat production in Karbala has surpassed 250,000 tons.
According to Al-Khattabi’s statement, the holy city of Karbala is undergoing a substantial transformation in reconstruction, urban development, and agricultural output. He highlighted that historical wheat production for the governorate was under 5,000 tons, reflecting a remarkable growth trajectory. The newly laid foundation will add significant storage capacity, with each of the 22 facilities designed to hold approximately 160,000 tons of grain, thus substantially increasing the region’s storage capabilities.
In addition to this initiative, Al-Khattabi mentioned an upcoming project in the Ain Al-Tamr district, which has already received approval from the Prime Minister. The groundwork for this project is set to commence shortly.
On the topic of agricultural production, Al-Khattabi noted that Karbala has made outstanding strides in wheat cultivation, highlighting both the quantity and quality that meet the standards necessary for various food applications. This growth, however, must be managed carefully, particularly in light of last year’s wheat crop production figures. Haider Nuri Al-Khawawi, the Director General of Grain Trade, revealed that last year’s wheat crop production reached 6.3 million tons, though this year’s yield is anticipated to be lower due to inadequate rainfall.
Al-Khawawi also reported that Karbala’s production remains consistent with the previous year, with potential for improvement based on agricultural methodologies. Current estimates suggest production in Karbala may range from 5,000 to 7,000 tons per season, representing a notable increase from earlier years.
There is a strategic plan in place, developed collaboratively by the Prime Minister, the Minister of Trade, and the General Cereal Trading Company, to enhance grain storage capacities across all Iraqi governorates. Recent developments have already seen the establishment of ten new facilities in Najaf, with plans to continue expansion in Karbala and other regions, including Maysan, Shatra, Nineveh, and Salah al-Din. With an ambitious goal to produce wheat exceeding the annual need estimated at 4.7 million tons, Iraq is on course to potentially position itself as a key supplier of wheat in the coming years, with targeted production reaching 6.3 million tons.
