Iraq's Wheat Surplus Sparks Economic Debate Amid Climate and Budget Challenges

Iraq, facing a wheat surplus due to better rains and government subsidies, risks a net loss of almost $500 million. While this benefits farmers, the high subsidy cost strains the government's budget. Critics cite poor planning and call for a better balance between farmer motivation and resource management.

Iraq's unexpected wheat surplus, stemming from favorable rains and substantial government subsidies, has poised the country on the brink of a nearly $500 million financial shortfall.

Beneficial for local farmers, the bumper crop comes at a steep cost to the government, which offers more than twice the global market price in a bid to sustain agriculture in its arid climate.

Officials, mill owners, and agriculture experts have voiced concerns over planning inefficiencies, emphasizing the need for a recalibration of resources and strategies to motivate farmers effectively.

(With inputs from agencies.)