ERBIL, Kurdistan Region - Private companies have begun purchasing wheat from farmers across the Kurdistan Region after government procurement ended earlier this month, with officials saying up to 250,000 tons will be bought in two phases, the ministry told Rudaw on Sunday.
Nawzad Sheikh Kamil, director general of trade at the Kurdistan Region's Ministry of Trade and Industry, told Rudaw's Solin Hamadamin that during the first phase, which will last one month, Khoshnaw Company is set to purchase up to 100,000 tons of wheat, while Qaiwan Group will buy 75,000 tons.
"If wheat remains after the first phase, a second phase will be launched," he said, adding that the two companies have the capacity to purchase up to 250,000 tons in total and that the procurement period could be extended if needed.
The move follows the conclusion of the federal government's wheat procurement in the Kurdistan Region on July 18 after Baghdad completed purchases under its approved 400,000-ton quota for the 2026 marketing season, leaving private companies and mills to buy the remaining crop - a decision that allows room for increased local flour production and a reduction reliance on imports.
The Kurdistan Region's General Directorate of Trade said on Sunday that procurement by the private sector began on July 20 and has been underway for six days for the strategic crop.
Under the scheme, private companies will purchase wheat from farmers for 400,000 Iraqi dinars ($300) per ton, provided the grain meets the same quality standards required under Iraq's federal procurement program.
Earlier this year, Baghdad approved the purchase of 400,000 tons of wheat from the Kurdistan Region. Of that total, 292,000 tons produced under Iraq's national agricultural plan were bought for 700,000 dinars ($530) per ton, while more than 108,000 tons produced outside the plan were purchased for 500,000 dinars ($380) per ton.
The 400,000-ton quota marks an increase from the initial 292,000-ton allocation after Kurdish officials argued it was insufficient, though it remains below the 700,000 tons Baghdad purchased from the Kurdistan Region in 2024.
Government procurement in the Kurdistan Region began on June 12 in Erbil and Duhok before expanding to Sulaimani and Halabja. Nationwide, Iraq expects this year's wheat harvest to approach five million tons, supported by favorable rainfall and higher agricultural yields.
Disputes between Erbil and Baghdad over budget transfers, oil exports, and agricultural coordination have repeatedly affected trade and procurement policies in recent years, prompting Kurdish officials to call for equal treatment of farmers in the Region under Iraq’s national support programs amid Iraq’s aim to achieve domestic self-sufficiency in its wheat sector.
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