Miller Magazine Issue: 134 February 2021
36 NEWS MILLER / february 2021 Morocco is projected to increase wheat imports by 1.9 million tons to a record 6.5 million during the current 2020/21 marketing year, making it a key player in global wheat trade. Morocco implements import tax exemptions for wheat amidst production crisis Rising imports in Morocco are a direct result of low domestic production following two consecutive years of drought. While Morocco wheat production is nor- mally volatile, the 2020/21 crop was particularly affec- ted by dry weather and fell to nearly half of the 5-year average. In response, the Moroccan government issued an exemption on import tariffs for common (non-du- rum) wheat beginning January 2, 2020. The exemption was also expanded to include durum wheat beginning April 1, 2020. The Moroccan government typically reduces and inc- reases its import duties according to the local harvest schedule and the local supply and demand situation. However, a zero-rate import tariff, particularly for a sustained period, is unprecedented, and reflects the severity of Morocco’s supply situation. The exemption allows for an influx of international wheat to fulfill the country’s consumption needs, thus removing typical protections for domestic producers while lowering pri- ces for consumers. Recently, the tariff exemption was once again extended through May 31, 2021. Morocco wheat imports are typically sourced from Europe and the Black Sea. France has dominated the market over the past few years; however, its reduced 2020/21 crop, increased shipments to China, and pri- ce disadvantage compared to Black Sea wheat supp- liers have limited exports from France to Morocco to date for 2020/21. Instead, Ukraine has dominated the non-durum market given its competitive pricing, near- ly doubling its exports over the same period last year. Canada continues to be Morocco’s primary supplier of durum wheat. USDA Sukup Manufacturing Co. announced the company will expand its manufacturing facil- ities with a new location in Hampton, Iowa. Sukup announces facility expansion in Iowa The approximately 30,000-square foot facility is loca- ted in the industrial park on the west side of Hampton. Sukup is currently accepting applications for immediate hires at the Hampton location, and plans to have the facility fully operational by the end of March 2021. “Sukup has experienced incredible growth in the past 20 years, and with that growth comes the continued need for investment and expansion,” said Steve Sukup, president and CEO of Sukup Manufacturing. “This new facility in Hampton will significantly expand our manu- facturing capacity and help us meet the demand for our innovative products within the agriculture community.” He added, “We are proud to provide so many jobs in north central Iowa, and this facility will create even more new job opportunities in the region.” Sukup Manufacturing Co. is the world’s largest fa- mily-owned and operated manufacturer of grain sto- rage, grain drying and handling equipment, and steel buildings. The company is headquartered in Sheffield, Iowa, and covers one million square feet of office, ma- nufacturing and warehouse space. Sukup’s product line includes on-farm and commercial grain bins; portab- le, mixed-flow and tower dryers; centrifugal and axial fans and heaters; stirring machines; bin unloading equ- ipment and bin floors and supports. Sukup also manu- factures material handling equipment including bucket elevators, conveyors and support structures; and steel buildings.
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