Iraqi Minister of Trade Mustafa Nizar al-Ani announced on Saturday that the Ministry of Trade has disbursed 350 billion Iraqi dinars (approximately $267 million) to wheat farmers across Iraq, including those in the Kurdistan Region, as part of an accelerated effort to settle government payments during a strong harvest season.

Speaking to Rudaw, Ani said the ministry remains committed to purchasing wheat from all Iraqi provinces and the Kurdistan Region, emphasizing that supporting local farmers and ensuring food security are top government priorities.

The Iraqi Council of Ministers has approved a tiered pricing system for this year's wheat procurement campaign. Farmers registered under the national agricultural plan will receive 700,000 Iraqi dinars (about $534) per ton, while wheat produced outside the official plan will be purchased at 500,000 dinars (about $382) per ton.

Baghdad initially capped wheat purchases from the Kurdistan Region at 292,000 tons for the current season. However, following discussions with Kurdistan Regional Government officials, the federal government increased the quota to 400,000 tons in May.

Despite the increase, federal wheat procurement from the Kurdistan Region remains below previous levels. Baghdad purchased 700,000 tons from Kurdish farmers in 2024 before reducing the ceiling to 400,000 tons for 2025 and maintaining the same level this year.

Heavy rainfall across Iraq has significantly boosted agricultural production, with the country's total wheat harvest expected to exceed five million tons. The abundant harvest has prompted authorities to begin procurement operations earlier than usual.

Ani said the government's immediate objective is to maintain food security, achieve self-sufficiency, and fully meet domestic demand. He noted that wheat exports remain a long-term goal and would only be considered after Iraq achieves stable production surpluses over several consecutive seasons.

To support local producers, the Iraqi government last week imposed a temporary ban on wheat imports until the end of the current marketing season. According to Ani, Iraq now relies primarily on domestic production to supply flour mills and the national food ration program, with imports reserved only for exceptional shortages.

Earlier this month, a senior Trade Ministry official also projected that Iraq's wheat harvest would surpass five million tons, reinforcing the country's growing agricultural self-sufficiency.