Morocco on Friday announced a set of incentives for local millers to opt for domestic wheat instead of imports. They include a flat rate subsidy of 10 dirhams ($1.068) per 100 kg of soft wheat to millers using local wheat, the Ministry of Agriculture said in a statement. The benefits also include a premium of 2 dirhams per 100 kg per 15 days for storage agencies, it said.
The government set a reference price for standard quality soft wheat at 280 dirhams per 100kg, it added. The measures enter into effect for locally harvested wheat between May 16 and Oct. 15. Last week, the government raised customs duty on soft wheat to 135 percent from 30 percent to reduce imports. The decision will become effective once it is published in the official bulletin and last until Oct. 31.