Page 35 - AA 2023 Year Book Website

Libya

CLOSE TO AVERAGE CEREAL PRODUCTION IN 2022

Harvesting of the 2022 winter grain imports from Ukraine, and 20 percent
crops concluded in July, harvesting of from the Russian Federation. Almost 65
small quantities of spring sown millet is percent of total maize imports of 650 000
being finalized. Overall rainfall amounts tonnes, and 50 percent of total barley im-
in the main producing areas along the ports of 1 million tonnes originated from
coast were satisfactory and cereal crop Ukraine, making the country vulnerable
production in 2022 is estimated at a to disruptions in shipments from the
slightly below average level of 209 000 Black Sea region.
tonnes, unchanged from the previous
year. Political instability
prevails, hindering
economic growth

After a contraction of over 20 percent
year on year in 2020, the World Bank es-
timated that the Libyan economy grew In January 2021, the Central Bank de-
by over 30 percent in 2021, driven by valuated the national currency from
strengthening global oil prices and im- about LYD 1.412/USD to LYD 4.48/USD,
proved political stability. Despite el- decreasing the gap between the official
evated international crude oil prices and parallel market rates. After a period
benefiting the economy that is reliant on of relative stability in the first nine month
exports of hydrocarbons, disruptions to of 2021, the currency began to depreci-
oil production and security tensions fol- ate again reflecting political uncertainty.
Following the ceasefire agreement in
October 2020, the security situation in lowing the delay of national elections As of early August 2022, USD 1 sold for
LYD 4.89 officially, and LYD 5.09 on the
in December 2021 make predictions of
the country has improved, facilitating economic growth in 2022 unreliable. parallel market.
farmers’ access to the fields, but the risk
of military clashes remains. Farmers re- In 2021, daily oil production averaged According to the 2022 Libya Humani-
port that power cuts and high prices of about 1.2 million barrels. Since mid April tarian Needs Overview, about 0.8 million
inputs, including seeds, water, fuel and 2022, oil output per day has been par- people (10 percent of the population) are
machinery, continue to constrain their ticularly volatile, bottoming out at less estimated to be in need of humanitarian
ability to cultivate land. than 200 000 barrels owing to protests in assistance, down from 1.3 million one
Agricultural production is also con- fields and ports amidst the political cri- year earlier. It includes 500 000 people
strained by the landscape, only about sis. requiring food assistance, about a third
12 percent of the total area of 15.4 mil- less than in 2021.
lion hectares is arable. Although 470 000
hectares are suitable for irrigation, only
some 240 000 hectares are currently ir-
rigated due to concerns over the deple-
tion of underground water. Cereals are
cultivated in the coastal regions, where
rainfed production or cropping with sup-
plementary irrigation is possible, and in
some arid areas in the south under full ir-
rigation. The most commonly grown veg-
etables are tomatoes, peppers, onions
and leafy greens.
The country relies heavily on imports
(up to 90 percent) to cover its cereal con-
sumption requirements (mostly wheat
for human consumption and barley for
feed) and changes in domestic cereal
production have a limited impact on the
magnitude of the import requirement. In
the 2022/23 marketing year (July/June),
the import requirement is projected at
3.2 million tonnes, about the same as in
the previous year and close to average.
Between 2016 and 2020, the country
sourced over 30 percent of its wheat
Arab Agriculture 2023 33