May 30, 2011
Iraq cancels direct cash purchases of food items
Iraq's trade ministry has cancelled direct cash purchases of essential food items, such as sugar, wheat and rice, as a measure to halt corruption, Deputy Trade Minister Sweiba Mahmoud said Sunday.
The move was announced as a 100-day target set by Prime Minister Nuri Al-Maliki to improve his fragile coalition government’s performance in the face of popular protests against shortages and corruption neared its early June deadline.
Although direct cash food purchases were being halted, Iraq, one of the world’s largest grain importers, would continue to hold public and selective tenders to supply its food needs.
Most of the essential food items imported for the national monthly food ration program had come from direct cash purchases, a ministry source said.
Mahmoud told a news conference the bulk of corruption problems in the country’s food supply channels had been experienced in the area of direct cash purchases.
"There was a mechanism of cash purchase in the trade ministry and this mechanism has been cancelled," she said.
Iraq has faced protests this year by citizens angry about corruption.This included complaints about the monthly food ration giving Iraqis supplies of rice, cooking oil and other staples.
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