BMI View: With wheat and dairy production systematically short of consumption, Algeria is a major importer of food products. The ongoing fiscal difficulties of the government due to prolonged low oil prices and weak government revenue is starting to impact agricultural products' consumption as the government enacted import controls and VAT increases on some commodities. Meanwhile agricultural production remains very dependent on the weather. This, coupled with low yields, will keep output growth weak over the coming years and Algeria will remain a key importer of wheat and dairy products in the coming years. The country is increasingly expanding trading links with countries such as Brazil and India, especially for dairy and beef products, and away from its traditional suppliers such as France.