Italian chemicals manufacturer Mapei has inaugurated the first phase of its second Egypt factory — a EUR 25 mn plant in Tenth of Ramadan — to produce chemical and insulation materials, CEO Veronica Squinzi said in a statement. The 30k sqm plant will initially export 15–20% of its output, with plans to gradually increase its export share over time.

The details: The first phase of the facility has a production capacity of 65k tons of dry cementitious materials and 55 mn liters of concrete and cement additives, Mapei Egypt General Manager Bassem Moustafa told EnterpriseAM. It houses eight production lines manufacturing ceramic and marble adhesives, grouts, concrete admixtures, and grinding aids for the cement industry, Moustafa added. Mapei had previously imported these products into Egypt, recording EUR 20 mn in local sales last year.

The plant has been in the works for over five years, after the Italian manufacturer first touched base for the project in 2019, and broke ground on the first phase of the facility in September 2022. The first phase was completed in late 2023. The company’s first factory — via its subsidiary Vinavil — in the country started operations all the way back in 2002.

Robust demand from Egypt’s real estate and construction sectors has prompted Mapei to move forward with the second phase of the plant, Moustafa told us. The expansion will see two new production lines added on the remaining land area, along with capacity doubling on existing lines. Mapei’s existing Egypt operations recorded EUR 60 mn in total sales last year.

The new plant is hoped to become a regional production and export hub, leveraging Egypt’s trade agreements and regional integration with African nations, according to Squinzi. Mapei will direct the allocated exports to North and East Africa as well as the Middle East. Its first export shipment is scheduled for Kenya in the coming days, Moustafa said, adding that the plant’s export sales could reach EUR 2-4 mn by the end of 2024.

Tags: