USD 1.3 bn worth of new projects are heading the Suez Canal Economic Zone’s way, after they were greenlit by the Ministerial Group for Industrial Development.

#1- A USD 1 bn project for the production of pesticides, chlorine, and alkali products — all core chemical inputs used across several sectors, including agriculture, water treatment, food processing, and manufacturing. This new plant will help us slash our import bill, seeing that we currently rely on imports to meet local demand for these products.

#2- A USD 291 mn tire manufacturing plant, which would support the government’s push tolocalize the production of automotive components. The localization of tires and other auto parts is high on the government’s list, especially as it looks to position the country as an automotive manufacturing hub.

PLUS- Three new cement factories will be up and running within a year after securing the green light from the group, each with a single production line. The group also approved the expansion of several other cement plants. The new licenses and expansions are expected to equip local manufacturers for a spike in demand in preparation for Gaza’s reconstruction and help stabilize prices.

We also expect local demand for cement to pick up in the short term, driven by the implementation of massive national projects and the reinstatement of the 2008 building law, which will contribute to stimulating private construction activity. Demand is also on the rise from regional and international markets, which creates significant prospects for local factories to boost exports, Federation of Egyptian Industries Egyptian Cement Division Chairman Ahmed Shireen Korayem has previously told us.

** The statement didn’t disclose any details about the owners of the projects.

AND- Turkey’s Eroglu Global Holding will set up its fourth project in Qantara West Industrial Zone, a USD 175 mn carton and packaging factory. The 70k sqm facility is set to export 50% of its output and create 2k direct jobs.

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