{"id":668840,"date":"2025-07-22T00:00:00","date_gmt":"2025-07-22T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/goinggreens\/govt-wants-to-attract-investment-into-agriwaste-sector\/"},"modified":"2025-07-22T00:00:00","modified_gmt":"2025-07-22T00:00:00","slug":"govt-wants-to-attract-investment-into-agriwaste-sector","status":"publish","type":"goinggreen","link":"https:\/\/enterpriseam.com\/egypt\/goinggreens\/govt-wants-to-attract-investment-into-agriwaste-sector\/","title":{"rendered":"Gov\u2019t wants to attract investment into agriwaste sector"},"content":{"rendered":"

Gov\u2019t eyes majo<\/strong>r push to attract investment ot agriwaste sector: <\/strong>The Environment Ministry is preparing to launch a series of agriwaste recycling investment prospects, CEO of the Waste Management Regulatory Authority Yasser Abdallah told EnterpriseAM. The strategy includes rolling out new investor incentives, connecting entrepreneurs with funders, and launching large-scale recycling and biogas projects with the private sector \u2014 all to reduce imports and meet alternative fuel mandates, Abdallah added.<\/p>\n

(Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n

The problem: <\/strong>Egypt generates 40-50 mn tons of agricultural waste annually, according to data seen by EnterpriseAM. However, a large portion of Egypt\u2019s agriwaste \u2014 whether rice straw, citrus prunings, or palm fronds \u2014 is still burned or dumped, contributing to air pollution and squandering raw material that could be turned into energy, feed, or compost.<\/p>\n

Geographical breakdown:<\/strong> The Nile Delta alone produces some 21.6 mn tons of agriwaste annually, led by Beheira (4.5 mn), Sharqia (4.2 mn), Dakahlia (3.3 mn), and Kafr El Sheikh (2.8 mn). Upper Egypt contributes another 6 mn tons, mainly from Minya (2.2 mn) and Beni Suef (1.2 mn).<\/p>\n

The recycled agriwaste can feed into several industries <\/strong>\u2014 from compost and animal feed to wood products, paper, and alternative fuels. \u201cWhat was once an environmental problem is now a significant economic opportunity,\u201d Abdallah said.<\/p>\n

What\u2019s being done? <\/strong>Government-led efforts are focusing on infrastructure and collection, with an initial focus on densely cultivated Delta governorates. Key initiatives include setting up permanent and seasonal collection points \u2014 including for rice straw and citrus pruning \u2014 to ease logistics and promote recycling.<\/p>\n

Small investors in the mix: <\/strong>The ministry is also working with the New Urban Communities Authority to allocate land for small investors to collect landscaping waste and supply factories. Licensed collection points will serve as raw material hubs for industries such as Edku\u2019s fiberboard factory, which needs 120k tons of rice straw annually to create medium-density fiberboard (MDF). <\/p>\n

A new unit to link investors to climate projects: <\/strong>The Environment Ministry has recently established the Environmental and Climate Investment Unit<\/a> to connect investors with entrepreneurs and identify potential investments in green and climate-focused projects, according to a ministry statement<\/a>.<\/p>\n

Animal feed is a priority: <\/strong>The Waste Management Regulatory Authority is partnering with the Industrial Modernization Center to convert agricultural residue into animal feed, helping close Egypt\u2019s feed supply gap and reduce imports. The project is being coordinated with the Federation of Egyptian Industries and will be pitched to investors later this year.<\/p>\n

Biogas production to power underserved villages: <\/strong>Five to six companies are studying large-scale biogas projects that would supply off-grid villages with alternative energy. \u201cThere are currently around 2k small biogas units in villages producing energy from animal waste. Plans are now underway to establish factories and offer them to investors to produce biogas on a larger scale for underserved areas,\" Abdallah said.<\/p>\n

Public-private collaboration is ramping up:<\/strong> The Environment Ministry and the Arab Organization for Industrialization are in talks with a foreign company to launch a EUR 70 mn palm fronds recycling project in New Valley to produce MDF wood. Palm fronds are a major waste stream in the governorate, which is home to 5 mn palm trees. There\u2019s also a plan to recycle banana plant residues into high-quality compost and biodegradable packaging paper.<\/p>\n

Private players have plenty in the works: <\/strong>BioMasr, a waste-to-energy company, is launching three new facilities to process agriwaste and organic waste, CEO Muhammad Omar told EnterpriseAM. The first is a biogas plant in partnership with Beyti<\/a> that will process 30 tons of agriwaste daily, producing 700 cubic meters of gas. The second is a pyrolysis facility, fully owned by BioMasr, that will turn 30 tons of waste daily into solid, liquid, and gas fuels. The third facility which will generate electricity from agricultural waste is scheduled to come online in September.<\/p>\n

Alternative fuels mandate coming into force:<\/strong> The Environment Ministry has ordered energy-intensive industries to source at least 15% of their fuel from alternative sources, Abdallah said. Officials are also assessing 500 slaughterhouses for potential conversion to biogas facilities, with a pilot in Kafr Shukr, Qalyubia already underway.<\/p>\n

Challenges remain:<\/strong> The sector\u2019s biggest hurdle is the lack of tariffs on waste disposal, Omar said. \u201cThere\u2019s no direct revenue from collecting waste, and electricity sold to the state averages just 2.8 cents\/kWh, compared to 12 cents globally,\u201d he noted. Industry players are calling for a fixed tariff for agriwaste and organic waste disposal, he said. <\/p>\n

Cost and supply chain issues:<\/strong> Agriwaste supply chains face high costs due to the scattered nature of residues, Hisham Sherif, CEO of the Egyptian Company for Solid Waste Recycling, which produces fertilizers and biofuels, told us. Seasonal feedstock availability complicates financial planning, while competition from subsidized fossil fuels adds pricing pressure. The sector also requires costly infrastructure to scale up, with weak integration between farmers, collectors, and off-takers driving up risk and price volatility, Sherif said.<\/p>\n

What the sector needs:<\/strong> The government needs to identify profitable production conditions for biomass-based heat and power generation, including evaluating suitable technologies, feedstock quality, production schemes, and financing options, Sherif said. Ranking agricultural residues by availability and feasibility would help prioritize resources and efforts, he added.<\/p>\n

Hosting a national Biomass Management Conference would help explore wider industrial <\/strong>uses for biomass<\/strong>, such as in MDF and pulp and paper, Sherif said. He also called for greater support for biomass tech development and a nationwide assessment of how biomass can contribute to Egypt\u2019s renewable energy targets.<\/p>\n

Investor incentives are on the table: <\/strong>Companies that submit recycling project proposals will be eligible for investment incentives outlined in the investment law, including favorable tariff structures aimed at drawing both local and foreign capital into the sector, Abdallah said.<\/p>\n","protected":false},"excerpt":{"rendered":"

The projects on the table will focus on alternative fuels, animal feed, and MDF products<\/p>\n","protected":false},"featured_media":668841,"template":"","categories":[7266],"tags":[97,72,7109,451],"class_list":["post-668840","goinggreen","type-goinggreen","status-publish","has-post-thumbnail","hentry","category-going-green","tag-agriculture","tag-enterpriseam","tag-going-green","tag-recycling","wpautop","entry"],"acf":{"mongo_id":"02522038-37ea-4d72-bf4b-31bfc4037e2d","order":"17","is_powered_by":false,"story_type":"2","photo_url":"https:\/\/ent.news\/2025\/4\/1243.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egypt to roll out series of agriwaste investment opportunities","related_issue":[668810],"teaser":"The projects on the table will focus on alternative fuels, animal feed, and MDF products","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/7\/.9f0d0816-a784-433b-9bf7-858466dbcbfb.mp3"},"yoast_head":"\nGov\u2019t wants to attract investment into agriwaste sector - 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