Egypt eyes USD 120 mn Toshka logistics zone + Zhejiang Hongda picks Qantara West for USD 20 mn textile plant

Shoring up southern logistics activity

New Toshka logistics zone in Egypt? Egypt’s General Authority for Land and Dry Ports is reportedly seeking tenders for the establishment, management, and operation of a USD 120 mn specialized logistics zone in Aswan’s Toshka area, Al Borsa reports. The authority is seeking companies in the agricultural and agro-processing space to establish the facility on a plot of land spanning 1 mn sqm. The deadline for receiving applications is the end of October 2026.

Prioritizing agricultural storage and trade: The project aims to establish cold storage infrastructure for crops, silos for grain and cereals, and processing and packaging centers. A container and truck handling yards will also be set up to organize commercial transport movement between Egypt and African markets, especially targeting Sudan’s Qastal and Arqin land ports.

More investment for Upper Egypt: The project would partially ease some of the logistical difficulties inherent to agricultural and land reclamation projects in the area, namely, the EGP 4.7 bn five-year initiative by Egyptian agribusiness SEKEM. Refrigeration and nearby silos would help prevent spoilage under the desert heat prior to transit up to Cairo or northern ports, providing massive freezing warehouses and advanced silos right at the source to preserve the yields.

Another Chinese textile project

China’s Zhejiang Hongda will set up a USD 20 mn textile manufacturing and processing plant in Qantara West under a newly inked contract with the Suez Canal Economic Zone. The project will earmark 70% of its output to international markets and create 500 direct jobs.

DATA POINT- Qantara West has so far secured 53 projects worth USD 1.5 bn and spanning industry, service, and logistics.