UN-backed International Road Transport now has a guarantor in Egypt

TIR now has a guarantor in Egypt: The Egyptian Customs Authority and the Federation of Egyptian Chambers of Commerce signed an agreement activating the UN-backed International Road Transport (TIR) system, according to a statement. The agreement names the Federation as Egypt’s national TIR association — the body that issues TIR documents and backs the guarantee mechanism, the missing piece that makes the system operational.

BACKGROUND- Egypt joined the TIR Convention in 2020, and the treaty took effect in 2021, but the system never went live. As recently as last year, officials and the International Road Transport Union (IRU) were still discussing implementation, which the IRU said could link Egypt’s Ro-Ro routes to Italy and Turkey and open corridors to the Gulf and Africa.

SOUND SMART- TIR lets sealed shipments cross multiple countries under a single customs document and guarantee, cutting repeated inspections and covering any duties that become due if cargo is diverted. The IRU says it can cut border transit times by up to 92% and transport costs by up to 50% — savings the government expects to widen exporters' access to Arab, African, and European markets.

Where it fits: TIR underpins Egypt's plan for two Europe-Arab trade corridors. The northern route connects Europe with Jordan, Iraq, and Syria via Arish-Taba; the southern route moves cargo between Europe and the Gulf via Safaga and Saudi's Neom — two of eight logistics corridors under development, according to a Transport Ministry statement.

The industry view: TIR could cut transport costs and shorten trailer turnaround times, allowing trailers to return to service faster and improving fleet availability, Pan Marine Commercial Director Ghada Samy tells EnterpriseAM. The benefits would extend beyond Gulf routes to freight links with North Africa, she adds, noting that it could also help Egyptian trailers have access to more than 100 countries (TIR members) — including European markets — but reaching that point remains a work in progress and requires meeting a “long checklist” of requirements.

Transit trade is already growing: Our transit trade is up 40% since March, with the Europe-Egypt-GCC route gaining importance during the war, Finance Minister Ahmed Kouchouk said yesterday. Goods passing through Egypt — and the services provided to them — are exempt from VAT under the second tax-facilitation package, he added.