The Egyptian Ministry of Industry recently hosted a roundtable meeting with 11 German companies, led by Minister of Industry Khaled Hashem, to discuss their plans for expansion and investment in Egypt. The meeting was attended by German Ambassador to Egypt Jürgen Scholz and Mustafa El-Bagouri, head of the German-Arab Chamber of Commerce and Industry in Egypt. The companies represented included Bavarria Egypt, BSH Home Appliances, DMG MORI, and Mercedes, among others.
Minister Hashem emphasized that the ministry aims to attract more German companies to the Egyptian market, particularly small and medium-sized enterprises specializing in advanced technologies. He highlighted the advantages of the Egyptian market, including its infrastructure, free trade agreements with various markets, and trained workforce. The minister also stressed the importance of partnerships between private sector companies in both countries.
The German Ambassador to Egypt, Jürgen Scholz, expressed his country's interest in enhancing economic and industrial cooperation with Egypt. He noted that the volume of trade between the two countries reached approximately 6 billion euros in the previous year. Scholz also emphasized that German companies are interested in investment opportunities in Egypt and are seeking to inject new investments to develop human cadres and localize industry and technology.
The German-Arab Chamber of Commerce and Industry in Egypt has been operating in the Egyptian market for over 100 years, and this year marks its 75th anniversary. Its head, Mustafa El-Bagouri, highlighted the chamber's role in transferring technology, developing skills, and providing job opportunities. He also emphasized the importance of cooperation between Egyptian and German companies.
Minister Hashem announced that the ministry is implementing a program to develop local suppliers and enhance their capabilities in various industries. The program includes incentives to encourage large companies to participate in qualifying local suppliers and linking them to global supply chains. The ministry is also working on introducing a "value" certificate to evaluate industrial facilities and link benefits and incentives to indicators such as increasing local component percentages and developing suppliers.
The National Program for Developing the Automotive Industry (AIDP) is a key initiative to attract global brands to Egypt by offering a package of incentives aimed at localizing the automotive industry and its supporting industries. The program includes linking benefits to the degree of reliance on local industries, with incentives increasing as the local component percentage and supply chain localization increase.
The Egyptian Ministry of Industry welcomed the expansion plans proposed by German companies and pledged to address the challenges faced by investors and facilitate their business expansion in the Egyptian market. This aims to attract more German investments and strengthen economic cooperation between the two countries.
Key points
- Egypt aims to attract 11 German companies to invest in various industries, including automotive and supporting industries.
- The volume of trade between Egypt and Germany reached approximately 6 billion euros in the previous year.
- The Egyptian government offers incentives to encourage companies to localize industries and develop local suppliers.
