China Shows Interest in Setting up $300mn Egypt Textile City
A delegation made up of representatives from the Chinese textile and apparel industry has expressed interest in establishing a vertically integrated textile city in Egypt at an investment of US $300 million.
This announcement came after a meeting between Chairman of the General Authority for Investment and Free Zones, Hossam Heiba, and Chairman of the China Textile and Garment Council, Li Runfeng.
Li Runfeng is leading a delegation of 20 major Chinese textile and garment manufacturers to Egypt to discuss enhancing cooperation between both countries in the textile and clothing sectors.
“These companies expressed their eagerness to invest, considering that Egypt is one of the most promising markets in the Middle East and Africa,” Egyptian state-owned media Al-Ahram reported.
Heiba affirmed the Egyptian government’s desire to attract more Chinese companies for investments, particularly in the spinning and weaving sector, due to its economic and developmental significance.
This sector is among those targeted by the government as a high-value-added sector that contributes to creating numerous employment opportunities, he noted.
The Chinese delegation visited several sites, including Damietta, Sadat, and New Alamein, where the state intends to establish new free trade and industrial zones.
Egypt hopes to attract more foreign direct investment in these zones and benefit from the free trade agreements signed between Egypt and the EU, the US, Africa, and Latin America.
“Egypt has achieved significant progress in the logistics sector, particularly in establishing new roads and railways and increasing the capacity of Egyptian ports,” Hossam Heiba told the delegation.
“This aims to encourage exports through free trade agreements and the various investment systems offered by the government, most notably the free zones and investment zones,” he added.
Heiba further added that his office coordinates with all government agencies to resolve problems facing investors in general and provide the utmost support to encourage Chinese investments in Egypt.
