Home / Knowledge / News / Textiles / Egyptian govt hikes spinners' subsidy to EGP 500mn
Egyptian govt hikes spinners' subsidy to EGP 500mn
23
Jul '14
The Government of Egypt has increased the subsidy provided to spinners from the current EGP 200 million to EGP 500 million for the current marketing season 2013-14, reports The Cairo Post.
 
The decision to increase the subsidy given to spinners on purchase of cotton was taken by the Cabinet to help revitalization of the Egyptian cotton and textile sectors, Minister of Industry and Trade Mounir Fakhry Abdel Nour said.
 
The objective of the Government is to encourage spinners and exporters to purchase Egyptian cotton, instead of importing the same, and thus revitalize the sector as a whole, he added.
 
As per the decision, spinners will get a subsidy of EGP 350 for each kantar (about 45-50 kg) of Egyptian cotton purchased during the current marketing season that ends on August 31. Similarly, exporters will also get a subsidy of EGP 200 for each kantar of Egyptian cotton exported by them.
 
Of the EGP 500 million set aside for subsidy, about EGP 350 million will be utilized to subsidize the spinning mills in the public and private sectors as well as the exporters. The remaining EGP 150 million will be utilized to support cotton growers by providing them with seeds and fertilizers at subsidized prices, Mr. Abdel Nour said.
 
The latest decision is expected to revive defunct spinning mills and also increase Egyptian cotton production by up to 1 million kantars, according to the Minister.
 
Previously, spinning mills were reluctant to purchase domestic cotton because of its high prices and the latest step is likely to bring the prices of domestic cotton at par with imported cotton.
 
During the second quarter of the current agricultural year, the purchase of domestic cotton by Egyptian companies dropped by 79.9 percent year-on-year to 81,600 kantars, according to the Central Agency for Public Mobilization and Statistics (CAPMAS).
 
During the quarter, cotton exports from Egypt also declined by 46.5 percent year-on-year to 126,600 metric tons.
 

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Stone Island

Apparel/Garments | On 25th Jun 2018

Stone Island has mastered ingredient branding: Braind

Italian high-end men's apparel brand Stone Island tops the list of...

Courtesy: Tecnorama

Textiles | On 25th Jun 2018

'Tecnorama automatic dyeing system offers efficiency'

Italy based Tecnorama’s fully-automatic machinery for dispensing...

Courtesy: Pantone

Textiles | On 25th Jun 2018

Pantone unveils polyester standards

Pantone, provider of professional colour standards for the design...

Interviews View All

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Tejas N Patel, Navin D Patel

Founded in 1999 by Navin Patel in the name of Tejas Fabrics with 100...

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Priya Somaiya
Usha Social Services

The Usha Silai label from Usha International is all set for a retail...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


June 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search