Home / Knowledge / News / Apparel/Garments / Egypt plans upgrade of state-run spinning, weaving firms

Egypt plans upgrade of state-run spinning, weaving firms

11
Jul '19
Pic: Shutter Stock
Pic: Shutter Stock
Egypt recently initiated an ambitious plan to upgrade the public-sector spinning and weaving industry within four years at a cost of LE25 billion. The plan includes developing the infrastructure of the companies, procuring advanced machines from Germany and Italy and training workers to use the equipment, according to public enterprise minister Hisham Tawfik.

The aim is to eliminate the losses of the companies, estimated at LE2.7 billion in 2018, and turning those into profits of LE3 billion within four years, Tawfik said.

Thirty two companies affiliated to the Holding Company for Spinning and Weaving will be merged to form 10 large companies while changing three of them, Mahalla, Kafr Al-Dawar, and Helwan, into integrated giant complexes.

The plan also involves reviving cotton cultivation by increasing export of finished products rather than depending on exporting raw cotton, allowing the industry to benefit from higher added value, according to a report in an Egyptian newspaper.

Amr Nassar, minister of industry and foreign trade, said the government is giving priority to promoting the textiles sector not only by developing the public-sector companies but also by attracting foreign investment in the sector.

The public-sector companies have long posted losses due to high production costs, debt to governmental agencies and the lack of a qualified labour force. Factories and machines have not been upgraded for decades.

According to an anonymous former government official quoted in the report, it is not clear if the government would use Egyptian cotton in the factories. If Egyptian long-staple cotton is to be used to produce readymade garments, these products will be difficult to market as they will be expensive and global demand for such high-quality goods is limited, he said.

The exports of the public spinning and weaving companies currently comprise 12 per cent of total exports. (DS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 28th Nov 2020

3 Bangla RMG firms present energy efficiency action plans

Small energy efficiency working groups (SEEWGs) of three top tier...

Pic: Shutterstock

Textiles | On 28th Nov 2020

Pak PM asks ministries to help textile sector meet demand

Pakistani Prime Minister Imran Khan recently directed the commerce...

Pic: Shutterstock

Apparel/Garments | On 28th Nov 2020

Rwanda's garment-textile exports grow by 83% in 2 years

Rwanda's textile and garment sector grew 83 per cent in value between ...

Interviews View All

Representatives, Textile & apparel industry

Representatives
Textile & apparel industry

GST is a complicated and lengthy process

Subhashini Srinivasan, The S Studio

Subhashini Srinivasan
The S Studio

Ethnicwear market will see an upward trend if uniqueness and quality are...

Riddhika Shah, SS Homme

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Francesco Gozio,

Francesco Gozio

Italian company Marzoli is a leading manufacturer of the complete line of...

Christiane Thies,

Christiane Thies

Founded in 1892, Thies has concentrated on the fabrication of high-quality ...

Hardik Sanghvi,

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Madison Maxey, Loomia

Madison Maxey
Loomia

Loomia designs and manufactures soft circuit systems that can be produced...

Justin Gutierrez, INDA

Justin Gutierrez
INDA

The Association of the Nonwoven Fabrics Industry (INDA) has created a new...

Mr Ambrose Chan, DSG International (Thailand) PLC

Mr Ambrose Chan
DSG International (Thailand) PLC

Sweta Agarwal, A Humming Way

Sweta Agarwal
A Humming Way

A Humming Way (AHW) is inspired by the old-world regalia of Rajasthan...

Divvya and Nidhhi Gambhir, Walnut

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Cigdem Akin, Cigdem Akin

Cigdem Akin
Cigdem Akin

She has carved a niche for herself as the national brand of Turkey. Her...

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


November 2020

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


Advanced Search