Egypt launches fully equipped factories in Rubiki leather city

CAIRO - 6 December 2024: Prime Minister Dr. Mostafa Madbouly inaugurated the first offering of fully equipped factories for investors in Robbiki Leather City. The event, held in Badr City, marked a milestone in Egypt’s industrial development.

The Prime Minister was accompanied by Vice Prime Minister for Industrial Development, Engineer Kamel Al-Wazir, and other high-profile officials, including Dr. Nahed Youssef, Chairperson of the General Authority for Industrial Development, and senior international trade representatives from China, Italy, India, and other countries.

Madbouly emphasized the government's unwavering efforts to support and localize various industrial sectors, particularly those utilizing advanced technologies. He highlighted the state's significant investments in infrastructure, utilities, transportation, and legislative reforms aimed at fostering an investor-friendly environment.

Robbiki Leather City, described as a stronghold for leather manufacturing in Egypt, was developed to bolster the industry. The newly inaugurated facilities include 43 fully equipped factories tailored for leather product manufacturing, offered with unprecedented financial incentives.

During the launch, Engineer Kamel Al-Wazir, Vice Prime Minister and Minister of Industry and Transport, detailed the transformational journey of Robbiki Leather City. The city, the first of its kind in the Middle East and Africa, was envisioned as a regional hub for leather manufacturing. It features cutting-edge infrastructure, advanced connectivity, and specialized support services, from marketing to technological training.

The city also boasts high-efficiency internal and external road networks, a railway connection under development, and subsidized transport options for workers, further enhancing its appeal to investors.

As part of the launch, a digital platform was unveiled for investors to apply for factory spaces between December 11 and 25, 2024. The 43 factories available range in size to cater to various production needs:

20 factories at 2,000 m², 6 factories at 1,000 m² and 17 smaller factories at 121 m².

Investors can combine factory spaces based on their operational requirements. These facilities are specifically designed for leather and complementary industries, ensuring efficiency and specialization.

To ease financial burdens, the government offers flexible payment options, including an initial 25% down payment and a 12-month grace period, followed by five-year installment plans with an annual interest rate of 10%.

Engineer Al-Wazir announced a new cooperation protocol between the Ministry of Industry, the General Authority for Investment and Free Zones, and the Commercial Representation Authority. This agreement aims to promote Egypt's industrial opportunities, particularly in Robbiki Leather City, to global investors.

Additionally, contracts for 21 leather tanning factories, part of the city’s first phase, were handed over to investors. These factories serve as compensation for former tannery owners in the historic Magra El-Ayoun area, enabling them to enhance their production capacities in the modernized facility.

In closing, Engineer Al-Wazir expressed gratitude to all stakeholders contributing to the success of Robbiki Leather City. He urged investors to seize this golden opportunity, underscoring the city’s potential to position Egypt as a global leader in leather manufacturing.

This industrial hub reflects Egypt’s commitment to creating competitive and sustainable industries. With advanced facilities, strategic planning, and substantial state support, Robbiki Leather City represents a transformative leap for the country’s leather sector and its broader economic landscape.