Europe allocates 30% of Egypt’s readymade garment exports

CAIRO – 22 May 2018: Europe is allocated 30 percent of the Egyptian readymade garments’ exports, according to the Readymade Garments Export Council.

The council emphasized in a statement its interest to increase the ability to access the European market in cooperation with all export councils in Egypt, aiming at accelerating the completion of the Trade Ministry’s plan to increase Egyptian exports in accordance with the 2020 strategy.

The 2020 strategy was launched in November 2016 by Minister of Trade and Industry Tarek Kabil. It includes five main axes: industrial development, small and medium enterprise (SME) development and entrepreneurship, export development, training and technical education development, and corporate governance and development.

The strategy aims at increasing exports in the first place after strengthening the local industry.

Exports recorded $22.4 billion in 2017, with an increase of $2 billion, while imports decreased $10 billion to $56 billion, compared to $66 billion in 2016.

The statement added that the council is continuing its activities to explain the program of developing the financial systems of the textile and garment sector companies, and presenting the most important services and special programs provided by the European Bank for Restructure and Development (EBRD) to provide technical support to small and medium enterprises.

According to EBRD, the bank has financed 78 projects in Egypt totaling €3.5 billion ($4 billion). The current portfolio of projects is worth €2.7 billion.

Established in 1991, EBRD is an international financial institution that is owned by 66 countries from five continents, as well as the European Union and the European Investment Bank, targeting to develop a sound investment climate and promote environmentally and socially sound and sustainable development.

The council seeks to attract foreign experts to help the companies in their administrative and technical aspects, in addition to developing the exports, the statement said.

It said that there are specialized programs for financing energy efficiency projects and green energy projects.

Sherin Hosny, executive director of the Readymade Garments Export Council, said earlier that Egypt’s exports of readymade clothes increased 16 percent in the first quarter of 2018, recording $382 million, compared to $330 million during the same period of 2017.