Trial operations in new leather zone to start in days: Qabil

CAIRO – 4 June 2017: The first phase of the anticipated Al-Robeky industrial zone for leather tanneries will start trial operations “within days”, Minister of Industry and Trade Tariq Qabil said on Sunday.

The new industrial zone will relocate unorganized tanneries, currently located in the Magra El Oyoun neighborhood in Old Cairo, to a new purpose-built manufacturing area on the outskirts of the capital city.

With some leather tanneries already starting to move their equipment, the first phase will include the launch of ten factories, Qabil explained in a statement from the ministry.
Qabil pointed out that the state will bear the cost of transferring tanneries, adding that the second phase will start “soon”.

In 2014, former interim President Adly Mansour approved the allocation of 389.6 acres in eastern Cairo for the benefit of the Ministry of Industry for an industrial zone for leather tanneries.

In 2015, the Industrial Development Authority (IDA) then allotted LE 330 million of its annual budgets for the Al-Robeky project.

Last month, Qabil approved new export duties on crest leather at rates ranging from 5.7 to 250 EGP (approximately $0.31 to $13.80). As per the decree, further export tariffs will be imposed on buffalo leather and cowhide at 250 EGP, 150 EGP on calfskin, 15 EGP on sheepskin, 5.7 EGP on goatskin and 150 EGP on camel leather.

The new increase in export duties of crest leather comes to control the process of production and manufacturing. The decision was made in coordination with the Federation of Egyptian Industries and the Leather Export Council of Egypt.