Egypt signs LE 10.5B contracts to supply equipment to spinning, weaving companies

CAIRO - 17 April 2019: Egypt's Minister of Public Enterprise Sector Hesham Tawfik said that contracts will be signed for the supply of new equipment to spinning and weaving companies next week at a cost of LE 10.5 billion.

The minister added in a TV program that this is considered the first development of the machines, as most of them have been working since the 19th – early 20th century.

Tawfik revealed that the development plan of the sector costs LE 21 billion, clarifying that new machines will arrive to Egypt during 2020, followed by another shipment 10 months later.

He pointed out that the textile industry is expected to return to its full strength in two and a half years, stressing the reorganization of 23 companies in the sector, to provide three centers for export.

In January, the General Authority for Investment and Free Zones (GAFI) concluded the contract for the establishment of the first textile city in the Free Zones System in Minya Governorate and sent it to the State Council for review.

A Chinese company agreed to fund the new city, with an investment of $324 million. The city will be built on 306 feddans, a company will be established to manage the city and all parties will have equal shares in it.

Meanwhile, the Egyptian Textile Museum, the only textile museum in the Middle East, celebrated its ninth anniversary in February .

The Textile Museum in Muizz Street in Cairo displays fine collections of textile from the Pharaonic, Roman, Coptic and Islamic eras.