• Home
• News

Egypt is building its industrial policy around a shift from basic localization toward higher-value manufacturing, technology adoption and deeper participation in international supply chains, according to Industry Minister Khaled Hashem.

Speaking at an event marking three decades of Egypt-UK partnership organized by the Egyptian British Business Association, Hashem presented the main elements of Egypt's Industry Strategy 2030 and highlighted opportunities for closer cooperation with investors and manufacturers.

From Automotive to Circular Economy

Rather than focusing on a single group of manufacturers, the strategy divides industrial development into five priority categories.

Automotive and garments are among industries targeted for stronger global supply chain integration, while iron and steel, aluminum, chemicals and fertilizers fall within the strategic industries category.

The framework also gives attention to feeder industries, enabling sectors such as solar equipment and printed circuit boards, and circular economy and recycling activities.

Local Technology and Resources Move Up the Agenda

A major part of the plan involves connecting scientific research with real manufacturing needs so that research can contribute directly to new products and more efficient industrial processes.

Egypt also wants to combine imported technological expertise with locally developed solutions suited to domestic market requirements.

The ministry is seeking to generate more value from the country's mineral resources while expanding industries that manufacture key production inputs locally, reducing reliance on imports.

Industrial integration with Africa is another part of the strategy, with Egypt studying potential manufacturing projects in several African countries.

Workforce Development Becomes an Industrial Priority

The ministry is developing a vocational education initiative aimed at preparing workers for both Egyptian and international labor markets.

Training will cover core capabilities, modern technologies and specialized industrial skills, alongside greater practical exposure inside factories.

The initiative is intended to address a mismatch between manufacturers' growing need for trained workers and the market's current ability to supply those skills.

Opening Supply Chains to Smaller Manufacturers

Egypt also wants local SMEs to play a larger role in industrial supply networks.

Through its manufacturer support system, the ministry plans to connect smaller businesses with major industrial companies, develop local suppliers and increase domestic content in manufactured products.

The approach could allow SMEs to win new business, expand production and reduce manufacturers' dependence on imported inputs.

European SMEs Targeted for New Partnerships

Hashem said the government is seeking to attract European small and medium-sized companies and encourage partnerships with Egyptian private-sector businesses.

The model is designed to give European companies a platform for reaching Middle Eastern and African markets while bringing additional technology and industrial expertise into Egypt.

The government is simultaneously working to make industrial investment easier through land allocation measures, a rent-to-own option and streamlined licensing procedures.

Industrial Activity Expands Beyond Major Cities

Through the Productive Village initiative, the ministry plans to support manufacturing activities inside villages based on the competitive strengths of individual areas.

Food processing and textiles are among the sectors targeted, with the initiative expected to support employment, particularly for women, while reducing agricultural losses and limiting migration away from rural communities.

Formalization and Factory Recovery Complete the Strategy

The ministry also wants to integrate informal factories into the formal economy, creating a more balanced competitive environment for manufacturers operating under official requirements.

At the same time, support mechanisms are being directed toward distressed factories through investor connections, financing, restructuring assistance and technical and operational solutions.

Together, these measures form part of Egypt's broader effort to increase industrial production, strengthen local value chains and improve the sector's ability to compete internationally.