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Egyptian industrial equipment company El-Sakkary Machinery is preparing for a major expansion through 2030, with plans to invest EGP 250 million and increase its annual business volume beyond EGP 1 billion.

The company expects to close 2026 with business volume of approximately EGP 450 million and is targeting between EGP 585 million and EGP 600 million in 2027, representing growth of around 30%.

Chairman Haitham El-Sakkary said the expansion will be driven by demand for CNC and laser machinery, metal fabrication equipment, industrial automation and integrated production solutions.

The investment programme includes EGP 50 million to EGP 60 million in planned spending during 2027, while approximately EGP 180 million is expected to be invested between 2027 and 2029. The broader plan also covers a technology and industrial center, upgraded maintenance and training capabilities, expanded spare-parts stocks, digital infrastructure and overseas growth.

The company previously invested around EGP 70 million over three years. Its business volume rose from EGP 280 million in 2024 to EGP 350 million in 2025, with a 2026 target of EGP 450 million.

Local Manufacturing Plans Set for 2028

A major part of the strategy is the gradual introduction of local assembly. Preparatory work is expected to begin in 2027, followed by assembly operations and pilot production of selected machinery and components in 2028.

The initial target is to achieve 25%–30% local content, with the proportion expected to reach 40%–50% in selected products by 2030.

The planned local activities include manufacturing metal structures and bases, machine cabins, certain mechanical parts, electrical panels, assemblies and accessories. Advanced components such as control systems, servo motors and laser sources will continue to be supplied by international partners.

The initiative is intended to increase domestic value added while reducing reliance on imported components.

Industrial Advisory Initiative Targets 100 Factories

The company is also preparing to launch “Factory Decision 2030,” an initiative designed to help 100 factories evaluate machinery purchases, production-line upgrades and industrial expansion projects.

Rather than basing investment decisions on equipment prices alone, the initiative will examine production requirements, materials, capacity, waste, staffing, energy use, maintenance and downtime.

Its assessments will use total cost of ownership and return on investment to compare available technologies and identify suitable solutions.

Selected factories are expected to receive free initial assessments. The company aims to develop 30 to 40 cases into full industrial development studies or projects, while evaluating investment decisions worth more than EGP 500 million.

El-Sakkary Machinery intends to turn the initiative into a dedicated industrial consultancy platform, helping manufacturers plan capacity, select technologies and assess expansion or equipment replacement projects.

More Technical Jobs and Stronger Customer Support

The company's growth plans also place emphasis on after-sales services, including equipment installation, commissioning, preventive maintenance, technical training, spare-parts supply and faster technical response.

Around 55 new direct jobs are targeted by 2030, with recruitment focused on engineers, technicians and specialists in industrial applications, training and customer support.

El-Sakkary said the shortage of qualified technical labour remains a challenge for Egyptian manufacturers. He pointed to automation, modern technology and workforce training as important tools for raising productivity and reducing dependence on manual operations.

Replacement and Modernization Drive Machinery Demand

Existing factories account for approximately 60% of current demand for industrial machinery and equipment, as manufacturers seek to replace outdated equipment, modernize production lines and improve efficiency. New factories and projects represent the remaining 40%.

The strongest demand is coming from engineering and metalworking industries, sheet-metal processing, CNC and laser equipment, as well as furniture, woodworking, aluminium and factory-component production.

According to El-Sakkary, manufacturers are placing greater emphasis on operating costs, productivity, waste and equipment life cycles as financing and import expenses rise.

He also pointed to official data indicating that non-petroleum manufacturing grew by 14.5% in the first quarter of fiscal year 2025/2026, compared with 7.1% in the same period a year earlier.

Overseas Operations Target 20% of Total Business

El-Sakkary Machinery is exploring expansion opportunities in several African markets, including Libya, Kenya, Tanzania, Ghana and Nigeria, as well as Arab markets such as Saudi Arabia and Iraq.

The company wants overseas activities to represent around 20% of its total business by 2030. If the overall EGP 1 billion target is achieved, international operations would contribute more than EGP 200 million annually.

Its international offering is expected to cover the full equipment lifecycle, from supply and installation to commissioning, training, spare parts and after-sales services. The company is also considering cooperation with local distributors and technical partners in target markets.

A Broader Role in Egypt’s Industrial Sector

Founded in 1958, El-Sakkary Machinery is seeking to reposition itself from a machinery supplier to a long-term production partner for factories.

The model begins with an assessment of the manufacturer's products, materials and production capacity, followed by technology selection, equipment supply, installation and commissioning. Ongoing training, maintenance, spare-parts support and technical services are also part of the proposed offering.

The company plans to continue developing its portfolio in CNC and laser machinery, metal forming and processing, woodworking, aluminium and industrial automation.

Through this approach, El-Sakkary Machinery aims to provide integrated industrial solutions that help Egyptian factories improve competitiveness and increase local manufacturing value.