Andreas Hergenröther, the chief executive of the German-Arab Chamber of Industry and Commerce, revealed that the chamber arranged 10 meetings between the Egyptian and German companies during the second half of 2017 in many industrial and investment sectors.
He said that one of these meetings will be in September in Germany between the automotive feeding industry companies in coordination with the Engineering Export Council of Egypt (EEC).
He added that Siemens’ opening of three power plants in Al-Borollos, Beni Suef, and the New Administrative Capital is a shining sign in the Egyptian-German relations.
The German-Egyptian cooperation is expected to witness further growth in all sectors in the coming period, both in terms of imports of machinery and equipment, for which Germany represents the second supplier for the Egyptian market—following China—as well as the possibility of increasing Egyptian exports to Germany, which achieved 40% growth over 2016.
Hergenröther pointed to the interest of German investors in investing in the Suez Canal area, which was discussed in more than one joint meeting between Egypt and Germany, as well as providing technical support in the fields of training and qualifying of employees in the Suez Canal Economic Zone.
He said that members of the chamber have many tasks in the Egyptian market during the coming period. We have many discussions on investment in many sectors, especially in the field of new and renewable energy and infrastructure, Hergenröther said.
He added that the chamber is coordinating with the Ministry of Petroleum for a two-day conference to discuss the latest technologies in the field of oil pipelines in the coming period.
In a different context, he explained that the New Investment Law will be the focus of interest for the chamber’s members, in terms of the new legislative framework established by the law for investing in Egypt, and to identify the advantages that could represent opportunities for investment and partnership between the Egyptian and German sides.
The Chamber of Engineering Industries (CEI) has already held a meeting with the transport and feeding industry divisions in order to study the development of the automotive industry and partner with external companies.
Mohamed El Mohandes, chairperson of Egypt’s Chamber of Engineering Industries, said that the industry is the locomotive of growth during the current period and that the state pays attention to the local industry, especially heavy industries.
El Mohandes said during the tour organised by the transport division and the industries division of the CEI of the Federation of Industries that “despite the challenges facing the industry in Egypt, we are on the right path through a sustainable government plan to promote the local industry to carry the same quality and compete globally.”
He announced that the CEI is preparing to hold a meeting with the transport and feeding industry divisions to study the development of the automotive industry.
He added that the main obstacle facing the advancement of the local industry is the high voice of trade on the industry. At the current stage, we need all sectors to be united by giving full support to industry, through holding many meetings between the chambers of the Federation of Industries and the Ministry of Military Production to achieve integration to make a product that obtains local consumers’ confidence and is capable of global competition.
Tamer El-Shafie, head of the Feeding Industries Division and Intermediary Industries at the CEI, said that the feeding industries are capable of competing internationally. He pointed out that Egypt has an industry that is not based only on assembly. The local industry is able to cover the needs of the local market and exporting abroad.
ElShafie pointed out the need to pay attention to exports. “We will be participating in an exhibition held in Kenya in cooperation with the EEC during the period from 15 to 18 May and will include a number of manufacturers of automotive feeding industries,” he added.
He explained that the feeding industries are great in Egypt, especially since it is manufacturing and not assembly.
Ehab Ibrahim, chairperson of Nasr Engineering Industries, which is specialised in the manufacture of car doors and roofs and other parts, said that the factory targets to produce 90% of car parts locally, up from roughly 75% currently.
He added that the factory’s investments reached EGP 40m, and the factory is employing 400 workers. The factory is preparing a plan to reach the leadership in manufacturing car frames.
