Mohamed Maged, Executive Director of the Chemical and Fertilizer Export Council, has urged the government to provide incentives and benefits to develop advanced infrastructure for plastic waste collection and recycling.
Speaking during the Circular Plastic Economy session at the Pan African International Exhibition for Plastic, Rubber, and Non-Woven Technologies (Afro Plast), Maged emphasized the lack of infrastructure for efficiently recycling waste into competitive products that could perform well in international markets. He pointed to successful models in India and China, where waste is processed and converted into raw materials for industrial use.
Maged stressed the high costs associated with converting waste and producing new products from recycled materials. He called for government support in the form of incentives, tax benefits, and accessible financing to create a new industrial system based on a circular economy and sustainable products—ultimately enhancing competitiveness in global markets.
He also highlighted the various obstacles that hinder Egyptian manufacturers from exporting to international markets, particularly Europe and the United States. Carbon footprint regulations and environmental restrictions are limiting opportunities for Egyptian exports. Maged argued that addressing these challenges requires the establishment of a robust collection and recycling system, supported by funding, workforce development centers, and access to modern equipment and technologies.
Maged also called for incentives to help integrate informal factories into the formal economy and link them with recycling plants.
In discussing global best practices, Maged cited Germany’s success in reducing raw material usage by 20%, with exports of recycled and biodegradable plastic products valued at around $20 billion annually. In comparison, the United States exports approximately $10 billion, while China exports about $4 billion each year. He also noted that global exports of biodegradable and recycled plastic products total around $12 billion annually, with Europe—especially France, Germany, and the Netherlands—importing nearly 50% of these goods. Other major importers include the United States, China, India, South Africa, Kenya, Brazil, and Mexico.
Maged stressed that there is no alternative to advancing the green economy and encouraging factories to connect with research centers. He advocated for the creation of a “researcher for every factory” initiative and emphasized the need to foster a recycling culture, which would facilitate waste sorting and collection.
He pointed out that paper, the alternative to plastic, is prohibitively expensive, with its raw materials not readily available locally. This reliance on imports increases costs and undermines the competitiveness of local producers. He concluded by stressing the importance of capitalizing on the significant investments made recently in Egypt’s petrochemical industry.
Meanwhile, Eng. Yasser El-Sayed, Marketing Manager at Sidi Kerir Petrochemicals, discussed the challenges faced by companies in producing biodegradable plastic. These include the lack of specialized technologies, high production costs, and expensive raw materials. El-Sayed also noted that biodegradable plastics may be less durable and heat-resistant than traditional plastics, and he highlighted the weak global demand and lack of clear governmental regulations or incentives for biodegradable plastic production.
He urged governments to offer financial support through reduced utility costs, taxes, and customs fees for producers and research centers. He also called for the establishment of legislation and regulations to promote biodegradable plastic production, manage post-use processes, and provide specialized financing programs for companies engaged in this sector.
Ali Shaheen, Deputy Executive Director of the Chamber of Chemical Industries, noted that Egypt is a leader in plastic recycling in the Arab world, recycling approximately 2.5 million tonnes of plastic products annually. He added that the Chamber’s waste management division includes 3,300 factories, with 2,700 specializing in plastic recycling, representing investments totaling approximately EGP 10 billion.
Shaheen pointed out that 70% of recycling operations are carried out by the informal sector, which should be integrated into the formal economy through benefits and incentives. This would help channel recycled material toward the formal sector, reducing the reliance on imported plastic waste.
Ahmed Saleh, Director of the Innovation and Entrepreneurship Center at Nile University, highlighted that Egypt’s annual plastic demand is about 8 million tons, of which 2.5 million tons are produced locally, 1 million tons come from recycling, and the remainder is imported.
Saleh also noted that global demand for plastic reached 400 million tons in 2022, with only 2 million tons being biodegradable. This number is expected to grow to 7 million tons, but it remains a small portion of the total plastic demand. He expressed concerns about the future of the industry, urging increased investment in line with global trends to reduce the production of non-biodegradable plastics.
