Egyptian Minister of Industry Khaled Hashem said the building materials sector, particularly cement manufacturing, is a key pillar of the national economy, given its role in supporting infrastructure, housing, urban expansion and major national projects.
His remarks came during a ceremony marking the restart of the fifth production line at Holcim Egypt’s cement plant in Ain Sokhna, following a seven-year shutdown, after investments exceeding EGP 1.3bn.
The minister’s speech was delivered on his behalf by Mohamed Zada, Assistant Minister of Industry for Strategic Industries, in the presence of representatives of the Swiss Embassy in Egypt, public- and private-sector partners, and Holcim’s global and local executives.
Attendees included Miljan Gutovic, CEO of Holcim Group; Khaled El-Dakany, Regional Head of Asia, Middle East and Africa at the group; and Medhat Ismail, CEO of Holcim Egypt.
Hashem said restarting the production line marks an important milestone for Holcim Egypt and reflects broader efforts across the country’s industrial sector to expand production capacity, reactivate industrial assets and maximise their utilisation.
The restarted line is expected to create 560 direct and indirect jobs, he added, noting that Egypt’s cement industry has a strong industrial base comprising 19 multinational companies, reflecting the country’s attractiveness as a destination for industrial investment.
Egypt ranks eighth globally and first in Africa among cement producers, he said, adding that its strategic geographical location, port network, logistics infrastructure, skilled workforce and access to regional and international markets provide competitive advantages for long-term industrial investment.
Hashem also highlighted the importance of Holcim’s presence in Egypt, noting that the group operates one of the world’s largest cement plants in the country, underscoring the Egyptian market’s significance within its global investment portfolio.
Addressing industrial competitiveness, Hashem said energy availability and costs are among the main factors determining production costs and the competitiveness of finished products in domestic and international markets.
He stressed that sustainable industrial growth requires not only expanding production capacity but also ensuring reliable energy supplies at competitive prices and improving energy efficiency.
Hashem added that the Ministry of Industry strongly encourages greater reliance on alternative fuels, particularly refuse-derived fuel (RDF), highlighting Holcim’s environmental and resource-efficiency efforts through its Geocycle platform, which focuses on the use of alternative fuels.
Egypt already has advanced industrial expertise in this field, Hashem said, expressing the ministry’s interest in attracting further investment in waste treatment, recycling and the conversion of waste into alternative energy sources.
He pointed out that these initiatives go beyond reducing reliance on conventional fuels, contributing to the development of a circular economy, more efficient resource utilisation and the achievement of environmental targets.
The minister also highlighted Egypt’s industrial capacity to serve regional and international markets, stressing the need for an integrated approach built around three priorities: maximising the utilisation of existing production capacity, increasing exports and foreign currency earnings, and ensuring sufficient supplies to meet domestic demand while avoiding unjustified price pressures.
“The ministry aims to establish a balanced industrial environment that ensures sustainable production and meets local market needs while enabling export growth and improving the competitiveness of Egyptian products in foreign markets,” he concluded.
