• GAFI: A strong industrial base attracts a new $100 million investment
• Mr. Heiba: Flexible investment systems enable investors to choose the optimal framework
Mr. Hossam Heiba, CEO of the General Authority for Investment and Free Zones (GAFI), welcomed a delegation from Fountain Set Limited, one of the largest Chinese companies specializing in fabric manufacturing, along with representatives from Elegance Apparel Garments Free Zone, operating in the Shebin El-Koom Public Free Zone.
The meeting discussed Fountain Set Limited’s plan to expand into the Egyptian market through the establishment of a new textile and spinning factory. The company expressed its intention to develop an industrial project on a surface area of 200,000 square meters.
The project will operate under the framework of free zones or economic zones with special nature with investments estimated at about $100 million, providing nearly 1500 direct job opportunities. The project aims to become a center for fabric production and export to European and African markets. The meeting also reviewed the expansion plans of Elegance Apparel Garments Free Zone, which seeks to strengthen its production capacity and widen its activities.
Mr. Heiba affirmed the full readiness of Egypt’s industrial infrastructure to receive new investments, noting that the State has injected more than $4 billion to modernize public sector factories, including the import of the latest European machinery, while offering flexible partnership models to foreign investors such as ownership, leasing, and usufruct.
Moreover, GAFI CEO highlighted the key differences between the various investment frameworks—public and private free zones, and economic zones with special nature (such as the Suez Canal Economic Zone). He emphasized that this diversity aims to provide flexible options that enable investors to choose the most suitable framework for their projects, ensuring maximum benefit from governmental incentives and facilities.
He added that Egypt’s strategic location, free trade agreements, and competitive labor market make it an ideal destination for export-oriented textile industries.
In this regard, Mr. Heiba stressed the potential of utilizing the existing industrial capacities of textile companies in El-Mahalla El-Kubra, which possess advanced production capabilities and a strong industrial base. He confirmed that these assets offer an opportunity to enhance industrial integration with new investments in the sector and maximize the use of available expertise and facilities to support the expansion of the textile industry.
GAFI CEO affirmed that the industrial sector—particularly the textile and spinning sector—is a top priority at this stage due to its pivotal role in boosting exports, deepening local manufacturing, and increasing job opportunities, reflecting the state’s direction to attract major investments and support the expansion of national production capacity.
On their part, the company representatives expressed their appreciation for Egypt’s supportive and encouraging investment environment and the facilitation it provides to investors. They also expressed their eagerness to begin the implementation procedures for the new project as soon as possible and to strengthen their cooperation with Egyptian entities to ensure the swift execution of expansion plans and the achievement of the project’s objectives.
