Food & Drink opportunities

An Expert's View about Food , Beverages and Tobacco in Egypt

Posted on: 15 Oct 2011

There are opportunities in the post harvest technology and associated food processing. Egypt’s food processing and packaging industry is expected to boom during the coming years. The increase is due to Egypt’s rapidly growing population and the privatisation of the remaining public sector entities, specifically the edible oil processing companies and the governments continued focus on increasing exports.

Sector briefing Food & Drink opportunities in Egypt Why Egypt? Egypt has the largest population in the Arab Egypt manufactures 5% of the market?s world (approximately 80 million) and is the vegetable and food processing equipment. fourth-largest economy. Mainly spare parts for the sugar milling industry, bakeries, packaging and filling Egypt has a strategic location in the centre of machinery. the Middle East and North Africa (MENA) region (800 million people) and has links to the three Over the past years there has been an increase continents of Asia, Africa and Europe. It is the in the quality of goods including baked goods, hub for the world?s maritime traffic with cheeses, dairy products, alcoholic and commercial ports on the Mediterranean and carbonated beverages and bottles of mineral Red Seas. water. Organic production has been very common in Egypt although few producers are Egypt is signatory to many regional and up to international standards. international Free Trade agreements which reduce or wave completely the custom duties Processed and packaged foods products are on exported / imported goods. largely consumed by middle-higher income consumers. However, the processed food Events in Egypt since January 2011, and the industry could be increasing due to growing transition to democracy, have had a negative fears over food hygiene and safety. After the impact on the economy. Economists forecast Bird Flu outbreak, around 150,000 live bird that overall growth for FY 2011 will be around shops were closed. The demand increased for 3% rather than the 5.7% which had been processed food and frozen poultry was the expected. The transition government has main option. placed a real emphasis on the need to accelerate economic reform alongside The Beverage sector of Egypt is not yet democratic developments and improve further saturated and is still open for new products in the climate in Egypt for international both soft and hot drinks; the market is capable investment. Analysts are predicting a period of of absorbing more brands and for high-end economic uncertainty for the next 6-9 months products and health drinks distributed in with a return to higher growth depending on international restaurants and cafés, which stability and a return to civilian government. serve the upper class of youth. If you are looking to invest in Egypt, now is a For more information about our market please time for assessing, performing due diligence, visit Egypt page at: www.ukti.gov.uk/egypt. and looking closely at market developments in relation to your particular sector. The business to business trading relationship will be less affected by recent events and will continue throughout the period of political uncertainty, though letters of credit will gain in importance. UK Trade & Investment Sector briefing: Food & Drink opportunities in Egypt Opportunities Major events and activities The 2011 food and drink market continues to Agrena 2012 provide new opportunities for foreign investors, due to its large size and currently remaining An Exhibition for Poultry, Animal Production & unsaturated. Demand for packaged and Fish Wealth Development. A yearly event, that convenience foods will continue to grow due to takes place during July each year at Cairo higher levels of rising disposable incomes International Conferences Centre. among some consumer groups and continued Organiser: Crose Co. E health and hygiene scares. Mail: crose@access.com.eg Web: www.agrena.net Egypt could serve as a manufacturing hub for the Middle East and wider African markets Oils & Fats International 2011 / 2012 as it is a member of the COMESA. Demand for processed and packaged foods is Commercial / technical conference together with an exhibition showcasing the latest likely to grow. Egypt's dairy sector offers strong growth potentia products and services from the worldwide oils l. Soft drinks and bottled water consumption and fats marketplace.is expected to rise. Non- alcoholic beers have proved to be very popular Organiser: Quartz Business Media and continue to offer growth opportunities Mail: info@quartzltd.comfor brewers. Web: www.ofievents.com/middle-east/ There are opportunities in the post harvest Find full details of all events in Egypt on technology and associated food processing. the UKTI website. Egypt?s food processing and packaging industry is expected to boom during the coming years. New export events are added daily to the site The increase is due to Egypt?s rapidly growing and you can register to be alerted to them on a population and the privatisation of the daily, weekly or monthly basis remaining public sector entities, specifically the edible oil processing companies and the UKTI?s Tradeshow Access Programme (TAP) governments continued focus on increasing provides grant support for eligible Small & exports. Medium Sized Enterprises (SME's) to attend trade shows overseas. Find out more about One of the main opportunities for UK UKTI support for attendance at overseas companies in Egypt in this field would be to events. apply R&D programme to solve wastes problems in poultry, meat processing and fruit vegetables sub-sectors. One other area which could be targeted is the supply of agro-industry processing equipment which includes sugar crushing and refining plants, edible oil crushing and refining equipment, meat processing equipment, cake and biscuit lines, snacks, silos, slaughterhouses, and packaging equipment. You can be alerted to business opportunities on a regular basis by registering on the UKTI website. Find out more on UKTI?s business opportunities service on the UKTI website UK Trade & Investment Sector briefing: Food & Drink opportunities in Egypt UKTI contacts Next steps - How UKTI can help Marwa Hussein Trade & Investment Section British companies wishing to develop their British Embassy Cairo business in the Egypt market are advised to Egypt undertake as much market research and Tel: +202 27916000 planning as possible in the UK. UKTI?s team in Fax: +202 27916130 Egypt, with its wide local knowledge and Email: Marwa.Hussein@fco.gov.uk experience, can provide a range of services to www.ukti.gov.uk British-based companies wishing to grow their business in global markets. Gary Hunt Deputy Director This can include: Trade & Investment Section ? Provision of market information British Embassy Cairo ? Validated lists of agents/distributors Egypt ? Key market players or potential Tel: +202 27916000 customers in the Egyptian market Fax: +202 27916130 ? Establishment of interest of such Email: Gary.Hunt@fco.gov.uk contacts in working with you www.ukti.gov.uk ? Arranging appointments ? Organise seminars or other events for Christine Malak you to meet contacts and promote your Assistant company in the Egyptian market Trade & Investment Section British Embassy Cairo This work is available via our Overseas Market Egypt Introduction Service (OMIS) a chargeable Tel: +202 27916000 service which assists British-based companies Fax: +202 27916130 wishing to enter or expand their business in Email: Christine.Malak@fco.gov.uk overseas markets. www.ukti.gov.uk To find out more about commissioning this work, or accessing other UKTI services and specialist advice, please visit the UKTI website to find contact details for your local UKTI office. Whereas every effort has been made to ensure that the information given in this document is accurate, neither UK Trade & Investment nor its parent Departments (the Department for Business, Innovation & Skills, and the Foreign & Commonwealth Office), accept liability for any errors, omissions or misleading statements, and no warranty is given or responsibility accepted as to the standing of any individual, firm, company or other organisation mentioned. Published 2011 by UK Trade & Investment. Crown Copyright © You may reuse this information (not including logos, images and case studies) free of charge in any format or medium, under the terms of the Open Government Licence. To view this licence, visit www.nationalarchives.gov.uk/doc/open-government-licence/ or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gsi.gov.uk This publication is also available from our website at www.ukti.gov.uk or for more information please telephone +44 (0)20 7215 8000. UK Trade & Investment Sector briefing: Food & Drink opportunities in Egypt
Posted: 15 October 2011

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