The food and drink market continues to provide new opportunities for foreign investors, due to its large size and the fact that the market is not yet saturated.
The Food and Drink sector in Egypt
Egypt manufactures 5% of the market’s vegetable and food processing equipment. Mainly spare
parts for the sugar milling industry, bakeries, packaging and filling machinery
If you are looking to invest in Egypt, now is a time for assessing, performing due diligence, and
looking closely at market developments in relation to your particular sector.
Over the past years there has been an increase in the quality of goods including baked goods,
cheeses, dairy products, beverages and bottled mineral water. Organic production has been very
common in Egypt although few producers are up to international standards.
Processed and packaged food products are largely consumed by middle-higher income
consumers. However, the processed food industry could be increasing due to growing fears over
food hygiene and safety.
The beverage sector of Egypt is not yet saturated and is still open for new products in both soft
and hot drinks. The market is capable of absorbing more brands. This could include high-end
products and health drinks. There is an audience for these drinks in international restaurants and
cafés, which serve the upper class of young people.
ξ The food and drink market continues to provide new opportunities for foreign investors,
due to its large size and the fact that the market is not yet saturated. Demand for packaged
and convenience foods will continue to grow due to higher levels of rising disposable
incomes among some consumer groups and ongoing health and hygiene fears.
ξ Egypt could serve as a manufacturing hub for the Middle East and wider African markets
as it is a member of the COMESA.
ξ Egypt's dairy sector offers strong growth potential. Soft drinks and bottled water
consumption is expected to rise. Non-alcoholic beers have proved to be very popular and
continue to offer growth opportunities for brewers.
ξ The main opportunities for UK companies in Egypt in this field would be to apply R&D
programmes to solve waste problems in:
ξ Poultry, meat processing and fruit vegetables sub-sectors.
ξ Fruit and vegetable from the farm to retail which could reach 40 %
ξ 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 manufacturing lines,
snacks, silos, slaughterhouses, and packaging equipment.
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 government’s
continues focus on increasing exports.
Latest export opportunities in the Food and Drinks sector
Latest export opportunities in Egypt
Getting into the market
Egypt is an attractive market that can offer major business opportunities to informed traders and
investors. Trade and investment between the UK and Egypt is promising. However it is not
always an easy market. A successful entry into Egypt will be determined by the quality of the
information and advice upon which the decision to enter is based. Continued success is also
dependent upon the ability to navigate the laws and practices of Egypt.
The Egyptian market requires careful study and a sustained sales effort. There is strong
competition from other exporting countries. Price and credit terms are a deciding factor when
obtaining contracts, though quality is increasingly important. Back-up servicing facilities and the
supply of spare parts is also important.
Having a local partner can be vital to successful penetration of this market. There are several
reasons for this. Firstly, given the continuing bureaucracy, a local partner can shepherd the
foreign business through the delays and obstacles. Secondly, foreign companies require a local
agent to bid for government tenders. Thirdly, as the Egyptian market becomes more
sophisticated there is a growing demand for after sales service, which a local agent can
In general, British products and services are very highly regarded in Egypt for their quality. The
main obstacle facing the growth of British involvement in the Egyptian market is that British
products have a reputation as being expensive compared to some foreign products, though this
has lessened slightly over the past year as exchange rate fluctuations have been in favour of UK
British companies wishing to develop their business in the Egyptian market are advised to
undertake as much market research and planning as possible in the UK.
More about doing business in Egypt
Market intelligence is critical when doing business overseas, and UKTI can provide bespoke
market research and support during overseas visits through our chargeable Overseas Market
Introduction Service (OMIS).
To commission research or for general advice about the market, get in touch with our specialists
in country - or contact your local international trade team.
J Marwa Hussein, British Embassy Cairo. Tel: + 202 2791 6000 or email:
Gary Hunt, British Embassy Cairo. Tel: + 202 2791 6000 email: firstname.lastname@example.org
UKTI runs a range of events for exporters, including seminars in the UK, trade missions to
overseas markets and support for attendance at overseas trade shows.
Latest events in the Food and Drinks sector
Agrena 2013. An Exhibition for Poultry, Animal Production & Fish Wealth
Oils & Fats International 2013
International Conference and exhibition of the technology in grain industry & products
1-3 March 2013
From Agriculture to Retailing
November 28-29, 2012
Conrad Cairo Hotel
More about OMIS and other UKTI services for exporters