Hany El Habibi
Chairman
Sahara Group
Egypt Always Open for Business
November 4th, 2010
Norwich, UK
Overview on the Egyptian Economy
-Economic Activity, y/y % chg.
- Monetary Indicators
-Egyptian Economy Indicators
-External Sector Performance
-Financial Sector Performance
-Fiscal Performance
-External Debt
A quick overview on the Egyptian Textile & Apparel Industry
Account for 25% Egypt’s total industrial work force
29 public & 2500 private textile enterprises
Value of output estimated at US$ 12 BN
US$ 8 BN Investment
10% of total exports
Comprised 25% of all manufactured exports
EUROMED - EU-Egypt FTAQIZ – USA-Egypt FTA
COMESA- Egypt-African Countries FTAEgypt - Arab Countries Regional FTA
Aghadir – Jordan, Egypt, Tunis, Morocco
Industry Size
Importance to the
Egyptian Economy
Free Trade Agreements applying in
Egypt:
Egyptian Cotton Fiber
Spinning & Weaving
Dyeing & Finishing
RMG&
Home Textiles
Vertically Integrated Industry
The Egyptian Cotton
- Egyptian Cotton History starts since 1818
- Egyptian cottons are recognized world-wide as being of higher quality than all other world cottons.
- The Egyptian Cotton is hand-picked cotton.
- Main importers are India, Pakistan and China
Egyptian cotton in the last 58 years
0.0
100.0
200.0
300.0
400.0
500.0
600.0
1951
/195
219
52/1
953
1953
/195
419
54/1
955
1955
/195
619
56/1
957
1957
/195
819
58/1
959
1959
/196
019
60/1
961
1961
/196
219
62/1
963
1963
/196
419
64/1
965
1965
/196
619
66/1
967
1967
/196
819
68/1
969
1969
/197
019
70/1
971
1971
/197
219
72/1
973
1973
/197
419
74/1
975
1975
/197
619
76/1
977
1977
/197
819
78/1
979
1979
/198
019
80/1
981
1981
/198
219
82/1
983
1983
/198
419
84/1
985
1985
/198
619
86/1
987
1987
/198
819
88/1
989
1989
/199
019
90/1
991
1991
/199
219
92/1
993
1993
/199
419
94/1
995
1995
/199
619
96/1
997
1997
/199
819
98/1
999
1999
/200
020
00/2
001
2001
/200
220
02/2
003
2003
/200
420
04/2
005
2005
/200
620
06/2
007
2007
/200
820
08/2
009
2009
/201
020
10/2
011
000'Tons
Stock Production Exports Local consumption of Egyptian Cotton
Local consumption of cotton in the past 30 years
0
50
100
150
200
250
300
350
1990/1
991
1991/1
992
1992/1
993
1993/1
994
1994/1
995
1995/1
996
1996/1
997
1997/1
998
1998/1
999
1999/2
000
2000/2
001
2001/2
002
2002/2
003
2003/2
004
2004/2
005
2005/2
006
2006/2
007
2007/2
008
2008/2
009
2009/2
010
Local consumption of Egyptian Cotton Consumption from Imports Total Consumption
Production of ELS Cotton Worldwide
0
50
100
150
200
250
2005 2006 2007 2008 2009 2010
.000 Tons
Egypt US China India Sudan Others
Main Importers of Egyptian and Pima Cotton 2007/2010
0
10
20
30
40
50
60
70
"000 Tons
China
Pakist
anIn
dia
Indo
nesia
Japa
n
Taiwan
Peru
Thaila
nd
Korea
Turke
y
Germ
any
Other
s
2007/2008 2008/2009 2009/2010*
Comparison of Egyptian Cotton and US Pima Cotton Exports in the period of 2003 - 2010
020406080
100120140160180200
2004 2005 2006 2007 2008 2009 2010*
'000 Tons
Egyptian Cotton Pima Cotton
Comparison of Egyptian - U.S Pima Cotton Prices from Dec. 08 - Oct. 10
80100120140160180200220240
December
January
February
March AprilMay
JuneJuly
August
September
October
November
December
January
February
March AprilMay
JuneJuly
August
September
October
Giza 86 Giza 88 Pima
C/LB
Egyptian Cotton Trademark
1 2 3
654
THIS IS The Egyptian Cotton Trademark
Main Yarn Exporters to EU during 2004-2009
0
20
40
60
80
100
120
'000 Tons
India
Turke
y
Pakist
an
Uzbek
istan
ChinaEg
ypt
Syria
Others
2004 2005 2006 2007 2008 2009
Comparison of Egypt cotton yarn exports to the EU by yarn count ranges in the period 2003 - 2009
0
20
40
60
80
100
120
140
160
'000 Tons
Less than NE8 NE8-NE25 NE25-NE30 NE30-NE47 NE47-NE55 NE55-NE70 Above NE70
2004 2005 2006 2007 2008 2009
Comparison of China and Mediterranean Countries Apparel export growth
to the EU in the period 2003 – 2008
Egyptian T&C Exports to EU
Exports of Knitted Apparel to EUEgyptian Home Textile Exports to the EU
Exports of Cotton Yarn and Fabrics to EU
0
20
40
60
80
100
120
2003 2004 2005 2006 2007 2008 2009
Millions Euro
Suits/Trousers/Shorts Shirts Underwear T-Shirts Pullovers Others
Exports of Woven Apparel to EU
0102030405060708090
100
2002 2003 2004 2005 2006 2007 2008 2009
Millions Euro
Cotton Yarn Fabrics
0
20
40
60
80
100
120
140
160
2003 2004 2005 2006 2007 2008 2009
Millions Euro
Suits/Trousers/Shorts Shirts Underwera Others
010,00020,000
30,00040,00050,00060,000
70,00080,00090,000
2003 2004 2005 2006 2007 2008 2009
'000 Euro
Carpets Towels Bed linen Table linen Others
Egypt’s Exports of Textile and Apparel to EU during 2003 - 2009
0
50
100
150
200
250
300
2003 2004 2005 2006 2007 2008 2009
'000 Euro
Yarn Fabrics Knitted Apparel Woven Apparel Home Textiles
Egypt’s Exports of Textile and Apparel to U.S during 2003 - 2009
Egypt’s Exports of Knitted Apparel to USA
Egypt’s Exports of Woven Apparel to USA Egypt’s Exports of Home Textiles to USA
Egypt’s Exports of Cotton, Yarns and fabrics to USA
0
5
10
15
20
25
30
35
2003 2004 2005 2006 2007 2008 2009
Millions USD
Cotton Yarns Fabrics
Egypt’s Exports of Textile and Apparel to USA during 2003 - 2009
0
50
100
150
200
250
300
350
400
450
500
2003 2004 2005 2006 2007 2008 2009
Millions
Woven Apparel Knitted Apparel Home Textiles
Egypt’s Exports of Woven Fabrics to UK during 2003 - 2009
0
500,000
1,000,000
1,500,000
2,000,000
2003 2004 2005 2006 2007 2008 2009
Euro
Woven Fabrics
0
20,000
40,000
60,000
80,000
100,000
120,000
2003 2004 2005 2006 2007 2008 2009
'000 Euro
Knitted Apparel Woven Apparel Home Textiles
Egypt’s Exports of Textile and Apparel to UK during 2003 - 2009
Labor Cost Comparison 2009
Egyptian Power & Energy Cost
Egypt’s Water, Sewage & Natural Gas Tariffs
0
0.01
0.02
0.03
0.04
0.05
0.06
2008 2009 2010
USD/KW
Electricity $ (Kw/H) for Extra High Voltage (Above 75 MV)
Electricity $ (KW/H) For High Volatage ( From 20 MW to 75 MW)
Electricity $ (KW/H) for Medium Voltage ( From 500 KW to 20 MW)
2009/2010 2010/2011 2011/2012 2012/2013 2013/2014
Water Tariff of consumption $ / Square
Meter* 0.178 0.214 0.258 0.311 0.374
Sewage Tariff of consumption $ / Square Meter* 0.124 0.15 0.181 0.218 0.262Natural Gas $ /million British thermal unit (Btu) Apparel and Textile Industry: 2 USD/MBTU
Source: Egypt: Prime Minister Decree No. 1914/2007,www.eia.doe.gov Fiscal Year: Starts first of July and Ends 31 of June
About Sahara Group
PROVIDING AN END TO END SOLUTION FOR THE EGYPTIAN TEXTILE INDUSTRY
saharagroup.com
Consultation EGYTEX Trade Fair egytex.com
Marketing Promotion
NORTH CAROLINA STATE UNIVERSITY FASHION INSTITUTE – NEW YORK
Information Technology
Networking International
BUYERS
E-commerce
Organizational ChartOrganizational Chart
Training
Strategy Services
Marketing Intelligence
Sourcing
Brand & Retail
Management
InformationManagement
WERNER INTERNATIONAL
DIRECTORY
SOURCE
NEWS
INDUSTRYREPORTS
JOBS
RESEARCHES
NEWSLETTER
INDUSTRIALExport
Promotion
SECTORIALExport
Promotion
B2BServices
In-ward Matchmaking
Missions
Technical Assistance
Innovation
Quality Management
Production
Out-ward Matchmaking
Missions
NETWORKING
Sahara Group
CEDITH/ETDA/EJBTextile Institute – Manchester, UK
FORUMSFORUMSConferences
Workshops
EGYTEX Exhibition
Institutional Support
Networking
Sahara Group – Projects’ Highlights
Highlight on Egytex2011 inner activities
Invitation to - Egytex2011 The 10th International Apparel & Textile Sourcing Trade Fair
B2B Meetings’ Service During the Egytex2011 opening hours
Factory Tours
Interactive Forums discussing the challenges in exports
Fashion ShowOn the Gala Farewell Evening
URL: www.egytex.com
Thank You !
Sahara GroupTel: 202 26708995 202 22755958
E-mail: [email protected] H - Zone No. 6
Public Free Zone, Nasr City, Cairo, Egypt
Recommended