(Ecofin Agency) – In Egypt, the textile industry is one of the most developed in Africa. The dynamics of the sector are attracting growing interest from foreign operators who wish to invest in the country.
The Chinese group Luthai Textile, specializing in the production of fabrics and shirts, plans to build its first factory in Egypt. The information reported on Monday, December 16 by the country’s General Information Organization (OGI), was announced by the General Authority for Investment and Free Zones (GAFI).
With a total cost estimated at $385 million, this project will be implemented over an area of 50 hectares. For the moment, the location of the site, the production capacity and the start date of the work are not known.
According to Liu Deming, director of Lutai Group’s marketing department, the investment aims to establish an integrated supply chain in Egypt, from yarn production to garment manufacturing. According to the manager, the entire production of the factory will be oriented towards export to the international market.
In addition, this investment by the Chinese firm should contribute to further strengthening the weight of the textile and clothing industry in the Egyptian economy. According to official data, Egyptian clothing exports generated more than $2.4 billion in revenue in 2023.
It should be noted that the growth prospects in the clothing market in the country of the pharaohs are also promising. According to projections from the Statista platform, revenues generated in the Egyptian clothing market are expected to reach $17.5 billion in 2024 and show an average annual growth of 5.73% until 2029.
Stéphanas Assocle
Edited by Wilfried ASSOGBA
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