Egypt plans to establish an integrated industrial compound to produce flat steel with investments worth $1 billion. According to Business Insider Africa, the plan is designed to have an annual flat steel production capacity of 1.8 million metric tons.
The project, which was approved by the cabinet on Wednesday, September 13, 2023, will see the establishment of an integrated industrial compound to produce flat steel with a capacity of 1.8 million metric tons per year. The compound will be located in the Suez Canal Economic Zone and will be established in cooperation with an international company, which has not yet been identified.
The project is expected to create around 5,000 jobs during the construction phase and 1,000 jobs once it is operational. It is also expected to boost Egypt's exports of steel products and help to meet the growing demand for steel in the country.
Egypt is currently the top steel producer in Africa and the second-largest in the Middle East and North Africa region. The country's steel production capacity is estimated to be around 9.8 million tons per year. This project is expected to increase Egypt's steel production capacity by around 20%.
The project is part of Egypt's efforts to diversify its economy and reduce its reliance on oil and gas exports. The government has been promoting investment in the manufacturing sector in recent years, and this project is a major step in that direction.
Beyond the creation of jobs and the boost in exports, this project will also enable Egypt to meet the growing demand for steel. The country's economy is growing rapidly and there is a need for more steel to be used in construction, infrastructure development, and other industries.
The project is also expected to help to boost Egypt's infrastructure development. Steel is a major component of many infrastructure projects, such as roads, bridges, and buildings. The increased availability of steel is expected to help to accelerate the pace of infrastructure development in Egypt.
The $1 billion flat steel production project is a major investment in Egypt's future. It is expected to create jobs, boost exports, and help to diversify the economy. The project is also expected to help to improve Egypt's infrastructure. This is a positive development for Egypt and it is a sign that the country is committed to economic growth and development.