YOUR TEXTILES OPPORTUNITY
YOUR
TEXTILES
OPPORTUNITY
OPPORTUNITY EGYPT
1
Contents
Textiles and Ready-Made Garments: Sector Overview
Competitive Strengths and Capabilities
Statistics & Exports
Strong Government Support for the Textiles Industry
Sector Drivers
Success Stories
OPPORTUNITY EGYPT
2
Textiles and Ready-Made Garments
Sector Overview
Egypt is home to the only fully vertically integrated textiles industry in the Middle East, with the entire production process — from the cultivation of cotton to the production of yarns, fabrics and ready-made garments — carried out domestically. The sector plays an extremely central role in the Egyptian economy.
It is the first in terms of jobs accounting for 30% of local employment. It accounts 14.4% of NonPetroleum exports in 2013, according to General Organization of Export and Import Control
(GOEIC).
The RMG subsector produced more than 340.6 million pieces in 2011/2012 with global brands such as Marks & Spencer, GAP, Wal-Mart, Levi Strauss, Target and Calvin Klein sourcing from and investing in Egypt.
Of the 25% of the industry focused on textile production, home textiles constitute 12% of the industry, and cotton yarn 8%, while the remaining 5% is attributed to other cotton fabrics and textiles. The majority of spinning (50%), weaving (60%) and hemming (60%) capacity is owned by the public sector while 90% of garmenting capacity is private.
For the spinning and weaving industry, medium- to large-scale companies dominate the industry with a strong public sector presence in spinning and weaving. Egypt imports yarns from China,
India, Turkey, Indonesia , Pakistan and other countries. Furthermore, gray and finished fabrics are imported from China, Turkey, India, and other countries to feed the RMG industry.
The government’s strategy is to boost exports to the European garment market by moving up the quality ladder in garments, vertically integrating the garment production value chain (e.g., use
local
TEXTILES
OPPORTUNITY
OPPORTUNITY EGYPT
1
Contents
Textiles and Ready-Made Garments: Sector Overview
Competitive Strengths and Capabilities
Statistics & Exports
Strong Government Support for the Textiles Industry
Sector Drivers
Success Stories
OPPORTUNITY EGYPT
2
Textiles and Ready-Made Garments
Sector Overview
Egypt is home to the only fully vertically integrated textiles industry in the Middle East, with the entire production process — from the cultivation of cotton to the production of yarns, fabrics and ready-made garments — carried out domestically. The sector plays an extremely central role in the Egyptian economy.
It is the first in terms of jobs accounting for 30% of local employment. It accounts 14.4% of NonPetroleum exports in 2013, according to General Organization of Export and Import Control
(GOEIC).
The RMG subsector produced more than 340.6 million pieces in 2011/2012 with global brands such as Marks & Spencer, GAP, Wal-Mart, Levi Strauss, Target and Calvin Klein sourcing from and investing in Egypt.
Of the 25% of the industry focused on textile production, home textiles constitute 12% of the industry, and cotton yarn 8%, while the remaining 5% is attributed to other cotton fabrics and textiles. The majority of spinning (50%), weaving (60%) and hemming (60%) capacity is owned by the public sector while 90% of garmenting capacity is private.
For the spinning and weaving industry, medium- to large-scale companies dominate the industry with a strong public sector presence in spinning and weaving. Egypt imports yarns from China,
India, Turkey, Indonesia , Pakistan and other countries. Furthermore, gray and finished fabrics are imported from China, Turkey, India, and other countries to feed the RMG industry.
The government’s strategy is to boost exports to the European garment market by moving up the quality ladder in garments, vertically integrating the garment production value chain (e.g., use
local