Overview

                                        
         
(Exchange rate used: 1 USD = LE 5.50.  Values are in millions of U.S. Dollars.  Figures listed are unofficial estimates.)

The Egyptian market for packaging equipment is estimated to be $1.5 billion in 2008 and is expected to grow at an annual rate of 25% for the next three years.  Egypt’s packaging equipment market is 90% supplied from imports and 10% from domestic sources, mainly from U.S., Italy, Germany, Spain, U.K., and the Far East.  The U.S. share currently stands at seven percent, but the local market is very receptive to U.S. equipment because of its excellent reputation and perceived value.  Also, with the recent devaluation of the U.S. dollar, American companies are in a much more competitive position.

Specific product areas which U.S. firms can target include package production lines, vertical and horizontal filling equipment, sleeve packaging equipment, flow packaging, bar coding, multi-layer polyethylene bottling lines, polyethylene theraphthalate bottling lines, and sheer packaging equipment.

Best Products/Services

• Vertical and horizontal filling machines
• Flow-Packaging Equipment
• Sleeve Shrink Machine
• Sheer packaging equipment
• Bar coding
• Bottle filling lines
• Tetra-pack lines

Opportunities

The market is concentrated primarily in the rapidly growing food processing, pharmaceutical, and chemical manufacturing industries.  Packaging equipment for the food processing industry represents 50% of the total market, which is booming and is growing at a pace of 25%. Additionally, a 25% growth is in the textile and ready-made garments industry.

Resources

Commercial Service in Egypt:  http://www.buyusa.gov/egypt/en/
U.S. Embassy:  http://usembassy.egnet.net
USAID:  http://www.usaid-eg.org/

Contact for the Commercial Specialist in charge of the Food Packaging Equipment Sector:  Heba Abdel-Aziz, heba.abdel-aziz@N0SPAM.mail.doc.gov