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May 3, 2019

Chinese textile and garment maker to open Egypt site

By Hannah Abdulla

Chinese fabric and garment maker Handa Textile Co is planning to open a 250,000 sq metre production facility in Egypt, according to the Egyptian Ministry of Trade and Industry (MTI), after representatives from the company met with the minister of trade and industry during a visit to China last week. 

The Ministry of Trade and Industry says Handa’s investment plan focuses on three phases: establishing a ready-made garment factory that will employ up to 2000 workers; construction of a dyeing factory over three and four years; and increasing production capacity from 5-10,000 metric tonnes.

In addition to selling in the local market, the company aims to export its products to Europe, North America and Africa to take advantage of the trade benefits of Egyptian products with these geographies. For example, according to the re:source by just-style strategic sourcing tool, apparel exports from Egypt currently enjoy duty-free access to the European Union through the EU-Med Partnership.

Nassar said the government attaches “great importance” to the development of the ready-made garment sector where Egypt has “high competitive advantages in clothing production as well as its export capacity for a number of countries” and that it welcomed serious foreign investors contributing to its economy.

According to the post Handa is one of the largest Chinese textile and apparel manufacturers, with factories covering all stages of production from fabric to ready-made garments for a number of global brands.

Nassar also met with shoe manufacturer Huajian Group to explore potential business opportunities, according to the MTI.

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