CAIRO: Minister of Trade and industry Mounir Fakhry Abdel Nour attended the signing of a contract between Noran Company for Multiple Trade and Sugar Production and 13 different banks.
The project is set to be established in Salhiya al-Gadida city in Sharqia for total investments worth 2.5 billion EGP (U.S. $35.7 million) to produce 530 tons of beet sugar and refine it, in addition to related industries, such as producing molasses, feed for livestock and liquid sugar, according to Al-Maal business website on Sunday.
“Egypt is the largest importer of sugar across the world,” Abdel Nour said during the signing of the contracts, noting that this project will contribute to production sovereignty and reducing imports, Sada al-Balad added Sunday.
“Egypt needs investors to increase their investments in Egypt to 15 percent of the total budget so that the local production rate can reach 30 percent, as it is now only 15 percent,” Nour added to Al-Hayah Al-Youm program on Sunday .
The project aims at providing 25 percent of the local market needs for sugar, which are estimated to be one million tons per year. This is set to lift a burden off the balance of payments of the State, according to Al-Maal website.
The project will also provide 3,000 direct job opportunities and 50,000 indirect job opportunities. Production is scheduled to start in 2016, where regional and global financing institutions will participate in the project, including the Islamic Corporation for Private Sector Development, the Islamic Development Bank, the Arab Fund for Economic and Social Development, and the Sugar and Integrated Industries Co., in addition to the founder and principal partner of the project, Noran Multi Trading Company, according to Sada al-Balad.
Vertical integration for the sugar production cycle will be achieved in industry, agriculture and trade. Bank Misr, Bank Audi and Abu Dhabi Islamic Bank have contributed with a 1.5 billion EPG loan, which is managed and organized by 13 banks, according to executive head of Noran Company, Ashraf Mahmoud, Al-Maal reported.