Weaving and textile industry - File Photo
CAIRO - 13 February 2023: The Egyptian state has intervened intensely to support the vital spinning and weaving industry, according to the Prime Minister, Mostafa Madbouli.
Madbouli noted that the project to develop the Holding Company for Spinning and Weaving needs LE 30 billion, divided into LE 8.5 billion for new construction and raising the efficiency of existing ones, in addition to purchasing new machines for about 650 million euros.
This came during a press conference held on the sidelines of his current tour to inspect the development projects at a number of spinning and weaving factories in El Mahalla El Kobra in Gharbia.
He pointed out that the private sector will not be able to implement the first steps to develop the spinning and weaving industry, so the state, in order to choose a sector for development, must serve the economy, and help the private sector to complete the rest of the development steps.
According to the Premier, the state decided to forcefully pump about LE 30 billion into one company, as well as settling debts of about LE 21 billion, bringing the total that the state pays to LE 51 billion.
He clarified that the government is responsible for setting a vision for reform and development, and the existing workforce will be developed, trained and rehabilitated.
He stressed the need for a completely different management, operation and marketing system, and for the private sector to be present with the state in this.
He referred to the state's huge amount of injected investments to develop the sector, calling on the private sector to start a real partnership, as President Abdel Fattah El-Sisi said, "The state is ready to enter into a real partnership with the private sector in the management, operation and marketing process, and even financing."