Egypt is moving forward with plans to modernise its state-owned cotton, spinning, weaving and garment industry, with the government seeking greater private sector participation in the management and operation of textile companies.
Prime Minister Mostafa Madbouly said the programme aims to maximise the use of Egypt’s existing textile manufacturing capabilities while strengthening competitiveness and supporting efforts to restore the international standing of Egyptian cotton.
During a government meeting in New Alamein City, Madbouly stressed that President Abdel Fattah Al-Sisi and relevant state institutions are closely following progress on the development of the Holding Company for Cotton, Spinning, Weaving, and Clothing and its affiliated companies.
Private Sector Role in Egypt’s Textile Industry
A key element of the strategy is increasing private sector involvement in operating and managing textile assets.
The approach could provide additional management expertise and operational capabilities as Egypt works to improve the performance of state-owned textile companies and increase their contribution to domestic manufacturing and exports.
Deputy Prime Minister for Economic Affairs Hussein Issa reviewed the implementation status of the national development project, including the results of recent meetings and field visits conducted to monitor progress across its different components.
According to Issa, the modernisation programme is being implemented through integrated development plans designed to improve the efficiency of affiliated companies, increase production and strengthen the competitiveness of Egyptian textile products across domestic, regional and international markets.
Egypt Targets Modern Textile Technologies
Technology is another major component of the transformation.
Assistant Prime Minister and CEO of the State-Owned Enterprises Unit Hashem El-Sayed and Holding Company Chairman Ahmed Shaker reviewed measures aimed at introducing the latest technologies across the industry.
The technological upgrades are intended to improve manufacturing capabilities, support access to new international markets and ultimately help increase exports of Egyptian textile products.
Modern machinery and more efficient production systems have become increasingly important as Egypt seeks to compete with major textile and apparel manufacturing countries while taking advantage of its internationally recognised cotton sector.
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Reviving Egyptian Cotton’s Global Position
The modernisation initiative forms part of Egypt’s broader efforts to rebuild its cotton-to-garment value chain.
By connecting high-quality cotton production with modern spinning, weaving, processing and garment manufacturing capabilities, the country aims to capture greater value domestically rather than relying primarily on its traditional strength as a cotton producer.
Increasing private sector participation could also play an important role in improving productivity, management efficiency and access to international customers.
The latest government discussions indicate that Egypt is focusing not only on upgrading physical manufacturing assets but also on developing a more competitive operating model for its state-owned textile industry.
With investments in technology, production efficiency and private sector participation, Egypt aims to strengthen its position in regional and global textile markets while increasing the export potential of locally manufactured products.
