STRENGTHENING ENTREPRENEURSHIP AND ENTERPRISE DEVELOPMENT (SEED)
PLASTICS VALUE CHAIN MAPPING AND ASSESSMENT
Technical Report No. 20
September 2017
This publication was produced for review by the United States Agency for International Development. It was prepared by AECOM.
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STRENGTHENING ENTREPRENEURSHIP AND ENTERPRISE DEVELOPMENT (SEED)
PLASTICS VALUE CHAIN MAPPING AND ASSESSMENT CAIRO, EGYPT SEPTEMBER 26, 2017
Submitted to: Ingi Lotfi, COR USAID/Egypt
Authors: Magdy Gharib Farag (SEED Plastics Industries Technical Advisor) Ahmed Korachy (SEED Plastics and Auto Feeding Industries Value Chain Advisor) Other Contributors: Ahmed Hussein (SEED Team Leader – Integration of MSMEs in Value Chains) Hassan El Badawy (SEED Program Assistant – Integration of MSMEs in Value Chains)
Activity name: C.1.1.1 Value chain assessment and cost-benefit analysis
Contract: AID-263-C-16-00003
DISCLAIMER: The authors’ views expressed in this document do not necessarily reflect the views of the United States Agency for International Development or the United States Government.
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TABLE OF CONTENTS
List of Tables ...... iv List of Figures ...... iv Acronyms and Abbreviations ...... v Acknowledgements ...... 1 Executive Summary ...... 1 Background and Scope of Assignment ...... 3 Introduction ...... 5 Plastics Industry Overview and Benchmarks ...... 5 Plastics in South Africa: A Model of a Developing Country ...... 7 Conclusion ...... 9 Egypt’s Plastics Value Chain: Overview ...... 10 Value Chain Mapping And Assessment...... 12 Egypt Plastics VC Map ...... 13 Plastic Raw Materials Producers and Suppliers ...... 15 Egyptian Petrochemicals ...... 15 Raw Material Production Versus Market Demand ...... 16 Future Petrochemical Projects ...... 18 Plastic Raw Material Importers ...... 19 Plastic Raw Material Distributors ...... 19 Plastic Compounders and Master-Batch ...... 20 Plastics Converters (Manufacturers) ...... 20 Manufacturers’ and Recyclers’ Geographical Distribution ...... 23 Plastic Recycling Industry ...... 25 Equipment and Molds ...... 26 Service Providers and Other Market Players ...... 28 Egyptian Customs Authority ...... 28 Ministry of Trade and Industry ...... 28 Ministry of Scientific Research ...... 29 Ministry of Petroleum ...... 30 Private-Sector, Industry Groups, and NGOS ...... 30 Plastic Products’ Final Consumers and End Markets ...... 30 Original Equipment Manufacturers (OEMs) ...... 30 Wholesale and Retail ...... 31 Large Consumers, Institutions, B2B, and Government Mega-Projects ...... 31 Export Market ...... 32 New Markets and Opportunities ...... 33 The Harmonized System: Codes and Tariffs ...... 34
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Plastic End of Life Cycle ...... 34 European Methods of Waste Recovery ...... 36 Plastic Value Chain Analysis ...... 38 Cause and Effect Analysis...... 38 Focus Group Discussions ...... 40 Interventions in Progress ...... 43 USAID SEED’s Proposed Technical Assistance Interventions ...... 45 Annexes ...... 46 Annex 1: Petrochemicals Capacity, Production, Export, and Consumption ...... 46 Annex 2: Top Plastic Raw Materials Importers ...... 47 Annex 3: SIDPEC Authorized Plastic Raw Materials Distributors ...... 50 Annex 4: Sample from Compounders & Master-Batch ...... 51 Annex 5: Producers of Plastic Bags & Raffia ...... 52 Annex 6: Sample from ready-made clothes factories with annual plastic consumption ...... 55 Annex 7: Sample from Restaurant Chains in Egypt with Annual Plastic Packaging Consumption ...... 56 Annex 8: Sample from Pharmacies Series in Egypt with Annual Plastic Bag Consumption ..... 57 Annex 9: Sample from Large Hypermarket Series in Egypt with Annual Plastic Bag Consumption ...... 58 Annex 10: Sample from Semi-finished and Final Products Exporters ...... 60 Annex 11: Sample from plastic finished products importers ...... 62 Annex 12: Description and Rate as of 2016 for HS Codes in Chapter 39 ...... 63
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LIST OF TABLES
Table 1. SA plastics industry statistics and figures ...... 8 Table 2. Comparison between Egypt, South Africa, Turkey, and Europe...... 11 Table 3. Petrochemical companies’ location, products, and capacities ...... 16 Table 4. 2016 plastic raw materials consumption and growth rate in Egypt ...... 17 Table 5. Plastics converters by size ...... 21 Table 6. Plastics MSMEs geographical distribution ...... 21 Table 7. Plastic consumption in different manufacturing applications in Egypt ...... 22 Table 8. Ministry of Trade and Industry Affiliates...... 29 Table 9. Egypt’s top-10 export partners and import partner shares ...... 33 Table 10. Estimated generated solid waste in Egypt, 2001, 2006, and 2012 (source: EEAA) ...... 35 Table 11. Sample of EOS standards applied in plastic recycling ...... 35 Table 12. Geographical location and the type of entities selected in the sample of field visits ...... 38
LIST OF FIGURES
Figure 1. World plastic production, 1950–2015 ...... 5 Figure 2. Comparison of world plastic production, distribution by region, 2006–15 ...... 5 Figure 3. World plastic production contribution by region, 2015 ...... 6 Figure 4. World plastic materials’ demand by type ...... 6 Figure 5. Europe plastics demand by segment (above) ...... 7 Figure 6. SA plastics demand by segment (above, right) ...... 7 Figure 7. India plastics demand by segment (above) ...... 7 Figure 8. Turkey plastics demand by segment (above, right) ...... 7 Figure 9. Integrated approach for industry challenges and development in SA ...... 9 Figure 10. Simplified plastics industry VC ...... 12 Figure 11. Detailed map of Egyptian plastics VC, including all main stakeholders ...... 13 Figure 12. Detailed plastics value flow ...... 14 Figure 13. PE trade balance (in million USD) ...... 17 Figure 14. PP trade balance (in million USD) ...... 17 Figure 15. PVC trade balance (in million USD) ...... 17 Figure 16. PS trade balance (in million USD) ...... 17 Figure 17. Egypt raw material consumption (2016) ...... 18 Figure 18. Petrochemical master plan, 2002–22 (developed in 2002) ...... 18 Figure 19. Plastics converters distribution by size ...... 21 Figure 20. Plastics MSMEs by region ...... 21 Figure 21. Distribution of plastic consumption over different applications in Egypt ...... 22 Figure 22. Flexible packaging manufacturers percentage by governorate ...... 23 Figure 23. Plastic pipes manufacturers’ percentage by governorate ...... 23 Figure 24. Plumbing tools manufacturers’ percentage by governorate ...... 23 Figure 25. Agriculture equipment manufacturers percentage by governorate ...... 24 Figure 26. Houseware manufacturers percentage by governorate ...... 24 Figure 27. Plastic rigid packaging manufacturers percentage by governorate ...... 24 Figure 28. Plastic recyclers and granulators percentage by governorate ...... 25 Figure 30. Illustration ...... 28 Figure 31. Egypt plastic and rubber imports and exports (2010–15) ...... 33 Figure 32. Symbol codes of recyclable plastic packaging materials according to ES: 6123 / 2007 ...... 36 Figure 33. European plastic waste recovery ...... 37 Figure 34. Cause and effect diagram showing bottlenecks and constraints facing the plastics VC ...... 39
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ACRONYMS AND ABBREVIATIONS °C Degree Centigrade ABS Acrylonitrile Butadiene Styrene terpolymer AAGR Average Annual Gross Rate B2B Business to Business BDP Biodegradable Plastic BDS Business Development Services BOPP Biaxial-Oriented Polypropylene bn Billion
CaCO3 Calcium Carbonate CAPMAS Central Agency for Public Mobilization and Statistics CBA Cost Benefit Analysis CBE Central Bank of Egypt CCI Chamber of Chemical Industries - FEI CIS Commonwealth of Independent States (formerly the USSR) C-PVC Chlorinated polyvinyl chloride ESCR Environmental Stress Cracking Resistance ECHEM Egyptian Petrochemicals Holding Company EEAA Egyptian Environmental Affairs Agency EN European Norm, European Standard EOS Egyptian Organization for Standards & Quality EPS Expanded polystyrene EU European Union FEI Federation of Egyptian Industries FMCG Fast-Moving Consumer Goods GDP Gross Domestic Product GOE Government of Egypt GOEIC General Organization for Exports & Imports Control HDPE High Density Polyethylene I-BM Injection Blow Molding (technology to produce PET bottles) IDA Industrial Development Authority - Egypt IM Injection Molding IMC Industrial Modernization Center ISBM Injection stretch blow molding (technology to produce PET bottles) ISO International Standards Organization IT Information Technology K value number to identify molecular weight of PVC Kg Kilogram KT Kilo Ton KTA Kilo Ton Annual L Liter
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LDPE Low Density Polyethylene LLDPE Linear Low-Density Polyethylene MSMEs Micro, Small and Medium Enterprises MTI Ministry of Trade and Industry NAFTA North American Free Trade Area NGO Non-Governmental Organization OEM Original Equipment Manufacturer PA Polyamide PC Polycarbonate PET Polyethylene terephthalate PP Polypropylene PPHP Polypropylene homo polymer PPR Polypropylene Random Copolymer p-PVC Plasticized polyvinyl chloride (flexible) PS Polystyrene PTC Plastic Technology Center PVC Polyvinyl chloride QC Quality Control R&D Research and Development RCA Revealed Comparative Advantage index SA South Africa SEED Strengthening Entrepreneurship and Enterprise Development SIDPEC Sidi Kerir Petrochemicals Company SMEs Small and Medium Enterprises STTA Short-term Technical Assistance T Metric Ton TF Thermoforming TPO Thermoplastic polyolefin TR Thermoplastic rubber u-PVC Un-plasticized polyvinyl chloride (rigid) USAID United States Agency for International Development VC Value Chain XL PE Cross-linked polyethylene
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ACKNOWLEDGEMENTS
This publication was made possible as a result of the support provided by the Ministry of Trade and Industry (MTI), the Federation of Egyptian Industries (FEI), and the Chamber of Chemical Industries and its plastics sector, as the main partners for USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project.
The authors wish to express their sincere gratitude to the representatives of petrochemical industries from the Egyptian Petrochemical Holding Company (ECHEM), Sidi Kerir Petrochemical Company (SIDPEC), and the Plastic Technology Center (PTC), as well as the representatives of micro, small, and medium-sized plastic-manufacturing enterprises, plastic raw material importers, compounders, MSME development agencies, large plastic manufacturers and consumers, and other governmental agencies that have been supportive in providing their insight about the challenges facing the plastic industry in Egypt and their suggestions of different models and approaches for integrating MSMEs into the value chain (VC).
This report is a product of the “Plastics Value Chain Mapping and Assessment” task (June – September 2017) completed by USAID SEED.
1 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
EXECUTIVE SUMMARY
Plastic has transformed the quality of modern life by playing a key role in clothing, shelter, packaging, transportation, communication, entertainment, and health care. It has many attractive properties, such as being lightweight, high strength, and easy to process, and at a comparatively low cost.
Plastic production in Egypt is mainly derived from petrochemicals and currently accounts for around 3% of Egypt’s GDP and 12% of the industrial sector’s production. Egypt is one of the most important countries in the Middle East and North Africa in the plastics industry, with production value of USD 7.5 billion in 2016 and with 6% annual growth (more than 11% growth for PVC from 2004–14). It is also a major station for global exhibitions of this promising industry.
This report is a detailed study of the plastics value chain (VC) mapping and assessment. The main objective is to identify the constraints and obstacles preventing MSMEs from effectively integrating in this VC on a sustainable basis to grow and increase income and employment. This report describes Egypt’s plastics sector position as compared to other global and regional countries in terms of applications, rate of improvement, and exports, in addition to the magnitude of the plastics sector in relation to the local economy. Relevant recent studies, research, and statistics related to plastics import, production, consumption, and export are reviewed and summarized.
The mapping, assessment, and analysis of the overall plastics VC began with raw material producers, compounders, and importers. The next stage was mapping the plastic manufacturing of large, medium, small, and micro enterprises, which showed their interaction with raw materials, machineries, and other service providers like governmental entities, NGOs, financial institutions, testing and research institutes, and markets of different types of consumers. The map concludes with the end-of-life cycle challenges and opportunities facing the plastics VC.
In the mapping and assessment phase, more than 40 field visits and one-on-one interviews were conducted in several geographical locations with diversified entities, including raw material producers, compounders, large manufacturers, MSMEs in different applications, and recyclers, as well as service providers such as machine and mold makers, testing and research institutes, development associations, and governmental entities. Interviews were carried out to identify and assess constraints and bottlenecks facing plastic industries as well as opportunities and suggestions for technical-assistance interventions to overcome challenges for MSMEs’ integration into the VC.
To verify and validate the constraints, bottlenecks, and suggested solutions collected from industry stakeholders in the field visits, two focus group meetings were conducted at the FEI with representatives from the MTI, FEI, and PTC, as well as Egyptian petrochemical companies, raw material importers, MSMEs, machine importers, MSME development agencies, large consumers, and recyclers. The focus group participants reached a consensus on the key constraints and bottlenecks and suggested required interventions for MSMEs to integrate into the VC.
The detailed VC map of the plastic products presents the bottlenecks and constraints facing the MSMEs and their reasons, as captured from key industry players. It also provides the foundation for designing and implementing needed sustainable interventions for MSMEs’ integration into the VC and highlights the interventions currently underway by different entities.
Based on the VC evaluation and the suggested interventions, USAID SEED Project’s technical
1 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
advisor recommended the most effective interventions for implementation in the SEED Project’s next phases (intervention design and implementation), based on the capacity of key partners and SEED’s scope.
2 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
BACKGROUND AND SCOPE OF ASSIGNMENT
USAID’s SEED Project assigned engineer Magdy Gharib Farag (plastic technology expert) to conduct, assess, and draw a detailed mapping of the plastic subsector VC to provide SEED with the foundation for designing and implementing needed interventions effectively and efficiently, with sustainable impact on the targeted groups. To achieve the integration of MSMEs and entrepreneurs in progressive VCs, USAID SEED has a five-phase structured approach for VC development, as detailed below.
Phase I: Sector selection. In this phase, the MTI and USAID SEED defined objectives and set socioeconomic criteria1 – as well as the Revealed Comparative Advantage (RCA) index2 – for selection of targeted VCs, which concluded in identifying the five subsectors to work on, including plastic industries that witnessed relatively high and improving RCA indexes from 2004–14
Phase II: Mapping and assessment. In this phase – the subject of this report – USAID SEED conducts mapping of the VC, which includes identifying key constraints and proposing realistic and actionable interventions to support the integration of MSMEs in the VC.
Phase III: Interventions design. In this subsequent phase, USAID SEED will select, alongside its key partners, the most effective interventions within the Project’s scope
Phase IV: Intervention implementation. In this phase, USAID SEED will implement the predefined actions from Phase III for plastic MSMEs’ integration into the VC.
Phase V: Monitoring and evaluation. Along with every intervention taking place, USAID SEED will measure the effectiveness of the implemented intervention toward the integration of MSMEs into the VC.
The scope of this phase (mapping and assessment) consists of three main tasks:
1. Developing a physical mapping of the sub-sector VC. The mapping includes the following:
illustrating the process and flow of a product from raw material through final sale, showing all of the key participants and stages; identifying and categorizing key market players and supporting organizations; profiling MSMEs in the VC; illustrating market channels; and checking tariff structure on imported plastic products and studying domestic products protection.
2. Conducting an in-depth subsector analysis to assess possible bottlenecks, constraints, and opportunities within the VC, especially for integration of MSMEs in the VC. This was done through interviews and consultation sessions, focus group discussions, and roundtable meetings with representatives of key VC stakeholders to determine the underlying reasons for bottlenecks/constraints that are preventing MSMEs from integrating in the VC and identifying opportunities that have the potential to expand the engagement and integration of MSMEs in the VC. This will be followed by defining the required
1 Five sectors were selected, including plastics, based on the study performed by Dcode Economic & Financial Consulting (Dcode EFC) under a subcontract with AECOM International Development. 2 The RCA index is used to measure the competitiveness of a sector/product across countries. It compares a product’s share of total exports in a given country to the fair share (measured as its share in world trade).
3 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
interventions to address the real reasons identified for bottlenecks and constraints and highlight if any interventions are currently underway by other entities in Egypt. Also, efforts here will assess the capacity of (and incentives for) key stakeholders to respond to and engage in potential interventions and highlight pathways to leverage and sustain defined interventions.
Giving recommendations to USAID SEED on proposed interventions, with as much specificity as possible, including recommend names of entities and/or individual stakeholders to act as champions to facilitate and support USAID SEED in managing and implementing the recommended interventions.
The scope of this assignment took place from June to September 2017
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INTRODUCTION
PLASTICS INDUSTRY OVERVIEW AND BENCHMARKS
The plastics’ family is composed of a great variety of materials categorized into thermoplastics and thermosets designed to meet the very different needs of thousands of end products. As products evolve, so do plastic materials, and thus many of them are still to come. In 2015, the global production of plastics reached 322 million tons, with 58 million tons produced in Europe alone. Mil Tons
Figure 1. World plastic production, 1950–2015
From the figure below, showing plastic production distribution by region, it is observed that Europe and NAFTA are on a similar level. China is one of the largest producers of plastics in the world, accounting for around a quarter of global production. Plastic imports from China into the United States are steadily increasing as China’s plastic industry grows, while all other regions lost global production shares from 2006 to 2015. Production of plastics in China will continue to develop and include more efficient companies that produce higher-quality plastics.
2006 2015 Figure 2. Comparison of world plastic production, distribution by region, 2006–15
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Europe CIS 18% 3% China
28% 19% 4% 0.7% NAFTA 7% Japan Egypt
Middle East & 17%
4% Africa Rest of
Latin America Asia
Figure 3. World plastic production contribution by region, 2015
Figure 4. World plastic materials’ demand by type
As for demand of world plastic materials by type, Polyolefins (PP, LDPE, LLDPE, and HDPE) account for 55% of global raw material demand, PVC comes in second with 16%, followed by other standard plastics like PET (7%), PS, and EPS (7%). Thus, Standard Plastics dominate the global market with 85% of total demand, while Engineering Plastics account for the rest.
On another note, plastic subsectors’ market size distribution differs from one country to another. Packaging has always maintained the biggest share, followed by the dominant subsector in the country. The figures below show subsector plastic consumption by application for selected regions/countries.
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Figure 5. Europe plastics demand by segment3 (above) Figure 6. SA plastics demand by segment4 (above, right)
Figure 7. India plastics demand by segment5 (above) Figure 8. Turkey plastics demand by segment6 (above, right)
PLASTICS IN SOUTH AFRICA: A MODEL OF A DEVELOPING COUNTRY
Africa has become a key player in the international plastics and packaging industry, with plastic goods in high demand and the plastic industry reporting high growth rates. During the past six years, the use of plastics in Africa has grown by 150%, and imports of plastics into Africa have grown between 23% and 41% during this time, respectively, with a potential for more growth in the coming years. While predictions are promising, there are challenges facing the plastic industry in Africa. These challenges include, foremost, the continent lagging behind developed countries in terms of production methods, product quality, scale of production, infrastructure, and product range. These circumstances lead to domestic production being replaced by imports and the conservative attitude of manufacturers and consumers toward new materials.
South Africa is one of the biggest players in the African plastic market, with some similarities to Egypt, especially in the challenges the country faces. Thus, below are some important facts regarding South Africa’s plastics industry that can be used to better understand that of Egypt’s.
3 Plastic Europe, “Report: Plastics – The Facts 2016.” 4 “Plastic South Africa,” 2016 Report. 5 International trade show, April 2016; see www.powerelecghana.com/4industries.html 6 “Turkish Plastics Industry Report 2016.”
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The South African market is currently valued at USD 3.9 billion (raw materials and products) and accounts for 0.5% of the world market, with plastic per capita annual consumption of 22 kg. Around 13% of the original plastic in the country is recycled annually, mostly recovered as post-consumer waste.7 The sector represents 1.9% of South African GDP and 16.5% of the manufacturing sector.
The main feedstock for the production of plastics in South Africa is coal. The plastics sector, along with steel and cement, forms the basic building block of the manufacturing sector in South Africa’s developing economy. Products derived in this sector are utilized in industries as varied as home and personal care, food and beverage, automotive, and construction. Indeed, plastic products are enablers of innovation, as evidenced in the plastic manufacturing subsector being part of a supply chain stretching from the polymer manufacturing industry (chemical companies) to a variety of end-use markets. South Africa exports plastic products (HS codes 3916 to 3926) to many countries, namely Namibia, Botswana, Zimbabwe, Swaziland, Zambia, Mozambique, Congo, and Lesotho, with volume of more than 10 KTA.8
Industry Statistics & Figures 2014 2015 GDP per capita (USD) 6,479.6 5,769.8
GDP growth rate9 1.7% 1.3%
SA domestic virgin polymer consumption (in KTA) 1400 1500
SA domestic plastic consumption (million tons) 1.40 1.49
SA consumption % from global production 0.45% 0.46%
Trade deficit (export – import) of HS codes 39 (mil. Rand) -10,000 -15,000
Table 1. SA plastics industry statistics and figures
The plastics industry has been identified by the South African Government and its Department of Trade and Industry as a priority sector. This involved identifying several key strategic themes to address challenges within the industry, such as increasing PP and PVC availability, recycling post-consumer waste, and global competitiveness, including initiatives in technology upgrading, skills development, and import replacement in 2012. This was followed by focusing on the development of a plastic production and innovation cluster and plastics trade policy measures in 2014. However, these strategies faced many challenges on the ground toward achieving the targeted industry growth.10
A lesson can be learned from South Africa’s experience in developing its plastics subsector, namely that it is critical to identify subsectors or product ranges for development, which will make the process more manageable and focused. Once subsectors are identified, following an integrated approach will address all necessary aspects, such as policy, standards, trade issues, input costs, customized incentives, export opportunities and support, market intelligence, skills development, R&D, technology, labor, productivity, consumer, and clusters.
The diagram below is an attempt to explain the thinking around such an integrated approach for development. The outer circle of the diagram shows some of the issues to be addressed.11
7 According to Dubai Business Page; see http://dubai-business-pages.com 8 Plastics South Africa, Growth through Innovation, 2016 Annual Review; see www.plasticsinfo.co.za 9 Source: World Bank; see https://data.worldbank.org/country/south-africa 10 Plastics SA, Plastics Industry Report on Beneficiation Portfolio Committee: Trade and Industry, Aug. 27, 2014. 11 Plastics Industry Report on Beneficiation Portfolio Committee: Trade and Industry, Aug. 27, 2014, Plastics
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Procurement Policy Framework / Tenders Compliance Job Creation Splitting Tariff Codes National Industrialization Trade Negotiations Development Plan Imports/Exports Statistics Customized Review Appropriation criteria Regulations & Specific to Sector Policy Programs Trade Non-tariff Barriers International/Local Incentives
Transformation Standards Bargaining Council Investments Minimum Wages Agreement Labor negotiation specific Industry to products Input Costs Sub-Sectors Export into Africa Export Export Support Appropriate Tools to promote Technologies Technology Energy Efficient Recycling Separation at source High Tech Skills Labs & Testing Design for Recycling Career Paths Logistics Facilities Skills development Research & New needs Development Certify for Export Reliable & Cost Effective Industry Cluster Effective & Efficient Product Testing Correctly priced New Materials/Products Commercialization Green Economy
Figure 9. Integrated approach for industry challenges and development in SA
CONCLUSION
It is important to note the many statistics and studies from regional and global organizations, which offer good opportunities to study similar countries and learn from developed countries’ practices. For example, Europe displays good practices in plastic waste recovery. As for South Africa, strategies and programs have been implemented to advance development through the optimization of linkages in the plastics VC as well as the facilitation of economic diversification, job creation, and industrialization.
It is highly recommended that plastic sector organizations in Egypt continue to monitor plastic industry statistics and open a channel of communication with countries with best practices and applications, or with plastics organizations in other countries, such as Plastics South Africa, that are facing similar challenges and seeking growth. Sharing information, best practices, and knowledge will help to benchmark any progress and speed up the development process.
South Africa; see https://www.thedti.gov.za/parliament/2014/Plastics_part2.pdf
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EGYPT’S PLASTICS VALUE CHAIN: OVERVIEW
To help strengthen this sector, the Government of Egypt (GOE) has rolled out a broad strategy focused on small and medium-sized enterprise (SME) development, value-added industries, and improved financing channels. The GOE is also considering how to improve the alignment between the skills of young graduates and the demands of the industrial workplace. For example, under the medium-term investment strategy of Vision 2030, the GOE aims to increase overall economic growth to 7% per annum, with exports set to contribute 25% to this growth. Much of this growth is expected to come from the manufacturing base. The GOE’s strategy has set an annual growth target of 6% for manufacturing, increasing its share of GDP to 25% by 2020. Under this strategy, the sector will create at least 3 million jobs by the end of this decade.
From the comprehensive sectoral analysis study to identify VCs with possible interventions and rapid cost benefit analysis (CBA), Dcode12 identified the plastics VC as having one of the highest potentials in which USAID SEED can intervene. The study encompassed four stages. The first stage consisted of a quantitative, macroeconomic sector overview that assessed performance with regards to contribution to growth and employment, gender and youth inclusion, and government priority. In the second and third stages, Dcode conducted interviews to analyze, identify subsectors and VCs, and prioritize VCs. Finally, in the fourth stage, Dcode identified constraints and interventions and conducted rapid CBA.
In this study, Dcode calculated the plastics RCA13 index, to be greater than one and showed more than 50% improvement from 2004 to 2014. Also, PVC witnessed more than three-fold improvement in the same period. These findings made the plastics VC more preferable relative to others.
Dcode defined some of the general and specific constraints for the plastics VC:
Raw material prices, which were affected by the change in oil prices as well the exchange rate of the EGP and other currencies. Land prices and regulations in the sector (especially environmental), which hinder further expansions, particularly for SMEs. High prices and/or the low quality of molds for MSMEs. The informality of MSMEs working in the industry, which is estimated to be 80%. Problems for factories in obtaining and renewing their business licenses. A shortage of skilled labor.
Dcode also suggested some interventions to support the VC:
Supporting PTC and other training institutes that provide technical consultations to plastic factories. Supporting government bodies to facilitate business procedure requirements (which could be a one-stop shop). Reducing plastic waste hazards by working with the Chemicals Chamber in studying the introduction of biodegradable plastics.
The Egyptian market consumes USD 12.5 billion annually in plastic products, representing 25 kg per capita (above the Middle East average of 16 kg, and below the Europe average of 136 kg). The Egyptian packaging subsector represents 36% of the market, with 50% of local petrochemical production directed to the packaging subsector, which makes it one of most
12 Economic & Financial Consulting (Dcode EFC) 13 See note 2 for explanation of RCA.
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active economic subsectors. The plastics market is expected to increase 10% annually in the next 10 years, placing Egypt first in Africa in plastic consumption. Furthermore, Egypt consumes 11% of the Middle East’s share of plastic products and 0.7% of the world production. Countries like Turkey, Belgium, Sudan, Italy, Spain, Saudi Arabia, Britain, Libya, Morocco, and Germany are the most important sources for plastic and rubber products imported for the Egyptian market, which shows the diversity of importing markets as related to the imported products’ quality.
In 2016, the number of plastic and rubber factories in Egypt increased from 1,750 to more than 2,412 registered factories, with an estimated 1,500 to 2,500 informal factories and workshops resulting in estimated direct employment of 415,000 employees. Registered factories’ annual production is around USD 7 billion, while the informal sector realized USD 5.5 billion, creating a total of USD 12.5 billion. Total investment reached USD 4 billion in plastics conversion in 2016.
According to 2016 data, Egypt ranks 48th among plastic producers worldwide in exporting plastic products. From the same data, there are 748 factories (31% of total registered) contributing in exporting plastic products. Meanwhile, Egyptian plastic and rubber product exports amounted to USD 1.3 billion (including plastics raw materials) for that year, representing about 15% of Egypt’s total exports from the chemical industry, 6% of total Egyptian exports to the world, and 0.2% of the world’s total exports of plastic and its products.
As part of the GOE strategy and support for exportation, the Chemical Export Council (CEC) offers registered companies 10% return of export charges on products for the coming three years, along with 50% support for shipping charges to African countries. Furthermore, the CEC has allocated a budget of EGP 2.6 billion for export support in external exhibitions, especially in Africa, as well as refunds in export charges, buyer invitations, and other measures. Also, Ministerial Decree No. 489 of 2017 was issued, which allows factories licensed by the Industrial Development Authority (IDA) to import and recycle plastic waste under conditions that guarantee the quality of the imported waste.14
# Item Egypt South Africa Turkey Europe 1 No. of companies 5,220 1,800 6,500 60,000
2 Turnover (billion $) 12.5 3.9 32.9 400
3 No. of employees 415,000 60,000 250,000 1.5 million
4 Raw material consumption KTA 2,225 1,490 8,600 49,000
5 Main market (packaging) 36% 53% 22%* 39.9%
Table 2. Comparison between Egypt, South Africa, Turkey, and Europe
*Packaging comes in second place in Turkey after the construction sector (23.1%).15
14 FEI-Plastic Division, Plastic Value Chain focus group opening session. 15 PAGEV 2016, World and Turkish Plastic Industry Report, 2016.
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VALUE CHAIN MAPPING AND ASSESSMENT
The plastics VC focuses on mapping and analyzing the product chain by dividing it into segments, from raw material manufacturers and suppliers, to the compounders (who prepare plastic formulations by mixing polymers and additives) and manufactures (who convert the raw materials to finished products), and the eventual end-user markets and end-of life cycle. The VC identifies and categorizes the key market players, service providers, and other supporting segments (such as machinery manufacturers) and service organizations.
Figure 10. Simplified plastics industry VC
In this section, the authors will discuss the entire plastics VC in Egypt, mapping every segment and showing the roles, capacity, distribution, and interactions in place with key value segments, especially plastics MSMEs, as well as the flow of value over the chain.
12 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
EGYPT PLASTICS VC MAP
Figure 11. Detailed map of Egyptian plastics VC, including all main stakeholders
13 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Figure 12. Detailed plastics value flow
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PLASTIC RAW MATERIALS PRODUCERS AND SUPPLIERS
In this study, the plastics VC mapping begins with the plastic resin production segment. As such, natural gas resource production and its alternatives will only be highlighted in this report and are not part of the map.
Natural gas is the main feedstock for the production of plastic raw materials in Egypt. Egypt is ranked 16th globally in natural gas, with estimated productions of 61.8 billion m3 in 2016, and with natural gas reserves of 1.8 trillion m3 in January 2016. Three newly three discovered major gas fields in the Mediterranean are expected to raise Egypt’s natural gas output by 50% in 2018 and 100% in 2020. The three fields – Zohr, North Alexandria, and Nooros — are among the most important projects that will increase natural gas production and will contribute to the country becoming self-sufficient in natural gas by the end of 2018.16
Egypt produces an estimated 1.1 million tons of plastics raw materials per year. Local plastic processors consume 2.2 million tons of material, and due to insufficient local raw materials, a wide range of polymers (LDPE, PET, PA, ABS, SAN, PS, and PC) and additives are imported. Furthermore, Egypt imports 100% of plastic materials for engineering and other uses.
Egyptian Petrochemicals
Egyptian petrochemical companies produced only 47% of local plastic requirements of pure raw materials in 2016. Moreover, only 28% of the local market’s raw material requirements were actually covered by local petrochemical companies, due to a portion of the petrochemical production being exported. Local plastic converters consumed 1.64, 2.07, and 2.23 million tons of raw material annually in 2006, 2014, and 2016, respectively. Egyptian petrochemical companies’ real GDP growth rate increased from 2% (2012) to 3.5% (2015), representing 3% of GDP and 12% of total Egyptian industries.17
There are eight petrochemical companies producing plastic raw materials in Egypt. Two of them transform ethylene into polyethylene, and produce HDPE and linear low-density polyethylene (LLDPE). The main producers in Egypt are subsidiaries of the Egyptian Petrochemicals Holding Company (ECHEM): SEDPIC, ETHYDCO, EPC, EPPC (joint venture), and ESTYRINICS. Not all companies are producing according to their capacities, with some companies facing challenges, which will be explained later.
The table below shows petrochemical companies’ locations, capacities, and exports. See Annex 1 of this report for more details on petrochemicals, such as production versus local consumption of each type of raw material.
16 Ehab Farouk, “Egypt sets sights on doubling natural gas output by 2020 ,” Reuters, July 17, 2017 17SIDPEC, 8th Petchem Arabia, 2012, May 12–15, 2013, Abu Dhabi, UAE.
15 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
No. Entities Location Products Capacities Exports KTA KTA 1 Sidi Kerir Petrochemicals Co (SIDPEC) Alexandria HDPE, LLDPE 225 100 Egyptian Ethylene and Derivatives 2 Alexandria HDPE, LLDPE 400 200 Company (ETHYDCO) PVC & PVC 3 Egyptian Petrochemicals Company (EPC) Alexandria 80 10 compound Egyptian Styrenics Co for polystyrene 4 Alexandria PS (HI, GP) 200 ---- (EStyrenics) Egyptian Propylene and Polypropylene 5 Port Said PP Complex 350 200 Company (EPPC) Oriental Petrochemical for Polypropylene 6 (PP) Suez PP 160 ---- (now Holding Carbon Co.) Egyptian Indian Polyester Company 7 Ain Sokhna PET 420 ---- (EIPET) Indian Petrochemical Industry PVC & PVC 8 Port Said 200 60 TCI Sanmar group Compound Table 3. Petrochemical companies’ location, products, and capacities Notes on Table 3:
The polyethylene terephthalate (PET) plant run by EIPET in Ain Sokhna, Egypt, has been shut down due to a slide in crude oil prices and that caused a drop in prices across the polyester chain in recent months. The facility has two lines, both 225 KTA; the second one is mechanically complete but has never started operations.
All LDPE required mainly for local plastic bags production is imported.
ESTYRENICS started production in 2013 but stopped in 2014 due to the import of styrene monomer being uneconomic. Thus, ECHEM planned to establish styrene monomer plant.
Other raw materials like PA, PS, ABS, PMMA, EVA, LDPE, and PU are entirely imported since they are not locally produced.
Export data collected from CAPMAS.
Raw Material Production Versus Market Demand
Imported plastics currently account for 72% of domestic consumption, according to SIDPEC, a leading local producer. However, since imports are increasingly constrained by foreign currency shortages, local plastic raw material manufacturers could see their market shares rise.
Between 2012 and 2015, Egypt exported plastics at an average of USD 1.26 billion (USD 1.49 billion in 2015), while imports of plastics amounted to an average of USD 3.02 billion (USD 4.27 billion in 2015). Egypt’s plastics trade balance shows a considerable and increasing deficit over the period between 2012 and 2016, with 72% of the domestic demand of plastics being met through imports (whether raw materials or final products).
The following graphs show the main polymer exports and imports during the period 2008–16.18
18 CAPMAS.
16 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Figure 13. PE trade balance (in million USD) Figure 14. PP trade balance (in million USD)
Figure 15. PVC trade balance (in million USD) Figure 16. PS trade balance (in million USD)
Egypt imports nearly 100% of engineering plastic materials, which represents 11% of its demand for plastic raw materials. These engineering plastic material imports come predominately from China (37%), followed by the European Union (35%). Egypt meets its remaining raw materials demand through imports mainly from Asia (40%) and the European Union (10%). Beyond the domestic market, Egypt’s plastic raw materials industry has posted substantial export growth. While the broader industrial sector has faced headwinds and declining exports, the total value of Egyptian plastic raw material exports rose 21% in 2014 to reach USD 1.26 billion, according to the CEC. The Egyptian Indian Polyester Company was the largest exporter, with USD 191.6 million worth of overseas sales, followed by the Egyptian Propylene & Polypropylene Company, with export revenues of USD 166 million over the year.
Consumption Balance Growth Product (KTA) rate
Polyethylene (HD, LD, LLD) 655 75% imported 6%
Polyethylene Terephthalate(PET) 280 100% imported 5%
Polypropylene (PP) 460 45% imported 6%
35% imported Polyvinyl Chloride (PVC) 320 5% (Resin)
Polystyrene (PS) 120 100% imported 5%
All other polymers 390 100% imported 4% PMMA, SBR, ABS, SAN, etc.
Total 2,225
Table 4. 2016 plastic raw materials consumption and growth rate in Egypt
17 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
The average growth rate of the market demand is 6% annually. However, given that the local industry only supplies 28% of domestic plastic consumption, there is substantial room for growth.
Figure 17. Egypt raw material consumption (2016)
Future Petrochemical Projects
In 2002, the GOE launched a 20-year plan involving a three-phase, USD 20 billion investment program to develop the local petrochemical sector, which aimed to help maximize the potentiality of ongoing discoveries of gas reserves. The plan should substantially increase the petrochemical industry’s output over the years. According to the Egyptian Ministry of Petroleum and Energy, 14 petrochemical industrial complexes are to be established by 2022.
The figure below shows the GOE’s petrochemical master plan that was developed in 2002. The later projects mentioned in the chart, those after the year 2011, have faced many challenges, especially due to shortages in natural gas and some monomers, which necessitates an updating of the master plan to reflect actual progress and estimated completion dates.
Petrochemical Master Plan, 2002–22
Phase I Phase II Phase III 2002–08 2009–15 2016–22 USD 6 billion USD 7 billion USD 7 billion
Methanol (I) Styrene Propylene / Ammonia / Urea (I) Polyester (I) Polypropylene (II) Ammonia / Urea (II & Aromatics 3rd Olefines III) Complex complex Polypropylene (I) Ethoxylates Styrenic complex Polystyrene 2nd Olefines Vinyl’s complex LAB complex Butadiene Acrylic Fibers Methanol (II) Detergents (II) PVC (I) PTA SB Latex (II) 1st Olefines complex SB Latex
Figure 18. Petrochemical master plan, 2002–22 (developed in 2002)
18 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
It should be mentioned that most projects in the plan’s first phase were achieved; as a result, five plants started operations:
1. ELAB with 100 KTA LAB capacity, 2. EPPC with 350 KTA Propylene and 350 KTA Polypropylene capacities, 3. EMETHANEX with 1,300 KTA Methanol capacity, 4. MOPCO with 600 KTA Urea and 50 KTA Ammonia capacities, and 5. E-STYRENICS with 200 KTA Polystyrene capacity (stopped in 2014, as explained above).19
On the top of both private- and public-sector projects is the Tahrir Petrochemicals Complex, consisting of a Naphtha cracker unit that produces 1,350 KTA of high-density and linear low- density polyethylene as part of its products range. Also, the Gas to Olefins Complex (GTO) project aims to optimize Egyptian natural gas usage, producing 1,000 KTA polyolefin (polyethylene and polypropylene). The Aromatics Complex is one of the main projects in the Egyptian master plan; it aims to produce 350 KTA Para-Xylene and 530 KTA Benzene to serve several downstream petrochemical projects in Egypt, such as PTA, PET, and PS, by utilizing 1.7 KTA Naphtha obtained from existing refineries in Suez. The surplus of this production will be exported.
Plastic Raw Material Importers
Egyptian petrochemical companies do not produce enough to cover domestic plastic raw material consumption. Also not covered are other raw materials that are not yet produced locally, especially engineering materials (PET, PA, PS, ABS, PMMA, EVA, LDPE, and PU). Thus, imported plastics account for 72% of domestic consumption. A total of 150 companies import plastic raw materials, with 90% of them located in Cairo and Giza, while the remaining 10% is located in Alexandria and the Nile Delta. This includes large manufacturers who import for their own production. Importers trade in polymers, additives, and compounds.
The top plastic raw material importers along with their contact details are listed in Annex 2.
Plastic Raw Material Distributors
Plastic raw material distributors are companies involved in the stocking and wholesale distribution of an inventory bought from manufacturers (petrochemicals) and importers. They link importers and petrochemical companies to the market, especially medium, small, and micro manufacturers with relatively low monthly consumption. Distributors can also act as importers, and vice versa. Local petrochemical companies may sell directly to large manufacturers, when dealing with monthly orders of three or more full truckloads. MSMEs with a monthly consumption of one to two full truckloads can buy directly from SIDPEC – pending plastic raw materials’ availability – as per an agreement between the Chamber of Chemical Industries and SIDPEC, for chamber members only.
Meanwhile, the MTI and the Egyptian Petrochemicals Holding Company (ECHEM) concluded an agreement to establish a distribution center to sell raw materials directly to small manufacturers in Alexandria’s Merghem cluster. This privilege gives chamber members and units inside the cluster the advantage of obtaining plastic raw materials (PE) at the manufacturer’s selling price. In general, distributors have a strong position in plastic raw material markets since local petrochemical companies barely cover one-third of local market needs and MSMEs have very limited direct access to these companies. Some of large
19 Egyptian Petrochemicals Industry – A Prospect for the Future, http://www.echem- eg.com/en/MasterPlan/gallery-photogallery_pics-pic_65.pdf
19 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
manufacturers act as distributors as well, such as the Egyptian Company for Plastic Industry (Egyplast – El-Sewedy) and Masr El Hegaz for Pipes and Plastics. The scope of distributors is not only plastic resins but is also extended to compounds, additives, and master batches, among others.
A sample of plastic raw material distributors (SIDPEC authorized distributors) is listed in Annex 3.
Plastic Compounders and Master-Batch
Compounders prepare plastic formulations by mixing or blending polymers and additives into process-ready pellets/powders. They use basic raw materials, either imported or from local petrochemical companies, mix them with imported additives.
Master-batch is the process of mixing carrier resins with pigment to obtain colored, granular- shaped resins to allow converters to color their polymers during the manufacturing process. Most compounders’ formulation processes are kept undisclosed, as this process is what differentiates one compounder from another. Around 50 compounders and master-batch manufacturers, including local and international companies, are located in Greater Cairo, 10th of Ramadan, 6th of October, and Alexandria, with a capacity of 60 KTA for mainly PVC compounds, filler compounds, carbon black master-batch, color master-batch, and function master-batch. Eighty percent of the production is locally consumed, while 20% is exported to African and Arab countries. Around 10 KTA of compounds are imported for local manufacturers. Moreover, all additives and 85% of base resins used are imported.
Annex 4 shows a sample of local compounders and master-batchers.
PLASTICS CONVERTERS (MANUFACTURERS)
Plastic converters use plastic resins and compounds to manufacture a wide range of products based on plastic materials and manufacturing technologies. The markets covered by these companies range from packaging, construction, agriculture, and houseware, to medical, electronics, and automotive. The technologies used are also extremely varied: injection molding, blow molding, extrusion (sections, pipes, films, etc.), cutting, and laminating.20
A total of 5,220 plastic converters are divided into large, medium, small, and micro enterprises, according to the classification from the Central Bank of Egypt (CBE). This number includes 2,412 registered/formal businesses (as of 2016)21 and around 2,810 in the informal sector (an estimated 1,750 in plastic conversion and 1,060 in plastics recycling). The distribution of entities into micro, small, medium, and large enterprises is presented in the figures below.
20 “PTC, Plastic Bags Minimization Study,” on behalf of the Center for Environment and Development for the Arab Region and Europe, January 2017. 21 According to the Plastic Division of the CCI (FEI).
20 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Table 5. Plastics converters by size
Size Number % Large 10%
Large 522 10% Medium 18% Medium 939 18% Micro 45%
Small 1,410 27%
Micro 2,349 45%
Total 5,220 100% Small 27%
Figure 19. Plastics converters distribution by size
MSMEs represent 90% of the total number of plastic manufacturing and recycling enterprises (4,700), consuming around 1.5 million tons of resin.
No. of # Area Per. Canal Area MSMEs 6% 1 Great Cairo 1880 40 % Upper Egypt 13% Great Cairo 2 Alexandria 564 12% 40% 3 Delta 1363 29%
4 Upper Egypt 611 13%
5 Canal Area 282 6% Delta Total 4700 100 % 29% Alexandria 12% Table 6. Plastics MSMEs geographical distribution22 Figure 20. Plastics MSMEs by region
The most common locally manufactured products are polyethylene, polyvinyl chloride suspension, polypropylene, polyethylene terephthalate (PET), and thermoset plastics. In spite of local production of most of the mentioned raw materials, the market is not yet saturated, due to Egyptian petrochemical companies exporting part of their plastic raw material production in order to acquire foreign currency to meet their financial obligations. It is expected that in the coming five years, Egypt will produce styrene/polystyrene, acrylic fibers, and propylene; increase its production of polypropylene; expand its existing PVC output; and produce polyester and polyethylene terephthalate. Plastic resins are consumed over several manufacturing applications in different sectors. Some companies produce more than one product range in different sectors to increase their portfolio.
22 CCI and PTC statistics.
21 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
# Applications Consumption KT Percentage 1 Packaging film 500 22
2 Containers 310 14
3 pipes 530 24 4 Cables 185 8
5 Agriculture 320 14 6 Housewares 214 10
7 Automotive 66 3
8 Others 100 5
Total 2,225 100
Table 7. Plastic consumption in different manufacturing applications in Egypt
Others, 100, Automotive, 66, 5% 3% Packaging Packaging Film, 500, 22% Containers , 310, 14%
Houswares, 214, 10%
Pipes & Fittings, 530, 24% Agriculture, 320, 14% Cables, 185, 8% Figure 21. Distribution of plastic consumption over different applications in Egypt
A sample of plastic bag and woven sacks (Raffia) producers is shown in Annex 5.
22 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Manufacturers’ and Recyclers’ Geographical Distribution
14% Figure 22. Flexible 12% packaging manufacturers 10% percentage by 8% governorate 6% As can be seen, flexible 4% packaging manufactures 2% are mainly 0%
concentrated in
Qalyoubia, Sharqia, and
Suez Giza
Cairo
Assut
Auxor
Cairo. Aswan Souhaj Shakia Ismelia
Qalubia Gharbia Faioum Demiatt ElMenia RedSea
ElBehera Menoufia Dakahleia New Vally Port Port Saeid Banysewif Alexanderia Sohag Damietta Said Port Suef Beni Valley New Minya Monufia Qalyoubia Fayoum Sharqia Gharbia Suez Daqahlia Assiut Ismailia Aswan Luxor Sea Red Beheira Alexandria Giza Cairo
18% Figure 23. Plastic pipes 16% manufacturers’ 14% percentage by 12% governorate 10% 8% They are mainly 6% concentrated in 4% Monufia, Qalyoubia, 2% and Giza (Basous) 0%
Qna
Giza Cairo
Swiss
Assuit
Souhaj Behera
Sharkia
Qaialub Gharbia Fayoum Demiatt Ismaelia ElMenia Dakahlia Menoufia PortSaeid BanySweif North Sinai Alexanderia Kafr El Sheikh El Kafr North Sinai North Qina Sohag Damietta Said Port Suef Beni Minya Monufia Qalyoubia Fayoum Gharbia Sharqia Suez Daqahlia Ismailia Assiut Beheira Alexandria Giza Cairo Kafr ElSheik
20% Figure 24. Plumbing 16% tools manufacturers’ percentage by 12% governorate 8%
4% 0%
Giza Cairo
Assuit
Shakia Behera
Qalubia ElMenia
Dakahleia Alexanderia Beni Suef Beni Minya Qalyoubia Sharqia Daqahlia Assiut Beheira Alexandria Giza Cairo seweif Bany
23 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Figure 25. Agriculture 24% equipment manufacturers 20% percentage by governorate 16%
12% Agriculture and irrigation equipment 8% (such as irrigation nozzles and hoses, and 4% green house films) manufacturers are 0%
concentrated in Giza,
Giza
Sharqia, and Monufia. Cairo Swiss
Behera Sharkia Ismeilia Qalubia
Demiatt Dakahlia
Menoufeia Alexanderia Kafr Sheik El Kafr ElSheikh Kafr Figure 26. Houseware Damietta Monufia Qalyoubia Sharqia Suez Daqahlia Ismailia Beheira Alexandria Giza Cairo 24% manufacturers percentage by 20% governorate 16% 12% They are concentrated in Sharqia, Alexandria, 8% and Cairo. 4% 0%
Giza
Cairo Swiss Assuit
Souhaj
Demiat Sharkia Qalubia Gharbia
ElMenia Dakahlia Menoufia PortSaeid
BanySwief Suez Alexanderia Said Port Suef Beni Sohag Damietta Minya Monufia Qalyoubia Gharbia Sharqia Daqahlia Assiut Beheira Alexandria Giza Cairo
24%
Figure 27. Plastic rigid 20% packaging manufacturers 16% percentage by governorate 12% 8% Rigid packaging (containers and crates) 4% are concentrated in 0%
Sharqia, Alexandria, and
Qalyoubia. Giza Cairo Swiss
Assuit
Shakia Souhaj Behera
Qalubia Gharbia Foumay
Demiatt Ismaelia ElMenia Mrouhat Dakahlia menoufia PortSaeid atrouh
Bany sweif Alexanderia Kafr El El Sheikh Kafr M Sohag Damietta Said Port Suef Beni Minya Monufia Qalyoubia Fayoum Gharbia Sharqia Suez Daqahlia Ismailia Assiut Beheira Alexandria Giza Cairo Kafr ElSheik
24 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
32% Figure 28. Plastic 28% recyclers and 24% granulators percentage 20% by governorate 16%
They are concentrated 12% in Qalyoubia, Assiut, and 8% Alexandria. 4%
0%
Giza
Cairo a
Shakia Assuot Demiat Qalubia Gharbia Alexanderi Damietta Suef Beni Monufia Qalyoubia Gharbia Sharqia Assiut Alexandria Giza Cairo menoufeia BanySweif
Plastic Recycling Industry
Plastic recycling is a global industry and part of the plastic life cycle. Egypt generates around 16.2 million tons of garbage and waste annually, with plastic waste assumed to represent 6% out of the total, distributed over Cairo (60%), Alexandria (16%), the Nile Delta (19%), and other regions including Upper Egypt, Suez Canal, and Sinai (5%). Out of the 970 KT of plastic waste generated annually, only a range of 30% is recycled, while 5% is reused, 33% is landfilled, and 32% is left to be burned.23 Reuse Not Collected 5% 32%
Landfill 33%
Recycled 30%
Figure 29. Plastic waste end of life
Egyptian recyclers involve more than 260,000 employees working in more than 1,060 informal factories and workshops as well as 450 registered factories and workshops. They rely mainly on the 290 to 350 KTA of local plastic waste sorted for the recycling process, and most of their production of recycled plastic material is distributed to local converters, with minor exports of recycled plastics and compounds such as PET, PE, and PP.24
More than 80% of the recycling industry is in the informal sector, and it follows certain concentration based on resources (waste collection and sorting areas) or markets. For
23 “Technical, environmental, and economic feasibility study for solid waste system management in Cairo,” Saleh for Env. Services (S.A.E). 24 Al-Ahram Al-Iktesadi, July 7, 2017, http://ik.ahram.org.eg/News/39727.aspx
25 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
example, consider the following points:
Drip irrigation pipe manufacturing is concentrated in areas like Sadat City due to its proximity to new farms and reclaimed lands. Here, more than 70 factories manufacture drip irrigation pipes from LDPE mixed with carbon black. The majority of recyclers and manufacturers are informal. They consume around 14 KTA (80% recycled materials and 20% pure material).
Recycling clusters in Manshiyet Nasser and Ezbet El-Nakhl in Cairo and Zawyet Abd El- Kader in Alexandria are the biggest municipals of garbage collection and the sorting business. Plastic recycling clusters are located in these areas due to their proximity to sources of plastic waste. Around 200, 150, and 120 micro and small workshops, respectively in the three districts, supply flux, crushed, and pellets of recycled plastic raw materials to other factories in Egypt, especially those manufacturing pipes, containers, clothes hangers, and other houseware items. Many development agencies are working improving the social and environmental conditions in these areas.
The recycling industry is also concentrated in informal clusters such as Kutour, Gharbia, which has around 60 crushing workshops; Sembelawen, Daqahlia, which has around 50 workshops feeding sewage pipe manufacturers; and Bassous, Qalyoubia, which has an estimated more than 300 workshops or recycling lines in the manufacturing facilities of mainly wire cable sheathing (covering), pipes, and fittings manufacturers.
The amount of plastic waste that is not collected, landfilled, or burned has a high negative effect on the environment. In landfills, plastic waste needs decades to degrade. When burned, plastic waste releases harmful dioxins (highly toxic chemicals), which can be inhaled by humans and animals and deposited in soil and surface water and on plants. Uncollected plastics pose a threat to animals and sea life. For example, a floating plastic bag looks like a jellyfish to a turtle, plastic pellets (small pieces) look like fish eggs to seabirds, and drifting nets entangle birds, fish, and mammals, making it difficult for them to move or eat and eventually causing illness and death. Because of these risks, Egypt needs to study Europe’s experiences in waste management (see pp. 35 of this report).
EQUIPMENT AND MOLDS
Plastic converters mainly depend on injection, extrusion, and blow-molding manufacturing technologies in different plastic product manufacturing. Machinery for the Egyptian market is imported predominately from China (approximately 37%), the European Union (35%), and other markets (8%), while local production accounts for 20%.25 Machines from foreign markets are imported mainly through agents who provide after-sale and installation services, or directly through manufacturers. Many agents and manufacturers import used machines and perform a complete refurbishment and modification before installation and start of production. Since plastic film has a wide application in Egypt, a local plastic machine manufacturing company, Shouman, which specializes in film extrusion machines, accounts for a good market share and is exporting to Europe. As for recyclers, they depend mainly on either imported used lines or locally assembled lines.
On the other hand, molds are mostly imported from China. Chinese mold makers receive the drawings or prototypes from converters and offer complete design, prototyping, manufacturing, and testing of the mold with a very wide variety of materials and quality. The main competitive advantage in cities which manufacture molds in China is the integration between different workshops in this cluster; every small workshop is specialized in step and/or
25http://2016.export.gov/build/groups/public/@eg_main/@byind/@manufind/documents/webcontent/eg_main_ 081772.pdf
26 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
manufacturing technology (conventional, wire-cut, erosion, CNC machines, etc.) and the export agents sequence and outsource the mold-making process over these workshops. This model supports several small workshops in starting their businesses with low investment, high machine utilization, skill specialization, and overall manufacturing lead time and cost reduction. While Egypt does not yet possess such a model or a mold-making cluster, some local mold makers have a good base and market share, especially in blow-molding molds.
27 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Technology
Figure 29. Illustration of gaps between European standards and Egyptian status
SERVICE PROVIDERS AND OTHER MARKET PLAYERS
The service providers and other interactors with the plastics VC include governmental entities and ministries, quasi-government bodies, testing institutes, educational organizations, industry institutions and associations, and service providers from the private sector.
Egyptian Customs Authority
There are 42 customs outlets across Egypt, classified into seaports, airports, and points of entry, as well as dry port storage facilities and free zone areas under the control of the Egyptian Customs Authority, which provides the following services: inspection of goods, product classification according to HS codes, control of imports and exports according to government policy, applicable laws and regulations, and collection of tariffs.
Eight customs branches over six governorates are regularly testing plastic raw materials and products. The customs authority relies mainly on the MTI’s Chemistry Administration and Plastic Technology Center to conduct required tests for raw materials and semi-finished products, and identification for finished products, in addition to specifying grades and checking for the presence of explosive materials (new test), recycled or pure materials, and the percentage of filler.
Ministry of Trade and Industry
The MTI and its affiliates support plastic sectors across the VC, providing services like training, innovation and technology transfer, and improving export capabilities and the competitiveness of Egypt’s plastics industry. The table below lists all the MTI affiliates that interact directly or indirectly with the plastics VC in Egypt.26
26 http://www.mti.gov.eg/English/aboutus/Sectorsandentities/Entities1/Pages/default.aspx
28 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Entities Location
Plastic Technology Center Alexandria Egyptian Bank for Export Development Cairo Egyptian Cooperation for Export Guarantee Cairo MSMEs Development Agency (Replacing Industrial Training Council and All governorates Social Fund for Development) Industrial Development Authority Cairo General Organization for Export & Import Control Cairo, Alexandria Industrial and Mining Projects Authority Cairo Egyptian Organization for Standardization and Quality Cairo Intellectual Property Unit Cairo Export Development Fund Cairo Industrial Modernization Center Cairo Industrial Control Authority Cairo Productivity and Vocational Training Department All governorates Chemistry Administration All governorates Egyptian Expo and Convention Authority Cairo Egyptian Accreditation Council Cairo Egyptian Export Promotion Center Cairo The Egyptian International Trade Point Cairo National Quality Institute Cairo
Table 8. Ministry of Trade and Industry Affiliates
Most important of these affiliates is the Plastic Technology Center (PTC), which provides training; testing for raw materials, compounds, and plastic products; feasibility studies; quality management systems; technical consultation; technology transfer; research; and prototype (pilot production) services for all plastic VC stakeholders. The key clients for the PTC are raw material manufacturers and importers, the Ministry of Housing, the Ministry of Agriculture and its affiliates, plastic manufactures, and large consumers.
The General Organization for Export and Import Control (GOEIC) is also an important MTI affiliate. The GOEIC interacts with importers and exporters of plastic raw materials and products through setting product specifications, registering importers and exporters, and issuing certificates of origin for Egyptian products.
Ministry of Scientific Research
The Ministry of Scientific Research’s main duties are to determine the research strategies at national levels, design plans, develop programs, launch initiatives, and implement its research and strategies. The main affiliates supporting the ministry in its role are the National Research Center, which supports and funds new projects; the National Institute of Measurement and Calibration, which provides accreditation certificates for measuring systems; and the National Institute of Oceanography and Fisheries, which interacts with the plastics VC through the end of life cycle and waste-management activities.
29 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Ministry of Petroleum
The strategy of the Ministry of Petroleum is to meet domestic demand for petrochemical products and to achieve the targets of national economic growth through the optimization of natural resources. Through this strategy, the ministry is working on a petrochemical sector expansion plan to support for the plastic industry among others. The Egyptian Petroleum Research Institute is one of the ministry’s affiliates that provides research and testing services.
Private-Sector, Industry Groups, and NGOS
Many non-governmental associations and organizations interact with the plastics VC, providing technical support, training, and development programs, as well as representation of the enterprises – especially the MSMEs – to governmental entities. The list below provides a sample of these organizations:
Adwaa El-Mostakbal in Ezbet El-Nakhel, Small Industries Modernization Association (SIMA) in Alexandria, and the Youth Spirit Association for Environmental Service in Zabaleen district, in Manshiyet Nasser The Center for Environment and Development for the Arab Region and Europe (CEDARE). Egyptian Information, Telecommunications, Electronics, and Software Alliance (EITESAL): a private-sector, non-profit entity of information and telecom companies, multi-national corporations, organizations, and institutions operating in Egypt. EITESAL is working currently on a project for recycling electronic parts. The Industrial Development Strategy Industry (Tarlac): aims to enhance economic prosperity through providing productive job opportunities for the working-age population and increase Egypt’s returns from regional and global integration. The Chamber of Chemical Industry (CCI) and the Plastic Division in the FEI. Investors associations in new industrial cites (10th of Ramadan, 6th October, El-Obour, Borg El-Arab, and Sadat City). Egyptian Plastic Exporters and Manufacturers Association (EPEMA). The Egyptian Plastic Institute in Cairo: the first specialized institute in Egypt and the Middle East working to develop the skills of workers in the plastics sector by providing technical education through a training center as well as technical consulting services KimaNil Industrial Consulting (private sector).
PLASTIC PRODUCTS’ FINAL CONSUMERS AND END MARKETS
Plastic products reach end users through different channels based on the type of product (components and semi-fished products, finished products, packaging materials, or utilities) and user (B2C, B2B, large consumers, etc.).
Original Equipment Manufacturers (OEMs)
In industries like computer devices, home appliances, automotive, and other equipment etc., the plastic semi-finished products manufactured by converters are delivered to the OEMs for final assembly as one of the plastics value chain market channels. Taking home appliances as a model, their plastic components are mostly made from engineering plastics (244 KTA in 2016) and to lesser extent commodity polymers such as PP and PE.
The table below shows the top six large home appliance companies, which consume 75% of semi-finished plastic parts for their products.
30 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Toshiba Company Fresh Unionair Universal Electrolux Kiriazi Al Araby Consumption % 20% 10% 10% 15% 15% 5%
Other companies have more limited local semi-finished plastics consumption in their manufacturing, and rely more on imported parts, thus, they consume the remaining 25% of the semi-finished plastic components. Companies like Samsung, White Whale, Philips, General Electric, Whirlpool, Panasonic, LG, Sanyo, Jac, Truman, Zahran, and others still have room for increasing their plastic consumption compared to their competitors by increasing volume, product portfolio, knockdown level, or local content. This channel is very competitive and a lot of investment is underway by multinational, international, and local companies to establish new manufacturing facilities in Egypt. This will offer a good opportunity for plastic MSMEs to work as outsource for these companies, which can change their market share in the near future.
Wholesale and Retail
Products that reach their final shape at converters (manufacturers) such as houseware, kitchenware, toys, and plastic bags, as well as agricultural, electrical, and sewage components, may reach the final consumer/user through a channel of wholesalers and retail outlets. Hypermarkets, toy shops, houseware shops, pharmacies, hardware stores, and other specialized retailers are the main outlets for these products.
Large Consumers, Institutions, B2B, and Government Mega-Projects
In this channel, the converters directly supply the consumer, which is another entity or business (B2B). Medical supplies (such as syringes, droppers, lab equipment, urinals, and plastic bowls and basins) are mainly delivered to hospitals (private and public), clinical laboratories, and large clinics for consumption. Some finished products are directly delivered to another business (B2B). For example, readymade garment (RMG) businesses are a market for clothes hangers and packaging plastic films. Annex 6 contains a list of 16 large RMG companies consuming 1,500 tons of plastics annually.
Also, construction companies represent a market for pipes, fittings, cables, and other electrical components.
Outside of B2B is the packaging application. Most businesses rely on plastics for packaging, especially medicines and fast-moving consumer goods (FMCGs), where companies like Unilever, P&G, Mars, Danone, Juhayna, GlaxoSmithKline, Nestle, and many others rely heavily on plastics for their primary and/or secondary packaging.
Restaurants and fast food chains use plastic cups, dishes, cutlery, and plastic bags for food and beverage packing. A sample of 18 large restaurants and fast food chains that consume 2,400 tons annually from plastic packaging can be found in Annex 7.
Finally, hypermarkets and pharmacies consume a great deal of plastic bags for final packaging when selling their products. More than 27 different large supermarket chains – listed in Annex 8 –consume around 14,000 tons annually, while 17 large series of pharmacies – listed in Annex 9 – consume 5,000 tons of plastic bags annually.
31 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
As for the governmental sector, different ministries and their related affiliates are considered as large plastic product consumers, mainly for pipes, fittings, and accessories. Examples of governmental plastic consumers are as follows:
The Ministry of Housing and Urban Communities and its affiliates, including the Reconstruction Authorities in all governorates, manage projects for water supply and sanitation. The ministry implements projects that all consume a large amount of plastic products, mainly pipes and cables, in ventures related to housing, drinking water (distribution systems, desalination plants, water tanks, etc.), sanitary drainage, and road and highway infrastructure projects. The New Urban Communities Authority (NUCA) and the Holding Company for Water and Wastewater, along with their affiliated development organizations in new cities, are one of the main plastic consumers in the ministry.
The Ministry of Health and Population and its affiliates, such as Health Insurance in all governorates, as well as the General Organization of the Health System, public laboratories, and public hospitals (both governmental and institutional public sectors), all represent large consumers for plastic medical supplies.
The Ministry of Communications and Information Technology and its affiliates represent large consumers for pipes.
The Ministry of Agriculture and its affiliates represent large consumers of irrigation systems and green houses.
The Ministry of Water Resources and Irrigation, along with the Ministry of Agriculture, is involved in projects that use plastic pipes for lining canals, as part of the ministry’s efforts to optimize water resource utilization and decrease losses.
Other large consumers of plastic products include ministries and authorities like the Egyptian General Authority for Drainage Projects, the General Authority for Reconstruction and Agricultural Development Projects, and the Ministry of Petroleum, the latter of which utilizes petroleum lines covered with PE compound layers.
Export Market
In 2015, Egypt’s plastic and rubber exports (under HS code 39 and 40) reached USD 1.49 billion (from raw materials, semi-finished, and finished products), with exports to top partner countries including Turkey, Belgium, Italy, Sudan, and Iraq. A sample of plastic product exporters is listed in Annex 10.
However, also in 2015, Egypt’s plastic and rubber imports reached USD 4.27 billion (raw materials, semi-finished, and finished products), with imports coming from top partner countries and regions such as Saudi Arabia, China, Germany, United States, and South Korea. A sample of importers by category is listed in Annex 11.27
27 World Integrated Trade Solution (WITS): http://wits.worldbank.org/CountryProfile/en/Country/EGY/Year/2015/TradeFlow/EXPIMP/Partner/all/Product/3 9-40_PlastiRub
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Million Import Million No. Export Partner Share % No. Share % USD Partner USD 1 Turkey 20 307.8 1 Saudi Arabia 16 686.4 2 Belgium 10.3 153 2 China 12.4 531.7 3 Italy 5.7 84.6 3 Germany 7.4 315 4 Sudan 5 75 4 United States 7 299 5 Iraq 4.7 70 5 Korea 6.1 259.9 6 Saudi Arabia 4.1 61 6 UAE 6 258 7 Spain 3.7 55 7 Turkey 4.8 206.6 8 Libya 3.3 49 8 Japan 4.5 192.8 9 United Kingdom 3 46 9 Thailand 4.2 177.6 10 Germany 2.6 39 10 Italy 4 170.8
Table 9. Egypt’s top-10 export partners and import partner shares
It worth mentioning that Egypt’s plastic and rubber raw materials and products have shown a negative increase in trade balance since 2010.
5,000
4,274 4,278 4,277 4,000 4,110 3,737
3,000 2,969 Thousands USD Thousands
2,000 1,622 1,757 1,354 1,488 1,203 1,000 955
- 2010 2011 2012 2013 2014 2015 Export Import
Figure 30. Egypt plastic and rubber imports and exports (2010–15)
New Markets and Opportunities
The deficit in the plastic trade balance represents a good opportunity for local manufacturers to study and build their capacities to work on substituting imported products, especially after the EGP’s devaluation against the USD in 2016 and the application of customs fees on some imported products. Potential subsectors for expansion in the local market and exporting to Arab and African countries include toys, medical supplies, housewares, home appliances, and automotive spare parts.
33 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
The Harmonized System: Codes and Tariffs
Classifications of traded goods, customs tariff application, and import and export statistics are unified according to the Harmonized System (HS), an international nomenclature for the classification of products into a six-digit code system in addition to four more digits for local breakdown. Plastics and rubbers are listed in chapter 39 (of 99 chapters), where in headings 39.01 to 39.14 the expression “primary forms” applies only to liquids and pastes, blocks of irregular shape, lumps, powders, granules, flakes, and similar bulk forms. Headings 39.16 to 39.26 are for processed plastics in profile shapes, semi-finished, or finished products, while 39.15 is applied for plastic wastes, parings, and scrap not transformed into primary forms of headings 39.01 to 39.14.
According to the 2016 applied tariffs, raw materials in different forms as well as plastic scrap and waste are mostly subject to a zero or 2% customs tariff (59 out of 92 items in headings 39.01 to 39.15), while 31 items are subject to a 5% tariff and eight items are subject to 10% tariff. As for processed plastics in profile shapes, semi-finished, or finished product, 33 items are subject to zero to 2% tariff, 67 items are subject to 5% to 10% tariff, while 49 items are subject to 20% to 60% tariff. Details on codes descriptions and rates as of 2016, for chapter 39, are available in Annex 12 of this report.
In the meantime, the MTI imposes export fees on sorted plastic waste and scrap to support local industries with raw material alternatives at reasonable prices (decree 121 of 2016).28 This fee was raised from EGP 3,000 per ton to EGP 5,000 per ton in August 2017 for one year to adapt to global prices.
Raw material imports are subject to zero or relatively low tariffs, which helps to support local industry. However, tariffs applied on semi-finished and finished products are relatively low for the majority of items, which can impact the competitiveness of Egyptian plastic products.
Plastic End of Life Cycle
Egypt’s population has increased by more than 150% over the last 40 years. The increase in population density in urban areas, especially in metropolitan cities, and the change in consumption patterns in urban and rural areas alike have exerted pressures on the environment and public health services. The harmful symptoms of the country’s solid waste problem have clearly become evident.
As previously indicated in the plastic converters section of this report, Egypt’s 26 governorates produce around 43,835 tons of garbage daily, equivalent to 17 million tons annually (Saleh for Env. Services, 2006), where plastic waste represents about 6% of the total solid waste. Despite the study being from 2006, these numbers are still the ones being communicated in most recycling forums. However, a main argument in the realms of national development and the solid waste management sector is the lack of trustworthy data on the quantities of generated waste and its composition. The Egyptian Environmental Affairs Agency (EEAA) estimates the generation of Egyptian municipal solid waste (MSW) at 0.3 to 0.8 kg/day/capita, with annual growth of 3.4%.29. Thus, an accurate figure for the total amount of generated MSW is a much-needed piece of information, and there is an urgent need to utilize accurate methods for its continual measurement as well as for providing straightforward data on municipal waste flow in Egypt.
28 https://www.arabfinance.com/2015/Pages/news/newsdetails.aspx?Id=409261&lang=en 29 “Annual Report for Solid Waste Management in Egypt, 2013,” New Center for Integrated Studies of Land and Environment (NILE).
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Generated Quantity (Million Tons) Waste Type 2001 2006 2012 Municipal solid waste 14.5 17 21 Construction and demolition waste 3.5 4.6 4 Agricultural waste 23.5 27.5 30 Industrial waste 4.25 4.75 6 Medical waste 0.12 0.15 0.28 Waterway cleaning waste 20 30 25 Sludge 1.75 2 3 Total 67.62 86 89.28
Table 10. Estimated generated solid waste in Egypt, 2001, 2006, and 2012 (source: EEAA)
Plastic recycling falls into one of three types: mechanical, chemical recycling, or incineration with energy recovery. In Egypt, the only method applied is mechanical recycling.
There are 263,000 total workers in the plastic recycling sector, concentrated in Cairo, Alexandria, and the Nile Delta. Cairo represents about 50% of the workers in the sector, whereas Alexandria and the Nile Delta represent about 20% and 23%, respectively. Upper Egypt and the Suez Canal represent only 6%.30
Waste exports from Egypt (HS 39.15) realized 9,160 KTA, 11,380 KTA, and 813 KTA in 2008, 2012, and 2016, respectively.
It must be highlighted that Egyptian Organization for Standardization and Quality (EOS) provides standards and specifications for waste management and recycled materials. These standards and specifications should be communicated, understood, and applied by recyclers as well as manufacturers and markets dealing with waste materials or products coming out of these materials. The table below lists a sample of these EOS standards.
Standard Description Recycled plastic materials and articles intended to come into contact with food – ES: 7786 / 2014 input and processing. Commission Regulation (EC) No.282/2008 Recycled Plastic
Materials and Articles Intended to Come into Contact With Food Plastics – determination of contamination in recycled poly (ethylene terephthalate) ES: 7049 / 2009 (PET) flakes and chips using a plaque test according to ASTM D 5814/2002 ES: 6918 / 2009 Recycling of packaging and packaging materials – Characteristics of recycling methods – Description of recycling processes and flow maps ES: 6619 / 2008 Separate and wash the plastic to be recycled before testing ES: 4032 / 2010 Recyclable packaging requirements for material recycling ES: 6493 / 2008 Packaging – Recycling rate – Definitions and calculation method ES: 6123 / 2007 Symbol code and distinctive numbers of recyclable plastic packaging materials
Table 11. Sample of EOS standards applied in plastic recycling
30 National Study – Plastic Recycling Sector, PTC, IMC (2008).
35 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Figure 31. Symbol codes of recyclable plastic packaging materials according to ES: 6123 / 2007
European Methods of Waste Recovery
Thanks to their unique properties, plastic materials are essential in many applications. However, plastic products need to be properly recovered and managed when they reach the end of their service life. It is a simple matter: plastics are just too valuable to be wasted or thrown away, and it is unacceptable that any waste should enter the marine environment.
Whether deliberately or accidently, when plastic waste is not properly disposed of, it may end up as litter in the environment – the world’s oceans, seas, and rivers — and harm wild life, fisheries, and tourism.
Marine litter has become a global challenge and is derived from land- and sea-based human activities, mainly caused by poor waste management and infrastructure or people’s behavior. Thus, it is vital to prevent such litter at the source by creating proper waste collection and treatment methods, and improving human behavior. This will protect land and water environments and secure the recovery of resources after disposal.
In March 2011, the Global Declaration for Solutions on Marine Litter was launched by 47 plastic associations from regions across the globe. Recognizing their important role in fighting marine litter, these plastic associations launched and are supporting projects in six key areas aimed at contributing to sustainable solutions: 1) education, 2) research, 3) public policy, 4) sharing best practices, 5) plastics recycling/recovery, and 6) plastic pellet containment. Since 2011, 65 associations in 34 countries have signed the Global Declaration, and 260 projects are underway, planned, or completed.31
Europe, especially northern European countries, have shifted from landfills to higher recovery and recycling quantities. Nine countries issued a landfill ban and exceeded a 95% recovery ratio in energy and recycling.
31 Plastic Europe, “Plastics: The Facts,” 2016 report, http://www.plasticseurope.org.
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Recycling
Energy Recovery
Figure 32. European plastic waste recovery
In 2014, 25.8 million tons of post-consumer plastic waste in Egypt ended up in official waste streams. Of this amount, 69.2% was recovered through recycling and energy-recovery processes, while 30.8% went to landfills (reduced by 38% from 2006).
Egypt has massive room for improvement in this sector. To date, only about 30% is recycles from the approximately 1 million tons of plastic waste from municipal solid waste, while the rest is either not collected, reused, or landfilled. There are many opportunities to learn from the practices applied in other countries in waste management systems as well as new recycling technologies.
37 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
PLASTIC VALUE CHAIN ANALYSIS
In interviews with plastic industry stakeholders for the purpose of drawing, evaluating, and assessing the plastics VC, the bottlenecks and constraints facing MSMEs were raised and practical solutions for better MSME integration into the VC were proposed. From the analysis of identified constraints and proposed solutions, and based on USAID SEED’s scope, a set of technical support interventions required for MSMEs are proposed to be executed in the coming year. This phase began with data collection and surveys from 46 field visits that were designed to cover different entities and industry stakeholders as well as different geographical locations. Such diversity will support the validation of constraints and bottlenecks as well as the collection of suggestions and proposed interventions from different perspectives.
Number of Number of Location Entity Type Visits Visits 10th of Ramadan and Obour 5 Development, Gov., and NGOs 5 6th of October 2 Machine Suppliers 3 Alexandria and Borg El-Arab 12 Mold Makers 2 Assiut 7 MSMEs 23 Cairo 6 OEMs & Large Manufacturers 4 Mansoura 6 Raw Material (Compounds) 3 Gamasa 3 Raw Material (Petrochemicals) 2 Qalyoubia 2 Recyclers 2 Quesna 3 Testing & Research Institutes 2 Total 46 Total 46
Table 12. Geographical location and the type of entities selected in the sample of field visits
Cause and Effect Analysis
From stakeholders’ interviews, more than 150 constraints and/or bottlenecks were captured, in addition to suggestions for solutions and technical interventions required from the key players in the plastics VC.
Further analysis was conducted on the recorded data to categorize and group similar constraints and bottlenecks according to Fishbone (cause and effect diagram) in seven main categories (7 Ms):
1. Access to raw materials (Material) 2. Access to markets and marketing services (Market) 3. Constraining regulations and working environment (Media) 4. Access to machines and molds (Machine) 5. Access to skilled and trained labor (Man) 6. Awareness and access to standards, testing, quality systems, and production technology (Methods) 7. Access to funding (Money)
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Figure 33. Cause and effect diagram showing bottlenecks and constraints facing the plastics VC
39 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Focus Group Discussions
As part of reviewing, validating, and confirming the exact constraints and bottlenecks, as well as reaching consensus on the most effective interventions that will result in better integration of MSMEs into plastic VCs, a focus group discussion took place with representatives from different entities interacting with the plastics VC. The focus group was hosted by the Chamber of Chemical Industries and the Plastic Division of the FEI over two full days, on August 23– 24, 2017. In this discussion, 32 participants representing key industry stakeholders from the MTI, Chamber of Chemical Industries and Plastic Division, FEI Environmental Compliance Office, Plastic Technology Center, Egyptian Petrochemical Company (PTC), and SIDPEC, as well as raw material importers, plastic MSMEs, machine importers, MSME business associations, large consumers, and recyclers.
During these discussions, the constraints and bottlenecks collected in field visits from manufacturers and plastic industry stakeholders were reviewed, suggestions for solutions were presented, and the proposals submitted by various entities during those visits were reviewed. The obstacles and proposals were summarized by participants, who came up with and reached consensus on the following 41 recommendations:
# Constraints and Required intervention bottlenecks 1) Access to materials 1-1 Insufficient production • Completion of the petrochemical companies’ new projects plan, especially capacity of local the one related to PET and PP production lines, while providing the petrochemical companies to required raw materials such as mono-ethylene glycol cover the needs of the • Increasing the productivity and quality of TCI Sanmar products by Egyptian market, with some increasing their investments companies exporting a share • Develop a mechanism for the participation of plastic producers to increase of 25% to 35% per annum of the production of PVC from the Egyptian Petrochemical Company through total petrochemical toll manufacturing or contribution in capital increase for adding a new line production to get foreign of production currency to pay obligations of • Support petrochemical companies’ access to foreign currency from the these companies banking sector to pay its foreign currency obligations in return for reallocating its full production to the local market instead of exporting 1-2 High charges on raw • Establishment of a trading company to be affiliated to the Petrochemicals materials and the unclear and Holding Company to import Egypt’s needs of plastic raw materials not inconsistent application of produced locally from the global market to bridge the gap between local customs tariffs to import raw production and market demand; this will make imported raw materials materials available at prices suitable for small manufacturers • To enhance application of customs tariffs, it is very important to add the customs HS codes and the scientific names on the invoice of the importing source; this is in addition to looking into assigning the tests, verifications, and examinations of imported materials to specialized international companies under the supervision of the Egyptian Customs Authority, provided that the Customs Department will perform the assessment and collection of tariffs 1-3 Difficulty in accessing • Expanding the establishment of industrial clusters for the recycling industry recyclable raw materials due while supporting them by raising the efficiency of workers through training to lack of raw materials centers in order to develop and improve the properties of recycled needed for recycling; this is in materials. addition to the low quality of • Establish a subsidiary laboratory of the Plastic Technology Center to raw materials available in conform to the production of recycled materials of standard specifications markets due to lack of • Encouraging and developing the recycling system and integrating it into the awareness of specifications formal sector through incentives and tax exemptions and standards in addition to unknown sources of recycled materials
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# Constraints and Required intervention bottlenecks 1-4 Difficulty in accessing • The Plastic Division of the CCI is developing a digital portal that can information on raw materials, capture and disseminate technical information of resin and recycled raw especially engineering materials, specifications, applications, countries of origin, manufacturers, materials (technical sources importers, agents, distributors, and accredited testing centers and special characteristics) 2) Access to markets and marketing services 2-1 The difficulty of accessing • Completion of the comprehensive survey by the MTI to prepare an reliable sources of industrial and investment geographical map, and outsource experts, from a information such as: non-governmental entity, to verify the data through field visits (verification through machine capacity, year of manufacture, quality and quantity of • statistics of local markets production, and working hours) • export opportunities • Providing training and increasing the awareness of the regulatory bodies • new products or (industrial control) in the plastics industry and the quality of the products alternatives to imported and specifications to assist in verifying the manufacturers’ data; increasing ones the number of technical staffing in these entities • opportunities to use idle • Train and raise the awareness of customs’ employees on identifying the capacities for outsourcing characteristics and quality of raw materials or products according to HS • statistics of imports codes; this should be done by plastic specialists to increase the accuracy of • private-sector producers foreign trade data and to require importing companies to include the HS code in the shipping data of imported items • Coordination with large consumers of plastic products (telecom, utilities, agricultural development, etc.) to declare their future plans and their needs for plastic products (five years) to guide plastics manufacturers to plan for their production • Analysis of Egypt’s plastic imports to assess the potential for imports’ substitution with local production • Add information through the Plastics Division portal to encourage, facilitate, and substitute imports; this will be done through a database of the needs of large industries (B2B), especially for household appliances, medical supplies, packaging and packing food industries, and automotive-feeding industries, as well as market needs for toys, sanitary ware, and stationery 2-2 Unfair competition with the • Issuing legislation to regulate the conditions of the informal sector and informal sector, which does encourage licensing by dropping taxes for previous years not bear any burdens (tax • Providing industrial clusters with a rent-to-own system evasion, stolen electricity, • Criminalizing and intensifying the punishment for commercial fraud by manufacture of low-quality manufacturers and traders dealing in counterfeit products products for market • Develop, train, and raise the technical level of the regulatory bodies such as manipulation) the Industrial Control Department and change it into an economic body in addition to transforming its role more into guidance and assistance for the development of the informal sector (with a transitional period for reconciling the situation of the informal sector and violators) 2-3 The difficulty of completing • Increasing the tariff on imported finished and semi-finished plastic products, local products with imported especially on those products that have similar local products; conducting a products study on imports’ substitution and promote investment in the local industry for imports’ substitution 2-4 Difficult access to marketing • Establishment of marketing centers in industrial clusters (through services, especially for small cooperatives, investor associations, business associations, or small industry businesses that cannot afford modernization associations) that provide marketing services to their the costs of marketing members in return for a simple subscription; training courses in marketing, communications, and advertising applications (such as social media); preparing and publishing market research • Advertising local and international exhibitions through the FEI’s Plastics Division with facilities for small manufacturers
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# Constraints and Required intervention bottlenecks 2-5 Poor customization and • Activation of the industrial extension service to sensitize manufacturers in distribution in the plastics the required fields through the Industrial Development Authority (IDA), industry leading to increased while increasing the efficiency of the IDA in collecting data and verifying its competition and reduced realism by increasing the number and skills of the IDA’s technical team margins in local markets 2-6 The high cost of transport to • Identification and declaration of standards and values of highways tolls and and from remote facilitating the passage of trucks on roads and city entrances to avoid wasted governorates, and the lack of time and the high cost of transportation clarity and stability of road charges (Carta)
3) Administrative obstacles and work environment 3-1 Bureaucracy and complexities • With the activation of the new industrial licensing law, it is required to in the process of approval of establish and activate a similar framework for licensing factories in non- industrial licenses in industrial zones (within urban boundaries) by dealing directly with the IDA municipalities and not with municipalities
3-2 High sovereign burdens on • Cancellation of real estate tax on factories to reduce the burden on the the industry industry, or review the criteria for assessment and calculation of tax on industrial facilities in case of non-cancellation • Facilitate procedures for the recovery of value added tax on exports and export burdens by applying a set-off from other taxes due from exporters • Customs exemption on mold materials, complete molds, machines, and spare parts imported by industrial facilities only
3-3 Poor operation and • Improve the efficiency of the operation and maintenance of infrastructure maintenance of infrastructure and facilities of industrial zones through the concerned bodies in each city and facilities in industrial and in coordination and follow-up with the IDA zones 4) Access to machines and molds 4-1 The capacity of the local • Studying and establishing an integrated industrial cluster by the MTI for the industry of molds is limited design and manufacture of molds and its components (each company is to be specialized in certain parts); supporting the cluster through training, technology transfer, and raising the efficiency of manufacturers 4-2 Difficulty in accessing services • Providing maintenance services through business development service related to machine (BDS) centers set up by investors and business person associations in maintenance and spare parts remote governorates with the possibility of providing technical support to these BDS centers (through USAID SEED) 5) Access to skilled and trained labor 5-1 Difficulty in access to skilled • Establishment of schools / training centers for workers in plastic industry and trained labor, and high clusters, with classification of workers by specialization turnover of labor • Registering the entities (companies, institutes, etc.) that provide training services for plastic-industry employees and announcing this information to members of the plastic sector to benefit from their services • Providing awareness and training services to factory owners through the FEI on the principles of human resource management to manage, develop, and maintain employment in these factories
6) Access to standards, tests, and quality systems 6-1 Difficulty in accessing the • Create a database of qualified and approved laboratories to provide tests services of specialized for raw materials and plastic products; the database should be published on laboratories and testing the portal of the Plastic Division of the Chamber of Chemical Industries centers
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# Constraints and Required intervention bottlenecks 6-2 Lack of familiarity with • Add specialized plastic materials in the educational curricula of the Faculty technology and modern of Engineering technologies, and not using • Agree with agents of foreign companies specialized in raw materials and new applications in this machinery to conduct seminars to introduce new technology and industry applications to manufacturers • Develop the Plastic Technology Center through supporting it with experts to train its team in the latest applications and technologies
7) Access to finance 7-1 Difficulty in obtaining funding • Provide training to manufacturers in the requirements for obtaining funding through banks (through USAID SEED’s technical support) • With the participation of the CBE, facilitation and streamlining of the documentary and procedural cycle of bank credits for MSMEs • Make a distinction between the industry in general and small and medium- sized industries in particular in the financing of equipment (capital assets) with a special interest rate in a sustainable manner; not a temporary initiative
Interventions in Progress
Some interventions are currently underway by governmental entities, quasi-governmental organizations, private-sector companies, NGOs, and/or donors or development partners of Egypt to overcome some of the bottlenecks and constraints facing plastics MSMEs. On the top of these interventions – as highlighted in the section of this report on plastic raw material producers, in the VC mapping and assessment – are the expansion plans of the Egyptian Petrochemicals Holding Company and other petrochemical plants in Egypt. These plans focusi on increasing the volume, variety, and quality of plastic raw materials, especially for PE, PP, PET, PS, and PVC.
To facilitate the exchange of data, information, and documents concerning import and export operations between all parties involved, the MTI is currently working on EgyTrade, a one-stop system that will provide electronic links between all parties involved in import and export operations to achieve trade facilitation and minimize the documents to be submitted, reflecting the time and cost required to release imported or exported goods. Ministerial decree no. 40 for 201732 was issued to launch the application of the Single Administrative Document system (SAD). Moreover, ministerial decree 835 for 201733 amended some rules and regulations in the import and export law that includes the electronic submission of requests, notifications, and the exchange of data between banks, customs, the General Organization for Exports & Imports Control, and importers for import and export control, in order to facilitate and control the import and export process.
The establishment of new Trade Information website is another ongoing intervention by the MTI that shares all information and legislation regulating foreign trade in Egypt, including the applied customs tariff, taxes, fees, procedures, and all requirements for release shipments.
The MTI also announced the adoption of the executive regulations of Law No. 15 of 2017 on facilitating the procedures of obtaining industrial licenses. Such regulations will facilitate licensing process to obtain industrial and operating permits. The new law determines one
32 Ministerial decree 40/2017, http://www.customs.gov.eg/Legislations/Laws/Details/c1c78382-5e5c-490f-9d51- 608ae5a1e322 33 Ministerial decree 835/2017, http://www.customs.gov.eg/Legislations/Laws/Details/14d3b9d5-7b47-4476- 9ffd-f4265e0e25f7
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authority, instead of 11 in the old law, to be responsible for granting industrial licenses, while adopting, for the first time, a notification licensing system for low-risk industries, which account for 80% of Egyptian industries. The process is estimated to take about seven days for a license by notification and almost 30 days for a prior license, instead of 600 days, in addition to the automation of processes and the adoption of a new system for complaints. The executive regulations also authorized private accreditation firms to access industrial facilities’ compliance with regulatory requirements. In case all conditions are met, the IDA will decide upon an industrial license request within 30 days.34
Finally, the MTI is establishing plastic industrial clusters, beginning with the Merghem cluster in Alexandria, which is planned to accommodate around 120 plastic MSMEs in 100 to 600 square meter plants with fixed leasing fees (EGP 15 per square meter) over 30 years. This cluster spans an area of more than 105,000 square meters, including an ECHEM outlet that provides PE and PVC for MSMEs in the cluster, in addition to administration buildings that accommodate representative offices from the PTC, the MTI’s newly created MSME Development Agency (MSMEDA), PTC, and a training center. The cluster is planned to be expanded to cover more than 214,000 square meters.
34 Industrial licensing law executive regulations, http://www.mti.gov.eg/English/MediaCenter/News/Pages/Minister-of-Trade,-Industry-issues-industrial-license- law-executive-regulations-.aspx
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USAID SEED’S PROPOSED TECHNICAL ASSISTANCE INTERVENTIONS
The USAID SEED Project focuses on strengthening the development of micro, small, and medium-sized enterprises (MSMEs) as well as entrepreneurship. More specifically, the purpose of the Project is to increase the employment and income of MSMEs and entrepreneurs, especially those owned by women and youth. One of the tools of the Project is to integrate MSMEs and entrepreneurs in progressive VCs.
USAID SEED provides technical assistance, capacity building, and training to BDS and financial service providers to support the growth and expansion of MSMEs in Egypt. The Project also offers technical support to help business associations and other groups that help to establish MSME linkages into VCs and to support improved access to the following: essential financing, information, and technology; reducing bureaucratic procedures; creating commercially viable business linkages with MSMEs; addressing policies that impact the ease of establishing and running a business; and expanding and improving public one-stop shops (OSSs) responsible for business registration and licensing.
Within USAID SEED’s scope and methodology, a set of interventions are proposed in alignment with key stakeholders that will support MSMEs’ integration into the plastics VC. These interventions are recommended for USAID SEED’s design and effective implementation in the coming period, as detailed as follows:
1. Work with the GOEIC and Egyptian Customs Authority to analyze Egyptian imports of plastic semi-finished and finished products in terms of variety, complexity of manufacturing process, and volume in different sectors/HS codes (especially home appliances and automotive spare parts in chapters 84 to 87, medical supplies in chapter 90, and toys/games in chapter 95), and assess potential import substitutions.
2. Establish matching events for the needs of local large plastic consumers, emphasizing outsourcing opportunities with MSMEs, especially in packaging for food industries, households, infrastructure, medical supplies, and automotive feeding industries.
3. Establish a BDS center in Merghem to support MSMEs with marketing services (training, market information, and matchmaking services) and technical training in maintenance services.
4. Support MSMEs’ participation in exhibitions through training and covering part of the participation fees, inviting large buyers to MSME sections, and building their capacity to meet large buyers’ requirements.
5. Support the PTC with expert(s) for capacity building and knowledge transfer for cluster design, new manufacturing technologies, and new material applications to ensure a sustainable, low-cost knowledge transfer, continuous improvement, and growth of MSMEs through their collaboration with the PTC.
6. Provide MSMEs awareness sessions in access to finance and develop new tailored financial products, if needed.
The next steps to take should be the design and implementation of these interventions with the coordination of USAID SEED partners in order to effectively integrate plastic MSMEs into the VC.
45 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEXES
ANNEX 1: PETROCHEMICALS CAPACITY, PRODUCTION, EXPORT, AND CONSUMPTION
Plastic raw materials’ local production capacity compared to actual production, exports, and local consumption in 2016. 2016 2016 2016 Capacities Producer / Import Products Production Exports Consumption KTA KTA KTA KTA Sidi Kerir Petrochemicals Co HDPE, LLDPE 225 225 100 (SIDPEC) 655 The Egyptian Ethylene and HDPE, LLDPE 400 100 50 Derivatives Company (ETHYDCO) The Egyptian Propylene and PP Complex 350 350 200 Polypropylene Company (EPPC) Oriental petrochemical for 460 polypropylene (PP) PP 160 100 ---- (Now holding carbon co.) Egyptian Petrochemical Company PVC & PVC 80 80 10 (EPC) Compound 320 Indian Petrochemical Industry PVC & PVC 200 200 60 TCI Sanmar group Compound The Egyptian Indian Polyester PET 420 ------280 Company (EIPET) Egyptian Styrenics co. for PS (HI, GP) 200 ------120 polystyrene (EStyrenics) Others and Import Engineering ------390 Polymers TOTAL 2,035 1,055 420 2,225
46 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 2: TOP PLASTIC RAW MATERIALS IMPORTERS
No Company Contact Details 1 Union plastic industry tel- +971 4 3331563, Dubai 2 Crystal line co 19 Ahmed Tayseer - ElMarghany - Heliopolis
3 RKW Egypt Ltd North Extension of Industrial Zones - E² - Industrial Park, M15 6th of October City - Cairo - Egypt. Martin Boller, Head of business unit 4 El Sakr plastics 6th of October - 2nd industrial zone - block 100 Giza 5 El Tawfiqia for plastic 16, El Lasilky St., Maadi Cairo - Phone: +20 28114946 Industry 6 FLEX P. FILMS (EGYPT) Extension of Industrial Zone, 6 October City, S.A.E Tel: +202 38283000 - Fax: +202 38283050
7 Egyptian Company for 4th Of May Rd. - Smouha - Alexandria - 034266664 household electrical appliances - Zahran- 8 PET for packaging Factory: Plot30Industrial A 6 Northern 10 of Ramadan, materials Tel: (02) 24182766, 01005829298 / Fax:(02)24176925 9 Union coating &chemicals 10th of Ramadan - 0554500115/121 10 Egyptian for Woven Address: 10 A Nasr City, Cairo industries International Tel: 02-22754694, 0100-2190198, 0100-6510064, 0101-4186575 Fax: 02-22754625 www.alfa-bgroup.com 11 Al kadisia for packaging Plot 22, Northern Extensions, 1st Industrial Zone, Polaris complex, industries Industrial Zone 6 of October, Giza, Distribution Co., Tel:01018825229, 01099990012, Fax: 0238640140 12 Egyptian German for Address: 4th industrial zone, plot 1/9, 6 of October, Giza, Cairo construction industries Tel: 02-38306241 - 02-38306242 - 02-38332618 - 02-38334642 -
13 Fresh Electric 19/3 B Ind. Zone A1, 10th of Ramadan Cairo Telephone: 015 410414 - Telefax: 015 414868 14 El Doctor 416 Teraet El Gabal St., El Matareya - Cairo -Tel: 02-22508925 15 Misr El Nour for plastic 10th of Ramadan city -B3. Industries Tel: 015/366377 (10 Lines) - Fax: 015/366375 16 Sama Zaied 17 EL Ola For Import and 7, Masnaa El Cemawyat St., El Maryotiah - Giza 01122233893 Export 18 Energia for cables Factory:10th of Ramadan Tel: (2015) 410 073Fax: + (2015) 410 400 Sales & Marketing, 72 El Nozha st. safady tower 2nd floor, Heliopolis, Cairo,Tel.: +(202) 24152371/2 Fax: +(202) 24152470 - Mail: [email protected] 19 Engineering Blacksmith 2222ramsis 1st St., Nasr City, Cairo, Beside Exhibition land Workshop Tel: 0220816013, 0220816317 - Fax: 0220816240 20 Nile Plastics & Industrial 1, El Nile St., 2nd Industrial Zone -10th of Ramadan City Cairo Co. (El Azhari & Co.) Telephone: 015 364979 - Telefax: 015 368448 21 El dawlia for insulation 77 El Sabteya St., Cairo Plot 31,32, Industrial zone 6a, 10 of Ramadan, technology Islamic International Paints& Chemical Industry Co. 22 Poly tech for plastic Headquarter: 4 Essam Abu-Elela St. from Sudan St., Mohandseen City, Giza, Factory: 10th of Ramadan City Phone: (02) 33041986 / 33022049 / (015) 367824 / 367825 Cell phone: 010016687734 - Fax: (02) 33022049 E-mail: [email protected] [email protected] 23 Al Rowad Egypt for import Address: 2030 Zahra Nasr City, Cairo, Egypt. and Export Telephone: 002-44781051& 44781057 - Fax :00 2 02 44799530 Email: [email protected]
47 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
No Company Contact Details 24 Sopfy plast Address: Plot 68/66, Industrial Zone, Badr City - Cairo- Egypt Tel: 02-28640073 - 02-28644338 Fax: 02-28640137 25 El Sheikh for imports El Hamzawy St., El Gamaleya, Cairo Mostafa El Sheikh Sons, 26 El Qods for plastic Tel:0489121903-0489121904-0489121905 Fax:0489121906 SADAT City-6th industrial zone Al Quds Corporation for Plastic 27 LASHEEN PLASTIC 22 Nehru St.,Roxy, Cairo, TEL +20 2 22587451, +20 2 2453983Fax INDUSTRIES +202 22582986- 22585580 - http://www.lasheen.com 28 Memco Plastic - Azmy 1st Industrial Zone, Block 11, Plot 13013, El Obour City - Cairo – Tel Arteen 02-46106862 - 02-46106863 – Fax: 02-46106861 29 Menlo for trading Nasr City. Mostafa El Nahas St., Region 9, block 34, Cairo, 02- 24726431, 02-24726504. Alex. 7 Hatem’s Mosque, Smoha, Alex. 30 El Hager Pack for 10th of Ramadan, Industrial Area (A4) Tel: +(202) 466 528 00 / Fax: manufacturing (202) 466 510 79, Mob: +(2) 011 44 500 864 polyethylene foam 31 El Ahram for plastic Headquarter: 17 Abdellatif Khdr St., Shubra Khaymah, Qalyubiyah Al-Ahram Plastic Co Factory: Plot 45, 1st Industrial Zone, Kawthar District, Sohag City 32 Amana Plast For Printing & Industrial Zone C1,10th of Ramadan City, 44637 Packing 33 Egypt Gulf plastic Plot 199, 2nd Industrial Zone, 6 of October, Giza 34 El Romany for plastic Km25, Alex Cairo Desert Rd., Mirgiem, Alex Behind Alex Tiles - Rashed 35 El Safa co. (Said Taha) Address: 613B El Horreya Avenue - Ziznia – Alexandria, Tel: (0020) 3 5743044 - 3 5738370 - 3 5744647 Fax: (0020) 3 5744647 - 3 5763577 / Mobile: 012 2142476 E-mail: [email protected] 36 Al-Aqsa Plastic Factory 3rd Industrial Zone Extension, 6th of October City Phone: (02) 339124540 / 33914550 Cell phone: 01118520666 / 01001481960 / 01003489925 37 At Chems 1, Mahmoud Abu El Azm St., Maadi - Cairo Tel:02-27510202 38 Electrostar engineering Plot 266, Rd34, 1st Industrial Zone, 6 of October, Giza industries 39 Union for industries and 10 of Ramadan Industrial City B3, plot 144, Cairo trading foams Tel: 440788840100 40 Maestro for import and Contact Person: Mr. Amr Mahmoud Telephone20-010-5054142 nFax export Number20 Websitehttps://www.gmdu.net/corp-1915.html AddressMaadi Gardens, Cairo, Cairo, Egypt 41 Nile Egypt plot 250,251Ataka industrial city, Swiss Gulf Tel: 062 3230736/ 01002666527 / 01284253277 / 01282148621 Fax: (02) 37607465 / 22918480 42 Silver for export and 7550 building - 28S - Nine Street - El Mokatom - Cairo import Tel: (+202) 28432060 - Fax: (+202) 25052320 Cellular: +2 0122 439 4796, +2 0122 299 4005
43 El Nasr for intelegant Address: 407 El Mahmoudya Canal Alexandria woven Tel: +20 3 4286585 Fax: +20 3 4280923 Web site:www.kabo.com.eg Email:[email protected] 44 Eurodrip Egypt 164 El-Ahram str., Giza Egypt (+20) 23872437-9 (+20) 23872441 Sadat City, the second industrial area El Gawhar warhouse road. Tel:(+20) 482603202, (+20) 482601202 Fax: (+20) 482603201 45 Rabony for plastic Address: B4 Ind. Zone, Plot 89, 10th of RAMADAN, Cairo, Egypt Phone: 015 363380 Fax: 015 363383 45 Plast Center 4,5 El thlaga St., branched from Islamic Fath – Mansheiet High Dam Gesr Swiss Cairo next to Tiba City and Ghabbour brothers Tel: 0221860556,0221860535,
48 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
No Company Contact Details 46 MINAPHARM El-Bardissi St., 2T Takseem Asmaa Fahmy St., Heliopolis, Cairo - Phone: (+202) 2414-3170/1/2/3/4/5 - Fax: (+202) 2414-3179 Email: [email protected] 47 El Maraghy Pack for El Obour City - Industrial Area Block 12001 Cairo Printing & Packaging Telephone: 46650947 Telefax: 46650949 Materials Co. 48 Royal group for Import 7 Dawoud Hosny St., 6th Nasr City, Cairo 49 El Taqwa for trading and Hamada Emam St.,3rd Industrial Zone, 6 of October, Giza. Inside El industry Amal Industrial Complex, Bldg4, Ground Floor, Unit 11 50 El Nour for trading and El Fayoum, Egypt industry Telephone: +201006341567 / Telefax: +20846724121
49 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 3: SIDPEC AUTHORIZED PLASTIC RAW MATERIALS DISTRIBUTORS
No. Name of distributor Contact person Telephone
1 Magdy Abdel Moneim Mohamed Shedid Magdi Shedid 048-2586665
2 Al Hussein for all import and export Salah Hussein 01001140205
3 Shoman For Plastic Abdel Hamid Shoman 0502300200
4 Via World Trading & Agencies Samir Nial 22706641/02
5 Technotrade D / Albert Farag 25108501/02
6 El Masreya For Industrial Supplies Salah El Akouh 01006687713
7 Crown Egypt Fuad Fahmy Aljizawi 25310225/02
8 Hobeish Group Makram Hobeish 01223987343
9 El Ahram For Plastic Raouf Makram 01005440265
50 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 4: SAMPLE FROM COMPOUNDERS & MASTER-BATCH
No Company Address Contacts Perfecto Plast PC#135, 150 & 155 -250 Acre 1 0100 170 1512 zone Badr Industrial City Ezbat Abu Sena, Qalyoub – 2 El Mostafa For Master Batch 02 48583044- 02 42146417 Cairo Delta Plastic Additives and 38Abbas Al Akkad St., NASR Tel: 0222725121 3 Chemicals Co. S.A.E CITY, Cairo. Fax: 0222725121 EEC Egyptian European Factory: 23511, Public free Tel./Fax: +203 4542128 4 Company zone-Amerya, Egypt, Alex. Email: [email protected] ERMC Egyptian for Roto & Factory: 23511, Public free Tel: +20226984335 5 Masterbatch Company zone-Amerya, Alexandria Email: [email protected]
Egyptian Company for Plastic Tel:+ (202) 27599700/1 Plot no. 27, 1st District, 5th 6 Industry ELSewedy- Fax:+ (202) 27599755 Settlement, New Cairo, Cairo EGYPLAST [email protected] Sarhan Industries Company 7 1st Ind. Zone, 6th October 02 38330734 (SIC) Plot 2, Block 20018, Industrial (02) 46650761 Fax: 46650762 Al-Badr for Plastics 8 Zone (Western Extension), 01006690320 / 01006694842 Technology Co. Obour City [email protected] 01065543553 9 Alitalya for master batch Km5, belbais – Elasher road [email protected] 198 El Hegaz St. Heliopolis, Masr El Hegaz for Pipes and 10 Cairo, 3rd industrial area, A1, 0226222000 0554410140 Plastics 10th of Ramadan 0020-2-22625514 Sacom plast for PVC- 5 B Cinema Zone, Raba 11 0020-100-3312655 Compound & Masterbatch Eladawaya, Fax 02 24010714
51 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 5: PRODUCERS OF PLASTIC BAGS & RAFFIA
# Name Factory Phone Products Ton/year Section 14, industrial 0233381441-2 Playtest for 1 zone, Oruba St. 2B, 0554498521 Plastic bags, mulch rolls 1,620 Plastics 10th of Ramadan 0103800028 East of Mohwelat 0224015835 Shrink rolls, heavy duty 2 HymaPlast Station, Mansouria, 0224011626 bags, mulch films, irrigation 8,000 Imbaba 0224040486 pipes Section 222, 1st 0237485050 3 Paper Plast industrial area, 6th of 0236915115 PE and PP rolls 1,400 October 0238200174 Masr El Hegaz 5/7 section and 2/7, PP Sacks, PP for cement, 0226222000 4 for Pipes and 3rd industrial area, jumbo bags, PE bags, 10,000 0554410140 Plastics A1, 10th of Ramadan master batch Food packaging, single and Section1, block 7, 1st multi-layers plastic rolls Covares for 5 industrial area, Borg 034620023 blank and printed, single 1,200 Packaging El Arab and multi-layers plastic bags Egyptian Section 2, industrial 0452510098 Greenhouses, plastic bags 6 Europian for area, Balteem, 01002042016 (blank and printed), pipes 1,200 Plastics Berolos 01004425158 and hoses, batteries packs Magd Plast for El Gabana St. Begam 02448950541 PE bags (blank and 7 Trade and Road, Shobra El 960 01222104434 printed), rolls Industry Khema Plastic bags (blank and Agricultural road, Al Abd for 0403396241 printed) 8 Shobra El Namla, 900 Plastics 03391571 All film and rolls, plastic Tana bottles and plastic syringe 0244771010 Sections 17,18, block 0244771030 Plastic bags (blank and 9 Makhlouf 11,13, industrial area, 850 0244771040 printed) Obour 01283006198 Plastic sewed sacks, plastic Tareeq El Mazraa 0222587451 bags (PP and PE), impact 10 Lasheen Plast street, El Gabal El 12,000 0224530983 resistant plastics, big bags, Asfar, Khanka, Cairo sealing bags Plastic bottles, PP, HDPE EL Badawy for Front of Tanta Co. 0402223720 and LDPE bags, PE bottles, 11 800 Plastics for Oils, Mahalla 040 2224230 PET bottles, strews, syringes Plastic molding machines, Shouman for Section 3 1, 2, 4, 5, 6 0502300200 film machines, plastic bags, 12 Plastics D, Industrial Area, 01001195551 mulch films, PP 8,000 New Damietta 01001930326 greenhouses, PE isolation films, mulch Misr El Hegaz for Part of 5/7 and part Sacks (jumbo, normal, Vinyl 0226222000 13 of 2/7, industrial area covered), PP, PE bags and 5,000 Compounds and 055410140 A1, 10th of Ramadan rolls, robs Packaging El Zomor, Rolls and heavy-duty bags 14 El Helal for Sacks 0226981321 660 Omraneya, Haram (blank and printed), PP 0229269401 El Rashah, El Khsaos, Plastic bags (blank and 15 Yara Plast 022333866 645 Khanka printed) 0228870956
52 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
# Name Factory Phone Products Ton/year 01222861860
Section 172, 0224156048 Plastic bags and rolls (blank 16 Star Pack industrial area, 0552900162 620 and printed) Belbees El Asher 01271104080 Bahlol for 18 Port Said St. 0507920191 17 Plastic bags 600 Plastics Sherbeen 0507922577 Units 74,75, room Plastic bags and rolls El Quds for 18, small industries 048608638 18 Mulch film 1,000 Plastics compound, 4th 01006288959
industrial area, Sadat Section 130-132-134- Plastic bags (blank and 159-161-161/1) El Safwa for printed) rolls, shrink, Gameyet El Sadat 01003324444 19 Trade and HDPE, LDPE and PP 600 Area, Cairo 0106666135 Industry sullivan (blank and printed), Alexandria desert foam road, Abu Rawash Section 140, 055501190 PE and PP bags and rolls 20 Sama Plast industrial area B4, 600 01110551655 10th of Ramadan Units 74,75, room El Quds for 18, small industries 048608638 Plastic bags snd rolls, 21 600 Plastics compound, 4th 01006288959 greenhouse films industrial area, Sadat 0233029936 Front of West Cairo 0233028362 PE bags, plastic rolls for 22 Eke Plast Electric station, Safil, 560 0238910450 mulch films and packaging Osseo 0238910448 10 Kmaly st., from El HDPE and LDPE packaging Golden Eagle for 0242202760 23 Wehda El Arabia st., and rolls, greenhouses, 555 Plastics 0242202527 Shoubra El Khema heavy duty bags, pipes Section 1B, 3rd PP Sacks, PE bags and 24 Inco Pap industrial area, 6th of 0238164622 shrinking rolls (blank and 550 October printed) Section 4,5,12,13, 0572429236 Plastic bags (blank and 25 Qadry Plast 550 New Damietta 01005663424 printed), mulch film 23 Alexandria-Cairo 033956266 Plastic cleaning tools, 26 Plican desert road, 500 034960682 plastic rolls and bags Merghem, Ameriah 0226200096 Khattab Plast and Section 30, industrial PE bags and rolls (blank 27 0226200097 500 Co area, Hikestep and printed) 01110595999 Masr for PE bags and rolls, Section 2/3 H, 1st 0553201313 Packaging packaging rolls, blow 28 industrial Area, New 01003441405 1,500 material molding, plastic covers and Salheya 01005441122 bottles, plastic syringes Plastic bags and rolls (blank Hassan Zaki 0238334982 Section 8, 2nd axis, 2nd and printed) Self-cut bags Hassan for 01222483035 29 industrial zone, 6th of for veg and garbage, toilet 900 Plastic and 01223778920 October City seats covers, gloves, Chemicals 01111111876 bottles
53 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
# Name Factory Phone Products Ton/year
0228640850 Plastic sacks, greenhouses Dawleya for Section 68, 2nd 30 01005386026 rolls, shrink rolls, plastic 500 Plastics industrial area, Badr 01000888006 bags PE rolls, plastic bags, PP Othman for 15 El Sharaany El 31 0225919810 plastic bags (blank and 490 Plastics Barany, Gamalia printed) LDPE Sacks, HDPE bags Section 100, 3rd Smaha for 0238204656 (blank and printed), HDPE 32 industrial area, 6th of 490 Plastics 01222118520 bottles for food and October chemical packaging Industrial 15 Wekalet Yassen, 01004684610 Plastic bags and (PET, PE, 33 Medical industrial area, 10th of 490 01227667552 PP, paper) PackagingIMB Ramadan
54 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 6: SAMPLE FROM READY-MADE CLOTHES FACTORIES WITH ANNUAL PLASTIC CONSUMPTION
# Company Address Phone Ton/Year 10th of Ramadan 1 El Shourbagy 0154103001-3 160 www.bishara.com.eg 024532545 Beshara 2 5 Masa’ya St, Ameriah, Cairo 022571350 180 Group 0122367774 25 Tahsin Farghali, Abbas El Akkad, Nasr City 022631533 3 Blue Point 112 www.bluepointwear.com 022630439 Ezbet Hegazy, Smouha, Alexandria 4 Totex 034199979 80 www.totex.com 85 B3 Industrial area, 10th of Ramadan 5 El Mesaeed 015374100-2 56 www.travel.to/masaied El Shamsy 62, 15th of May St., Shoubra El Kheema, 022355152 6 75 Group www.shamsi.com.eg 024732446 Shoubra El Kheema, Cairo 022157079 7 Cairo Cotton 52 www.cairocotton.com 022155746 Street, 3rd industrial area, 6th of October 8 Kazrouni 0111340023 66 www.kazrouni.com 3 Abdullah Soud Street, Triumph, Heliopolis 9 Helbawy 0222477743 86 www.egyptweb.com/helbawi Egyptian 10 British for 3rd industrial zone, 6th of October 01058101818 58 ready-made 10th of Ramadan district 45, c5 area 0106047041 11 Modern Way 42 www.modernwayuniform.com 0121042365 022656526 12 Unitex 7 Shidi St Off Kasr Al Ainy, Cairo 45 012290907 Miracle for 6 Gaafary Street, from watanya Road Jesr Suez, 13 ready-made 0222973694 36 Cairo clothes Bernitch 14 6th of October City, District 3 0105811818 72 Uniform Qaluib industrial Area 15 Style Group 024615502-3 26 [email protected] 0452223655 16 El Kallaf 11 Farid Lyan St, Roushdy 03543852 55 01001112063
Total Consumption (Ton / Year) 1,231
55 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 7: SAMPLE FROM RESTAURANT CHAINS IN EGYPT WITH ANNUAL PLASTIC PACKAGING CONSUMPTION
# Company Name Phone Address Ton /Year
35 Saray El Maadi, next to El Salam Kentucky Fried 0225284416-9 1 International Hospital 360 Chicken 19019 www.kfc-arabia.com 10 El Kamel Mohamed St. 5th floor,
2 McDonald’s Egypt 19991 Zamalek, Cairo 95 www.mcdonaldsegypt.com Villa 7, El Moushir Ahmed Ismail St., 3 Tropicana 0222680903-5 120 Sheraton bldgs., Heliopiles, Cairo 71 Airport Road, Sakr Qouraish Angel Catering 0222693033 4 Blocks, Sheraton Buildings, Cairo 70 Service 01221000020 www.aeroangels.net Egyptian for Tourism 47 El-Batal Ahmed Abd El-Aziz, 5 02 33007535 90 & Supplies Mohandesin, Giza 16999 Block 13014, 6th Plot, Rd. 31, 1 st 6 Cook Door 01006021696 233 Industrial Zone, Obour city, Qaliobeya 0246141895 Spectra El Shagra, Cornish El 7 Spectra 19791 120 Nile,Boulaq, Cairo Cairo mall of Arabia 8 Casper & Gambini’s 0238260031 6th of October City 240 [email protected] 9 Sarwat 055-2320-626 El Amn El Ghezaey, Zagazig, Shariqa 80 0111 543 3500 51, Sheraton Al Matar, Qism El-Nozha, 10 Tom and Basal 110 16405 Cairo 31 Orabi St., Downtown, Al 11 Tabie El Domyati 19122 230 Azbakeyah 9 Bustan Al Fadel from Qasr El Einy St., +20225324777 12 Abu Shakra Cairo 69 19090 [email protected] Hoda Shaarawy, Bab Al Louq, Abdin, 13 Felfela Alaa El Din 16561 90 Cairo Omar Ibn El Khattab St., Floor 1 - 14 El Beik Broast 0224802378 90 Inside Stars Centre, Nasr City 26 El-Shaikh Marouf, Marouf, Qasr a 15 Koushary Abu Tareq 0100 011 7804 112 Nile, Cairo 01140091100 Nasr City: 28 Al Batarway Street, Off 16 Crispy 115 01008882041 Abbas Al Akkad. 0226900719 48 El Thawra St. Ard El Golf, 17 Grand Café 40 0226900717 Heliopolis, Cairo 0233361479 18 Domino’s Pizza 0233361487 1 El Yaman St., Dokki 70 0233361492 Total Consumption (Ton / Year) 2,334
56 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 8: SAMPLE FROM PHARMACIES SERIES IN EGYPT WITH ANNUAL PLASTIC BAG CONSUMPTION
# Name Phone Address Information Ton/Year 6 Asmaa Fahmy Area, Nozha Street, 1 El Ezaby 19600 630 Heliopolis, Cairo 2 Saif 19199 11 M. Salem St., Old Cairo, Cairo 395 Dimar and 3 19955 9 Emad El Din, 26 July St. Downtown, Cairo 170 Atallah 4 Roushdy 19661 214 B Six St., First Gate, Ahram Gardens, Giza 320 5 El Magd 16344 161 H, Khafra’a Gate, Ahram Gardens, Giza 124 22 Tahrir St. front on Bouhoth Metro station, 6 Masr 19110 336 Dokki, Giza 7th Settlement, next to 7th settlement police 7 El Nady 16196 117 station, 6th of October City, Giza 11th settlement, next to Wageeh Center, 6th 8 Abu Ali 19141 188 of October City, Giza ,Mohamed Mazhar St. ،Mohammed Mazhar 28 19008 Zamalek, Cairo 9 El Leithy 143 02 27360799 131 Tahrir St., Dokki, [email protected], www.lithypharmacy.com Haitham and 02 25195416 Maadi as Sarayat Al Gharbeyah, Al Maadi, 10 150 Salah 01093338771 Cairo 3 Secon Bldgs., El Nozha St., Heliopolis, Cairo 11 Hagar 19747 146 www.hagarpharmacy.com 637 Horreya Avenue, Jenaklees Ossama El 03 5775544 12 [email protected] 121 Tayby 16840 taypharmacies.com El Mahmoudeia "Lord", Alexandria Khalil 03 3835035 [email protected] 420 Pharmacies 19040 www.khalilpharmacies.com ,Abdel 02 27748111 122 Othman Ibn Affan St. ،El-Nozha 13 130 Maqsoud 0226333635 Heliopolis, Cairo 19870 14 Al dawa’a 16 El Tayran St., Nasr City, Cairo 114 0224044002 19669 8 El Sherif bldgs., Aswan St., El Mohkma 15 Normandy 02 26324117 square, Heliopolis, Cairo 113 0226341877 www.normandypharma.com El Gama’a El 02 33372154 16 7 Gamaet El dewal St., Gazirat Mit Oqbah, Giza 111 Arabia 19872 214B Street 6, Giza 20233777342 17 Roushdy [email protected] 110 20233777352 www.roshdypharmacies.com Others including governmental pharmacies 1,033 Total Consumption (Ton / Year) 4,874
57 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 9: SAMPLE FROM LARGE HYPERMARKET SERIES IN EGYPT WITH ANNUAL PLASTIC BAG CONSUMPTION
# Market Name Phone Contact Information Ton/Year www.carrefour.com.eg 19111 - 16061 1 Carrefour Egypt www.facebook.com/carrefouregypt/ 3140 02 21600119 Maadi City Center – GM Wael Mohamed Zahraa El Maadi, Industrial Zone, P.O. Box Metro & Khair 02 27548360 97, New Maadi, Cairo, 2 Zaman (Mansour- 0227548385 920 [email protected] Group) Central Manager Tamer Gouda Extension Of 26th El Sheikh Zayed, 6th 3 Hyper One 16404 October, Sherif Ahmed Kassem supply chain 750 manager 0225256400 7 A Corniche El_Neel - Maadi - next to the 4 Alfa Market 01000003893 Sofitel Hotel - 550 19299 [email protected] 14D Magdy Salama St., off Autostrad. Maadi 02 25173247 5 Spinneys [email protected] 720 02 25163780 Mohanad Adly - Chief Executive Officer 127 El Nozha St. Heliopolis 6 Awlad Ragab 19225 860 Mohamed El Bardisy, Director of Marketing 22 El Obour Bldgs., Salah Salam Rd., Nasr 7 Abo Zekry 0222605843 140 city,Cairo 035801081-3 Sheraton Almontaza Towers, Alexandria 8 Fathallah Market 1560 035801080 Mohamed Saleh purchasing director 7/8 El Nasr St. New Nozha, Cairo [email protected] 9 Awlad Ghanem 0226204820-2 142 [email protected] [email protected] 0225050522 10 El Mahmal 278 Road 9 - Mokattam 436 0225050511 02-37488225 11 Saudi Market 22, El Mesahah St., Dokki 158 02-37488440 -2 20 B Mohamed Adly Kafafy St. Saint Fatima, 12 Aba Market 0227742602-5 136 Heliopolis, Cairo Maadi, Cairo 13 Awfar Market 16607 116 [email protected] 03 4240555 34 Ahmed Yehia St., Zezenia, Alexandria 14 Zahran Market 124 03 5853388/77 Near to National Bank of Egypt 124 Ahmed Hassan El Zayyat St., 7th 15 Happy Family 0222746835 112 District, Nasr City, Cairo 3 El Hassany St., Floor2, Mohandessen, Giza 0333050707 16 Hawary Market Near to Banque Misr 136 0233453111 www.elhawary-market.com 5 el Shaheed Ahmed Yehia Ibrahim St., 17 Petro Market 0233450073 40 Mohandeseen, Giza 0246100970 Obour City, 6th Settlement, Haleem Mall, 18 El Mahlawy 136 0246100972 entrance 2 02 33041630 9 St., building #8130, El Nasr Buildings, 19 Al Raya 124 16508 Mokattam, Cairo Yamama Center, 5th floor 3, Dr. Taha 20 Kazyon Hussein Street, Zamalek, Cairo- 260 http://www.kazyon.com 21 Hyper Lulu 02 25983555 1st settlement, Twin Plaza Mall, Cairo 250 37 kilo Egypt Agricultural Rd Alexandria 22 El Abed 16257 24 [email protected]
58 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
# Market Name Phone Contact Information Ton/Year 105 Omar Ibn El Khatab street, Heliopolis 23 Oscar Stores 16991 [email protected] 170 www.oscarstores.com 0226922385 24 Moamen and Bashar Commercial Market, Rehab City, New Cairo 80 0226079278 287 street, apartment:37 -off Palestine street, Maadi 25 Othaim markets 19279 130 [email protected] www.othaimmarkets.com/eg 19642 19, Amin El Rafaey St. Dokki 26 Dina Farms 01226222204 124 [email protected] 0233379048/49 Kilo 58 Cairo-Ismailia desert road 10th of 015 33 23 40 27 Bim market Ramadan Industrial Zone A3 OCL Building 110
[email protected] Subtotal Consumption: Ton /Year 11,448 Others including governmental supermarkets 2,199 Total Consumption: Ton / Year 13,647
59 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 10: SAMPLE FROM SEMI-FINISHED AND FINAL PRODUCTS EXPORTERS
# Exporter Address 1 Alex Star For Cleaning Abd El Kader El Ameria Alexandria 057 -Tel.: 01223686907 Tools www.alexstar-eg.com 2 Al Amal Pipes ( Al Sharif ) 8 Mohamed Taimour St. Cairo. 11461 Heliopolis Info@alamalpalsticpipes ,Tel: (022) 02-27750257 www.alamalplasticpipe... 3 Q Medical Co. Land plot #25 & 27 , First Industrial Zone , Badr Industrial City , Cairo Tel.:+2 (02)28607492 - Fax : +2 (02) 28607491 [email protected] - www.qmedicaldevices.c... 4 Plastic World Egypt Badr Industrial City Cairo 01111 5 Perfecto Plast PC#135, 150 & 155 -250 Acre zone Badr Industrial City 0100 170 1512 6 Rotanaplast Shebin al-Kom Menoufia. 321111. 6 Syria S treet Rushdi, Alexandria, Tel: +20 3-545-8805 - www.bakrgroup.com 7 Amak Supply 3ed IndustrialZone South Block9 Part25 Alexandria 12934 ew Borg Arab - www.amaksupply.webs.c... 8 Tacotex Nv 8 Shazly St, Helmiet El Zaitoun Cairo.11251. 9 Clipsicopack plot(37)Block(B)New Investors Area, Petrochemicals route,Merghem,Alexandria, Alexandria 23722 www.clipsicopack.com 10 Pack House Egypt Plot 185, 10th Of Ramadan Rd., Industrial Zone Belbeis, El Sharkeya 44622. www.packhouse-egy.com 11 Karawia Pack Karawia Pack Factory, Industrial zone, Plot (from 54 to 59), Portsaid Portsaid 42111. www.karawiagroup.com 12 Prestige Company Ltd. 87 Al Montazah St., El Fath Mosque Heliopolis, Cairo Address : 87 , el montaza st Heliopolis cairo - Tel:(+202)22405903 - 2632 2404 - 2632 5338 Fax:(+202) 2241 8311 Email: [email protected] - www.prestigeallam.com 13 Alfa B Group cairo Nasr City.5999. Address: Badr City, 4th Industrial Zone, Block 14-16-18 Cairo, Tel:(+202) 28840601 / (+202) 28640602 Fax:(+202) 28840603 E-mail:[email protected]@alfa-bgroup.com [email protected] www.alfa-bgroup.com 14 Misr Expo Pack 138 Elharam St. Giza. 12111 - www.misrexpo.com
15 Gelcy Eco Pencils 3Mohammed El-ghazaly St., Dokkie, Giza, 12311. E-Mail : [email protected] Address : 3 Mohammed El-Ghazaly St., Dokki, Giza12311, Egypt. TEL : 002-02-33356078 -Fax : 002-02-33362646 Mobile : 002-012-2807-6916 - www.gelcy.com
16 Promagic For Industry & Address:9 salah Galal St, Gamea Elfath- Heliopolis-Cairo Trade Tel 002-0226325209 Fax 002-0226325209 Mobile 00201117900077/00201117788800
Email [email protected]/ [email protected]/
[email protected]/ [email protected] www.promagic- eg.com 17 Mergawi 10th of Ramadan city 2244, Hadaek Mohandeseen. Meg.63.Blg.41.Flt1. Tel/Fax:00 20 15 35 62 16 ,Cairo Office:00 20 22 60 71 83 5 Mobile:002 0122 3403 876 , E-mail: [email protected] www.mergawi.com 18 Sofipack S.A.E 11 Hassan Allam St., Merghany, Heliopolis Cairo , 11361.. Tel. +20 02 24 14 23 39 - www.sofipack.com.eg/
60 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
19 Mada Trade Co Elthagr Complex, bld 2, Aprt. 105, Elnozha Airport Road Alexandria 21321 Tel: +20 3 3832405 - +20 3 3832406 - Fax: +20 3 3808003 +20 3 4814655 - www.madatradeco.com 20 International Trading Co. 4 Mohamed Madi St, of Husain Kamal St Dokki Giza Itc 12411 Tahrir st Tel: +20 201001160086 21 Walidfakhry babelsharia Cairo 00900 Tel: +20 01000082265 22 Alahram Co, For Trading & 49a, 6th, Industrial Zone, 6 October City, Cairo Industry 23 Lasheen Plastic Industries 22, Nehru St., Helipolis PO BOX 251 Cairo 11341, 22 Nehru St., Roxy,Cairo, Tel.+20 2 22587451(7 Lines)- +20 2 2453983(6Lines): Fax +202 22582986- 22585580 Email: [email protected](General) [email protected] (Export) [email protected] (Local sale) www.lasheen.com 24 Al Nours For Import & Sandouq Eldaam - El Seuof Alexandria 11451. Egypt Export Tel: +20 12 72 63 51 04 - Fax: +20 33 31 34 03 25 Prestige Company Ltd. 87 Al Montazah St., El Fath Mosque Heliopolis, Cairo Address : 87 El Montaza St, Heliopolis, Cairo - Egypt Tel:(+202)22405903 -2632 2404 - 2632 5338 Fax:(+202) 2241 8311 Email: [email protected] www.prestigeallam.com 26 Egyptian Industrial For 176 North Kattameya Industrial Zone. Near Cairo Sokhna Road.New Chemical Co Baramki / Cairo. sales: +(20122) 2495898 +(2012) 2141086+(20122) 7910413 Egypt Office: +(20122) 5713049 +(20122) 7333673 - [email protected] 27 Alquds Trading 25 Makram Ebeid St. Cairo - Nasr city Establishment 28 International Trading Co. 4 Mohamed Madi St, of Husain Kamal St Dokki Giza Itc 12411 Tahrir st 29 Amana Plast Company For Industrial Zone C1,10th of Ramadan City, Egypt 10th Of Ramadan Printing And Packing 44637 Industries 30 Gamma Pack El-Hawamdeya, Cairo - Asyut Highway, Giza
61 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 11: SAMPLE FROM PLASTIC FINISHED PRODUCTS IMPORTERS35
Company Location Category
DS trading Cairo Automotive feeding
Ayman Khalil El Nady Cairo Sheets & film
El Shaiea Importer Cairo Housewares
Express for Industeries & Trading plastic Cairo Sheets & film
Silver for Import and Export Cairo Sheets & film
Egyptian for trading Cairo Housewares
El Fotim Egypt for retail Cairo Housewares
El Hosam pack Cairo Sheets & film
Nysco for water system Cairo PVC fittings
35 Source: http://www.europages.co.uk/companies/Egypt/plastic.html
62 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
ANNEX 12: DESCRIPTION AND RATE AS OF 2016 FOR HS CODES IN CHAPTER 39
Code Tariff Description English Rate
3901100000 Polyethylene having a specific gravity of less than 0.94 Free Polyethylene having a specific gravity of 0.94 or more for medical use, natural gas 3901201000 Free pipes, water and sewerage pipes (PE 80, PE 100) 3901209000 Other polyethylene having a specific gravity of 0.94 or more 5 3901300000 Ethylene-vinyl acetate copolymers in primary forms Free 3901900000 Other polymers of ethylene in primary forms Free 3902101000 Polypropylene for medical use Free 3902109000 Other polypropylene (other than for medical use) in primary forms 5 3902200000 Poly-isobutylene in primary forms Free 3902300000 Propylene copolymers in primary forms Free 3902900000 Other polymers of propylene or other olefins in primary forms Free 3903110000 Polystyrene expansible in primary forms Free 3903190000 Polystyrene non-expansible in primary forms Free 3903200010 Liquid and past of styrene acrylonitrile (SAN) copolymers Free 3903200020 Lumps granules, flakes or powders of styrene- acrylonitrile (SAN) copolymers Free 3903300010 Liquid and past of acrylonitrile butadiene-styrene (ABS) copolymers Free Lumps granules, flakes or powders of acrylonitrile butadiene-styrene (ABS) 3903300020 Free copolymers in primary forms 3903900010 Liquid and past of polymers of styrene Free 3903900020 Lumps granules, flakes, or powders of polymers of styrene in primary forms Free 3904100010 Poly (vinyl chloride) emulsion not mixed with any other substances Free 3904100090 Other poly (vinyl chloride) not mixed with any other substances in primary forms Free 3904210010 Other poly (vinyl chloride) non-plasticized in primary forms 10 Lumps granules, flakes, or powders of other poly (vinyl chloride) non-plasticized in 3904210020 10 primary forms 3904221000 Other poly (vinyl chloride) plasticized for medical use, in primary forms 0 3904229000 Other poly (vinyl chloride) plasticized for other uses in primary forms 0 3904300010 Liquid and past of vinyl chloride-vinyl acetate copolymers 5 Lumps granules, flakes, or powders of vinyl chloride-vinyl acetate copolymers in 3904300020 5 primary forms 3904400010 Liquid and past of other vinyl chloride copolymers 5 Lumps granules, flakes, or powders of other vinyl chloride copolymers in primary 3904400020 5 forms 3904500010 Liquid and past of vinylidene chloride polymers 5 3904500020 Lumps granules, flakes, or powders of vinylidene chloride polymers in primary forms 5 3904610010 Liquid and past of polytetrafluoroethylene 5 3904610020 Lumps granules, flakes, or powders of polytetrafluoroethylene in primary forms 5 3904690010 Liquid and past of fluro-polymers other than polytetrafluoroethylene 5 Lumps granules, flakes, or powders of fluro-polymers other than 3904690020 5 polytetrafluoroethylene in primary forms 3904900010 Liquid and past of polymers of vinyl chloride or of other halogenated olefins 5 Lumps granules, flakes, or powders of vinyl chloride or of other halogenated olefins 3904900020 5 in primary form
63 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
3905120000 Poly (vinyl acetate) in primary form in aqueous dispersion 2 3905190000 Other poly (vinyl acetate) in primary form other than aqueous dispersion 2 3905210000 Vinyl acetate copolymers in primary form in aqueous dispersion 2 3905290000 Vinyl acetate copolymers in primary form other than aqueous dispersion 2 Liquid and past of poly (vinyl alcohol) whether or not containing unhydrolysed 3905300010 2 acetate groups Lumps granules, flakes, or powders of poly (vinyl alcohol) whether or not containing 3905300020 2 unhydrolysed acetate groups 3905910000 Other copolymers vinyl in primary forms 2 3905990000 Other vinyl esters in primary forms 2 3906100010 Liquid and past of poly (methyl-methacrylate) 5 3906100020 Lumps granules, flakes, or powders of poly (methyl-methacrylate) 5 3906900010 Liquid and past of other acrylic polymers 2 3906900015 Carbapol 2 3906900020 Lumps granules, flakes, or powders of other acrylic polymers in primary forms 2 3907100010 Liquid and past of poly-acetals 5 3907100020 Lumps granules, flakes, or powders of poly-acetals in primary forms 5 3907200010 Liquid and past of other polyethers Free 3907200020 Lumps granules, flakes, or powders of other polyethers in primary forms Free 3907300010 Liquid and past of epoxide resins 5 3907300020 Lumps granules, flakes, or powders of epoxide resins in primary forms 5 3907400010 Liquid and past of polycarbonates Free 3907400020 Lumps granules, flakes, or powders of polycarbonates in primary forms Free 3907501010 Liquid and past of alkyd resins long or medium chain 10 Lumps granules, flakes, or powders of alkyd resins long or medium chain in primary 3907501020 10 forms 3907509000 Other alkyd resins in primary forms 5 3907600000 Poly (ethylene terephthalate) Free 3907700000 Poly (lactic acid) 5 3907910010 Liquid and past of other polyesters unsaturated 5 3907910020 Lumps granules, flakes, or powders of other polyesters unsaturated in primary forms 5 3907990010 Liquid and past of other polyesters saturated 5 3907990020 Lumps granules, flakes, or powders of other polyesters saturated in primary forms 5 3908100010 Liquid and past of polyamide -6, -11, -12, -6.6, - 6.9, -6.10 or -6.12 2 Lumps granules, flakes, or powders of polyamide -6, -11, -12, -6.6, - 6.9, -6.10 or - 3908100020 2 6.12 in primary forms 3908900010 Liquid and past of other polyamides 2 3908900020 Lumps granules, flakes, or powders or other polyamides in primary forms 2 3909100000 Urea resins, thiourea resins in primary forms 2 3909200000 Melamine resins in primary forms 10 3909300000 Other amino-resins in primary forms 2 3909401000 Phenolic molding compounds 10 3909409000 Other phenolic resins in primary forms 2 3909500000 Polyurethanes in primary forms 2
64 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
3910000010 Liquid and past of silicones 2 3910000020 Dimethecone 2 3910000090 Lumps granules, flakes, or powders of silicones in primary forms 2 Petroleum resins coumarone, indene or coumarone-indene resins and polyterpenes 3911100000 5 in primary forms Polysulphides, polysuphones, and other products specified in note 3 to this chapter 3911900000 2 not elsewhere specified or included in primary forms. 3912110010 Liquid and past of cellulose acetates non-plasticized. 2 Lumps granules, flakes, powders of cellulose acetates non-plasticized in primary 3912110020 2 forms 3912120010 Liquid and past of cellulose acetates plasticized 2 3912120020 Lumps granules, flakes, powders of cellulose acetates plasticized in primary forms. 2 3912201010 Cellulose nitrates wet with alcohol in primary forms 10 3912201090 Cellulose nitrates wet with water in primary forms 10 3912209000 Other cellulose nitrates (including collodions) in primary forms 2 3912310000 Carboxymethyl cellulose and its salts in primary forms 5 3912390000 Other cellulose ethers in primary forms 5 Other chemical derivatives cellulose not elsewhere specified or included in primary 3912900000 5 forms. 3913100000 Alginic acid its salts and esters in primary forms. 2 Other natural polymers (other alginic acid) and modified natural polymers (for 3913900000 example hardened proteins, chemical derivatives of natural rubber) not elsewhere 2 specified or included in primary forms 3914000000 Ion-exchangers based on polymers of heading 3901 to 3913 in primary forms 5 3915100000 Waste, parings, and scrap of polymers of ethylene 2 3915200000 Waste, parings, and scrap of polymers of styrene 2 3915300000 Waste, parings, and scrap of polymers of vinyl chloride 2 3915900000 Waste, parings, and scrap of other plastics 2 Monofilament of which any cross-sectional dimension exceeds 1mm, rods, sticks and 3916100000 profile shapes, whether or not surface-worked but not otherwise worked of 10 polymers of ethylene Monofilament of which any cross-sectional dimension exceeds 1mm, rods, sticks and 3916200000 profile shapes, whether or not surface-worked but not otherwise worked of 10 polymers of vinyl chloride Monofilament of which any cross-sectional dimension exceeds 1mm, rods, sticks and 3916900000 profile shapes, whether or not surface-worked but not otherwise worked of other 10 plastics Artificial guts (sausage casing) of hardened protein obtained directly in its hollow 3917100010 5 shape 3917100050 Artificial guts (sausage casing) of cellulose obtained directly in its hollow shape 5 Artificial guts (sausage casing) of hardened protein or cellulose not obtained directly 3917100090 5 in its hollow shape Pipes, brake hoses, hydraulic hoses, water hoses, rigid of polymers of ethylene 3917210010 20 obtained directly in its hollow shape Other tubes and hoses, rigid of polymers of ethylene obtained directly in its hollow 3917210020 20 shape Other tubes and hoses, rigid of polymers of ethylene not obtained directly in its 3917210050 20 hollow shape
65 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
Pipes, brake hoses, hydraulic hoses, water hoses rigid of polymers of ethylene not 3917210090 20 obtained directly in its hollow shape Pipes, brake hoses, hydraulic hoses, water hoses rigid of polymers of propylene 3917220010 20 obtained directly in its hollow shape Other tubes and hoses, rigid of polymers of propylene obtained directly in its hollow 3917220020 20 shape Other tubes and hoses, rigid of polymers of propylene not obtained directly in its 3917220050 20 hollow shape Pipes, brake hoses, hydraulic hoses, water hoses, rigid of polymers of propylene not 3917220090 20 obtained directly in its hollow shape Pipes, brake hoses, hydraulic hoses, water hoses rigid of polymers of vinyl chloride 3917230010 20 obtained directly in its hollow shape Other tubes and hoses, rigid of polymers of vinyl chloride obtained directly in its 3917230020 20 hollow shape Other tubes and hoses rigid of polymers of vinyl-chloride not obtained directly in its 3917230050 20 hollow shape Pipes, brake hoses, hydraulic hoses, water hoses, rigid of polymers of vinyl chloride 3917230090 20 not obtained directly in its hollow shape Pipes, brake hoses, hydraulic hoses, water hoses, rigid of other plastic obtained 3917290010 20 directly in its hollow shape 3917290020 Other tubes and hoses, rigid of other plastic obtained directly in its hollow shape 20 3917290050 Other tubes and hoses, rigid of other plastic obtained directly in its hollow shape 20 Pipes, brake hoses, hydraulic hoses, water hoses rigid of other plastic not obtained 3917290090 20 directly in its hollow shape Flexible pipes, brake hoses, hydraulic hoses, water hoses, having a minimum burst 3917310010 10 pressure of 27.6 MPA obtained directly in its hollow shape Other flexible tubes and hoses having a minimum burst pressure of 27.6 MPA 3917310020 10 obtained directly in its hollow shape Other flexible tubes and hoses having a minimum burst pressure of 27.6 MPA not 3917310050 10 obtained directly in its hollow shape Flexible pipes, brake, hoses, hydraulic hoses, water hoses, having a minimum burst 3917310090 10 pressure of 27.6 MPA not obtained directly in its hollow shape Other pipes, brake hoses, hydraulic hoses, water hoses, not reinforced or otherwise 3917320010 20 combined with other materials, without fitting obtained directly in its hollow shape Other tubes and hoses, not reinforced or otherwise combined with other materials, 3917320020 20 without fitting obtained directly in its hollow shape Other tubes and hoses, not reinforced or otherwise combined with other materials, 3917320050 20 without fitting not obtained directly in its hollow shape Other pipes, brake hoses, hydraulic hoses, water hoses, not reinforced or otherwise 3917320090 combined with other materials, without fitting not obtained directly in its hollow 20 shape Other pipes, brake hoses, hydraulic hoses, water hoses, not reinforced or otherwise 3917330010 20 combined with other materials, with fitting Other tubes and hoses, not reinforced or otherwise combined with other materials, 3917330090 20 with fittings
66 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
Hollow koprofan filament, poly sulphone and poly ether sulphone filaments, needed 3917391010 0 for blood dialysis manufacturing Other pipes, tubes and hoses, reinforced or otherwise combined with other 3917391050 materials for blood dialysis and the like of medical apparatus and instruments 0 obtained directly in its hollow shape Other tubes, brake hoses, reinforced or otherwise combined with other materials 3917391090 for blood dialysis and the like of medical apparatus and instruments not obtained 0 directly in its hollow shape Other pipes, brake hoses, hydraulic hoses, water hoses, reinforced or otherwise 3917399010 0 combined with other materials obtained, directly in its hollow shape Other pipes, brake hoses, hydraulic hoses, water hoses, reinforced or otherwise 3917399020 0 combined with other materials, not obtained directly in its hollow shape Other tubes and hoses, reinforced or otherwise combined with other materials, 3917399050 0 obtained, directly in its hollow shape Other tubes and hoses, reinforced or otherwise combined with other materials, not 3917399090 0 obtained, directly in its hollow shape Fittings for tubes, pipes and hoses (for example: joints, elbows, flanges) of plastics for 3917401000 Free blood dialysis and the like of medical apparatus and instruments Other fittings for brake hoses, hydraulic hoses, water hoses (for example: joints, 3917409010 20 elbows, flanges) of plastics 3917409050 Insulating casings for tubes, of plastics 20 Other fittings for tubes, pipes and hoses (for example: joints, elbows, flanges) of 3917409090 20 plastics 3918100010 Wall coverings of polymers of vinyl chloride as defined in note 9 in this chapter 40 Floor coverings of polymers of vinyl chloride whether or not self-adhesive in the 3918100020 40 form of tiles Other floor coverings of polymers of vinyl chloride whether or not self-adhesive in 3918100030 40 the form of rolls 3918100090 Ceiling coverings of polymers of vinyl chloride as defined in note 9 in this chapter 40 3918900010 Wall coverings of other plastics as defined in note 9 in this chapter 40 3918900020 Floor coverings of other plastics whether or not self-adhesive in the form of tiles 40 Other floor coverings of other plastics whether or not self-adhesive in rolls as 3918900030 40 defined in note 9 in this chapter 3918900090 Ceiling coverings of other plastics as defined in note 9 in this chapter 40 Self-adhesive plates, sheets, films, foil, tape, strip, and other flat shapes of plastics in 3919100000 10 rolls of a width not exceeding 20cm Self-adhesive plates, sheets, films, foil, tape, strip, and other flat shapes of plastics in 3919901000 5 rolls of a width exceeding 20cm Self-adhesive plates, sheets, films, foil, tape, strip, and other flat shapes, in other 3919909000 20 shapes 3920101000 Sterilized poly ethylene foil for blood dialysis Free Other plates, sheets, films, foil, tape and strip of polymers of ethylene, non-cellular 3920109010 and not reinforced, laminated, supported or similarly combined with other materials 5 for manufacturing milk package and its products
67 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
Other plates, sheets, films, foil, tape and strip of polymers of ethylene, non-cellular 3920109090 and not reinforced, laminated, supported or similarly combined with other materials 5 other than manufacturing milk package and its products
Plates, sheets, films, foil, tape and strip of polymers of propylene, non-cellular and 3920200000 10 not reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of polymers of styrene, non-cellular and not 3920300000 5 reinforced, laminated, supported or similarly combined with other materials
Plates, sheets, films, foil, tape and strip of polymers of vinyl chloride containing by 3920430000 weight not less than 6% of plasticizers, non-cellular and not reinforced, laminated, 5 supported or similarly combined with other materials
Plates, sheets, films, foil, tape and strip of polymers of vinyl chloride containing by 3920490000 weight less than 6% of plasticizers, non-cellular and not reinforced, laminated, 5 supported or similarly combined with other materials Diffuser sheet for using in electronic industries, of poly (methyl methacrylate) non- 3920511000 cellular, not reinforced, laminated, supported or similarly combined with other 0 materials. Other plates, sheets, film, foil, tape & strip, of poly (methyl methacrylate) non- 3920519000 cellular, not reinforced, laminated, supported or similarly combined with other 0 materials. Other, plates, sheets, films, foil, tape and strip of acrylic polymers, non-cellular and 3920590000 5 not reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of poly carbonates, non-cellular and not 3920610000 5 reinforced, laminated, supported or similarly combined with other materials
Diffuser sheet, reflector sheet or improving sheet for using in electronic industries, 3920621000 of poly (ethylene terephthalate) non-cellular, not reinforced, laminated, supported or 0 similarly combined with other materials. Other plates, sheets, film, foil, tape & strip, of poly (ethylene terephthalate) non- 3920629000 cellular, not reinforced, laminated, supported or similarly combined with other 0 materials. Plates, sheets, films, foil, tape and strip of polyesters unsaturated, non-cellular and 3920630000 5 not reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of other polyesters, non-cellular and not 3920690000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of regenerated cellulose, non-cellular and not 3920710000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of cellulose acetate, non-cellular and not 3920730000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of other cellulose derivatives, non-cellular and 3920790000 5 not reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of poly vinyl butyral, non-cellular and not 3920910000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of polyamides, non-cellular and not 3920920000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of amino-resins, non-cellular and not 3920930000 5 reinforced, laminated, supported or similarly combined with other materials
68 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
Plates, sheets, films, foil, tape and strip of phenolic resins, non-cellular and not 3920940000 5 reinforced, laminated, supported or similarly combined with other materials Plates, sheets, films, foil, tape and strip of other plastics, non-cellular and not 3920990000 5 reinforced, laminated, supported or similarly combined with other materials 3921110000 Other, plates, sheets, films, foil, tape and strip cellular of polymers of styrene 10 Other, plates, sheets, films, foil, tape and strip cellular of polymers of vinyl chloride 3921121000 0 for the production of the smart cards 3921129000 Other, plates, sheets, films, foil, tape and strip cellular of polymers of vinyl chloride 0 3921130000 Other, plates, sheets, films, foil, tape and strip cellular of polyurethanes 10 3921140000 Other, plates, sheets, films, foil, tape and strip cellular of regenerated cellulose 10 Other, plates, sheets, films, foil, tape and strip cellular of other plastics for 3921191000 0 production of smart card Other, plates, sheets, films, foil, tape and strip cellular of other plastics for other 3921199000 0 purposes 3921901000 Formica and the like, non-cellular 30 Laminates of resins with base of craft paper for manufacturing of insulates non- 3921909010 10 cellular 3921909020 Laminates of other resins with base of craft paper of non-cellular plastics 10 3921909050 Mirrors plates of plastics non-cellular 10 3921909090 Other plates, sheets, film, foil and strip of plastics non-cellular 10 3922100000 Baths, shower-baths, sinks and wash-basins of plastics 40 3922200000 Lavatory seats and covers of plastics 40 3922900000 Other bidets, lavatory pans, flushing cisterns and similar sanitary ware of plastics 5 Boxes, cases, crates and similar articles of plastics used in packing milk and its 3923100010 10 products Boxes, cases, crates and similar articles of Poly Ethylene terephthalate (P.E.T), used 3923100050 10 for packing fruits and vegetables 3923100090 Other boxes, cases, crates and similar articles of plastics 10 Sacks and bags (including cones) graduated or specified capacity of polymers of 3923210010 10 ethylene for use in packing milk and its products 3923210090 Other Sacks and bags (including cones) of polymers of ethylene 10 3923291010 Sterile bags of other plastics 0 Bags not prepared for use by patients of general surgery and tumors surgery of 3923291090 0 other plastics 3923299000 Other sacks and bags (including cones) of other plastics 0 Bottles and other containers prepared for packing of eye drops, nose drops, plasma, 3923300010 glucose, liquid blood and the like of medical preparations graduated or fixed capacity 2 of plastics 3923300030 Carboys, bottles, flasks and similar articles for scientific purposes of plastics 2 3923300090 Carboys, bottles, flasks and similar articles for other uses of plastics 2 3923400000 Spools, cops, bobbins and similar articles of plastics 10 Stoppers, lids, caps and other closures for bottle and other containers prepared for 3923500010 the packing of eye drops, nose drops, plasma, glucose, liquid blood and the like of 2 medical preparations 3923500090 Stoppers, lids, caps and other closures for other uses of plastics 2 3923900000 Other articles for the conveyance or packing of goods of plastics 5 3924100000 Tableware, kitchen ware of plastics 60
69 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
3924900010 Infant’s feeding bottles whether or not graduated of plastics 60 3924900020 Other household articles of plastics 60 3924900090 Hygienic or toilet articles of plastics 60 3925100000 Reservoirs tanks, vats and similar containers of a capacity exceeding 300L of plastics 10 3925200000 Doors, windows and their frames and thresholds for doors of plastics 40 3925300000 Shutters, blinds (including Venetian blinds) and similar articles and parts thereof 40 Isolation plates used for builders’ ware of plastics, not elsewhere specified or 3925900010 40 included 3925900090 Other articles for builders’ ware of plastics, not elsewhere specified or included 40 Plastics eraser for pencils, duplicating stencil laminates, perforated and prepared for 3926100010 10 direct use. 3926100090 Office or school supplies of plastics of heading 3901 to 3914. 10 3926201010 Examination sterile gloves for professional protect of plastics 10 3926201020 Transparent glove non-sterile for professional protect safety of plastics 10 Articles of apparel and clothing accessories (including gloves, mittens and mitts) for 3926201090 10 professional protect safety of plastics Articles of apparel and clothing accessories (including gloves, mittens and mitts) for 3926209000 60 other than professional protect safety of plastics 3926301000 Fitting for coachwork of plastics 10 3926309000 Fitting for furniture of plastics 20 3926400000 Statuettes and other ornamental articles of plastics. 40 3926901010 Transmission belts of plastics 5 3926901020 Conveyor belts of plastics 5 3926901050 Gaskets and friction articles for machine of plastics 5 Bolts and nuts, encapsulation and seals; clips for electrical harnesses and other 3926901090 5 similar articles for technical use of plastics. 3926902000 Fishing net floats of plastics 20 3926903010 Containers used for receiving textile material of plastics. 2 3926903090 Punched jacquard cards and similar, clips, hangers, pins and similar of plastics 2 3926904000 Boot and shoes lasts 2 Clips of plastics for artery and connecting for medical instruments tools and 3926905010 2 apparatus. Flanges of special bags of urine and stool collection for patients with artificial 3926905020 2 openings, of plastics 3926905050 Broncho dilator covers of plastics. 2 Clamps and other article of plastics for artery and vein connecting for medical 3926905090 2 instruments, tools and apparatus. 3926906000 Cards for producing smart card of plastics. Free 3926909010 A measure of capacity of plastics 10 3926909020 Picture or mirrors frame and the similar of plastics 10 3926909030 Refractory splints for bones fractures of plastics 10 3926909040 Watch glass of plastics 10 3926909050 Articles of plastics for advertising artistic works 10 3926909060 Ice Bag of plastics 10 3926909070 Seat cushion of plastics 10
70 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Code Tariff Description English Rate
3926909075 Tubes coverings of plastics 10 3926909080 Vacuum flask complete with cases (Colman) 10 3926909085 Triangle reflector of plastics 10 3926909090 Other articles of plastics 10
71 USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED) Project
Brief Discussion of ICT Integration approach
U.S. Agency for International Development/Egypt www.usaid.gov 72