Food Export Council achieved $4.1 bn in exports last year, marking a growth of 19%

Hany Berzy, Chairman of the Food Export Cuoncil, in an interview with Commodity Market:

The council aims to increase exports to $5 bn by the end of 2022

The participation of 400 exhibitors from 28 countries in the Food Africa ​​exhibition is a great success

The Council adopted a new strategy to advance the sector's exports and automate all its services

Edita

EGP 50 mn worth of investments in the Morocco factory to add a new production line in the middle of this year

We are considering setting up factories in two new countries within the next five years

Morocco factory is a gateway to enter West African markets and overcome the cost of shipping from Cairo

The exports of the Food Export Council amounted to about $4.1  bn during the past year, with an estimated growth rate of 19 % compared to 2020. The council aims to bring the volume of exports to $5 bn by the end of 2022, with a growth rate of 20%.

Hany Berzy, Chairperson of the Food Export Council, said that the council has developed a clear strategy to promote the sector's exports, aiming to achieve an annual growth rate estimated at 20%.

Food industry exports recorded $4.1 bn last year, marking a growth of  19 % over 2020, which is a very good growth rate in light of the conditions that the global economy brought about by the Coronavirus pandemic and high International freight rates.

Berzy said that the council will build on the steps it took past year to rehabilitate and develop companies operating in export, by offering training programs and seminars in cooperation with government agencies, foremost of which is the Food Safety Authority and the Export Development Fund.

Berzy explained that the council has developed a new strategy aimed at developing Egyptian exports in the food industry sector by focusing on the Egyptian exporter and increasing the services provided, in addition to participating in foreign exhibitions and improving the work of trade missions.

"The council has mechanized all services to facilitate procedures for its members and provide all data and information. It also holds numerous seminars and training courses in cooperation with the Food Safety Authority and the Export Support Fund to make the members fully aware of everything that is happening in the food industry sector," he said.

Berzy indicated that the council carried out many commercial marketing missions that were sent to many African countries in addition to the usual exhibitions in which the council participates, pointing out that all these efforts were carried out in cooperation with several government agencies such as the commercial representation offices and the Food Safety Authority.

Berzy explained that the African market is one of the most promising markets, but it is a difficult market at the same time, due to the geographical nature and the presence of landlocked countries, the number of developing countries, and the problems facing Egyptian companies in collecting the value of shipments.

He stressed that the African market is promising and requires effort and time to achieve positive results, adding that the recent period witnessed exports to many countries of the brown continent, with the Council focusing on sending commercial marketing missions to African countries such as Kenya, Tanzania, Uganda, South Sudan and others.

Berzy explained that there is complete coordination between the Food Export Council and Food Africa, as the Council is a partner in the exhibition, noting that the exhibition has gained regional fame during the past years.

He explained that more than 400 exhibitors are partaking in the exhibition, representing 28 countries, 60% of them are local companies and the remaining percentage are foreign companies, comprising 160 companies. 350 buyers were also invited from many countries such as Saudi Arabia, Jordan, the Emirates, Palestine and Africa.

Regarding the Edita Food Industries Company, whose board of directors is chaired by Berzy, he said that the company aims to add a new production line to its factory in Morocco, with investments amounting to EGP 50 mn in the middle of this year.

He explained that the factory includes a line for the production of cakes (Hohos), and new products are scheduled to be produced during the next year. The factory is the company's first investment outside Egypt. It was announced in 2015 and has been under construction since 2018 to officially open in November 2021, with investments of EGP 200 mn and a production capacity of 2,700 tonnes/year.

He added that the factory contributes to the company's exports to West African markets, as most of the company's products have a short shelf life, while shipping from the factory in Egypt is a difficult process, causing half of the validity period to pass before the product reaches the importer.

He added that the company is looking to invest in markets that enjoy economic stability and encourage foreign investment, which the Moroccan government has succeeded in by attracting large and different industries such as the automobile industry, feeding industries, and food industries while granting great facilities to investors.

Berzy said that the company plans to set up factories in one or two countries during the next five years, refusing to disclose those countries until the study is completed.