Trade ministry approves new rules of Egypt’s export support programme

Egyptian Export Support Development Fund approved seven axes of state’s export support programme that were scheduled to be applied in July 2016, trade minister stated Monday.

Minister Tarek Qabil stated that the first axe focuses on securing local manufacturing by raising the proportion of local components and increasing the added-value. Thus, increaseing support funds granted to exporters.

He made these remarks during his meeting with fund’s board of directors in the attendance of Finance Minister Amr EL-Garhy, Tourism Minister Yehia Rashid, and Head of Federation of Egyptian Industries (FEI), Mohamed El-Swedy.

Axis number two includes promoting export infrastructure export, and supporting shipping lines, exports to African countries, and Egyptian exhibitions in Africa, stated the minister.

The third axis encompasses developing Upper Egypt and border areas, as the ministry is granting an additional 50% of the basic export support to factories located in these areas.

The Export Fund is currently aiding 100 companies and factories in Upper Egypt and aims to expand the number of companies benefitting from it in the mentioned areas.

The fourth axis includes increasing exports as it targets stimulating exporters to achieve rapid growth in exports by providing an additional fund for the increase in exports. The junior exporters would fund more than the senior exporters.

Qabil added that the fifth axis will focus on developing small enterprise export by granting  junior exporters an additional 2% on the basic support fund, 60% off the cost of specialised quality certificates, and support in the form of 80% of costs in foreign exhibitions.

He clarified that the sixth axis is enhancing access to Africa and other new markets by awarding the exporters to African countries an extra 2% on the basic support rate, and the government would lift 50% of the cost of shipping to Africa.

According to the sixth axis, exporters to the new markets will be granted an extra 50% on the basic support rate, especially those to the markets of Russia, China, and South America.

Moreover, the seventh axis includes raising the quality of Egyptian industry through specialised quality certification programmes, the minister stated.