Egypt denies plans to sell spinning, weaving factories

Egypt’s Cabinet Media Centre on Thursday dismissed reports that the government intends to sell state-owned spinning and weaving factories, reaffirming that there are no plans to privatise them after billions of pounds have been invested in their development.

The Ministry of Public Business Sector said the national development project covers around 60 factories and service buildings across seven governorates, using advanced technologies and international quality standards, while retaining full state ownership.

The initiative, implemented by the Cotton, Spinning, Weaving, and Ready-Made Garments Holding Company, involves seven major companies: Misr Spinning and Weaving Co, Dyeing in Kafr El-Dawar, Misr Shebin El-Kom Spinning & Weaving, Dakahlia Spinning & Weaving Co, Damietta Spinning & Weaving, Upper Egypt Spinning & Weaving Co, and Misr Helwan Spinning & Weaving Co.

The ministry said the project aims to revive the sector, restore Egypt’s global leadership in spinning and weaving, increase production capacity, attract investment, and boost exports. It also highlighted opportunities for private sector participation in managing and operating new and upgraded factories to maximise efficiency and competitiveness.

The first phase, completed by the end of 2024, included three factories at Misr Spinning & Weaving in El-Mahalla El-Kubra—Spinning Factory 1, the largest of its kind worldwide, Spinning Factory 4, and Textile Preparations Factory 1—along with a new power station.

The second phase involved Misr Shebin El-Kom Spinning & Weaving, with its new Factory 2 entering trial operations, while final works at Misr El-Mahalla included four new factories: Spinning Factory 6, Textile Preparations Factory 2, the Textile Complex, and the Dyeing Complex. The third and final phase, covering the remaining companies, is progressing steadily.