Zara, Bershka’s owner suspended from exporting products to Egypt

Spanish multinational clothing company Inditex, which owns popular fashion brands such as Zara, Bershka Massimo Dutti and Pull & Bear, has been suspended by General Organization for Import and Export Control (GOEIC) from exporting its products into Egypt.

The company has violated some of the registration conditions stipulated in Government Decision No. 43 of 2016 on the registration of foreign factories.

Inditex was suspended along with 45 other foreign companies during the August, bringing the total of suspended companies to 224, after they have failed to fulfill the official documents required to renew registration with the authority.

Upon Government Decision No. 43 of 2016, all eligible exporters to Egypt – i.e. factories, companies, trademark owners – should be registered with GOEIC. The commercial imports are not accepted into Egypt unless they are produced in the registered factories, or come from trademark-owning companies or distribution centers that are registered in this record.

On the other hand, Inditex booked a net loss of €409 million (US$465 million), after sales tumbled to €3.3 billion from €5.9 billion in the same period a year on the aftermath of Coronavirus pandemic