SCZone half-year revenues surge by 32% to EGP 5.7 bln - Economy

Al-Ahram Weekly

30-01-2025

The net revenues of the General Authority of the Suez Canal Economic Zone (SCZone) have surged to approximately EGP 5.7 billion during the first half of fiscal year (FY) 2024/2025, a 32 percent increase from the EGP 4.3 billion recorded during the same period in FY2023/2024, according to a cabinet release on Thursday.
This exceeds the EGP 5.2 billion revenue forecast for FY2024/2025 by eight percent.
The announcement came during the authority's fourth meeting in FY2024/2025.
During the meeting, SCZone's board of directors reviewed the authority's financial performance during the first half of the fiscal year, covering the period from 1 July to 31 December 2024.
Port revenues accounted for 77 percent of the total revenues, while other activities contributed 23 percent. This marks a significant increase from their average share of eight percent over the past five years.
Moreover, the board approved the budget estimated for FY2025/2026.
SCZone approval of $1.8 bln projects
The authority also approved four new projects in the textiles and metals industries, with a total investment of $1.8 billion.
Among the major projects approved was Shenfeng Egypt, which will establish the largest integrated industrial complex for metal industries in the Sokhna area.
This project, which spans 3.75 square kilometres and will serve the automotive and home appliance sectors, will cost a total of $1.65 billion.
It will be implemented in two phases: the first, valued at $813 million, will span two million square metres and create 4,419 direct jobs; the second, valued at $835 million, will span 1.75 million square metres and offer 3,575 jobs.
The SCAone also approved the expansion of the Eroglu Garment project by the Turkish holding company Eroglu Global.
The new Eroglu Knitting facility in Qantara West will focus on producing ready-made garments and denim products.
This project will invest over $40 million and create over 2,000 jobs. Operations are expected to begin by the end of March 2025.
Its second phase, valued at $180 million, will cover 274,000 square metres, generate 5,000 direct jobs, and export 70 percent of its production.
Furthermore, the authority's board approved the Shanghai Honour project, a Chinese manufacturer of home textiles, including carpets, curtains, bed covers, and blankets.
This project, which will invest $3.5 million, will be located in Qantara West. It is expected to create 300 direct job opportunities and will focus on exporting 100 percent of its production.
Additionally, the Jiangsu Guotai project, another Chinese investment, will produce ready-made garments in Qantara West.
The project, which will span 21,000 square metres and require a $10 million investment, will create 2,000 jobs and focus on exporting 100 percent of its production.
The board also approved an agreement with Petrosafe Company to carry out marine oil spill control operations at Adabiya, El-Khobar, and El-Tour ports, aligning with SCZone's environmental safety commitment.
It also ensured compliance with international agreements and Egypt's national emergency plan for combating marine oil pollution.
SCZone Chairman Walid Gamal El-Din provided an update on the authority's promotional efforts as of the midpoint of FY2024/2025.
During that period, the authority secured 66 new projects across various sectors, with total investments amounting to $1.755 billion, and created approximately 1,600 new job opportunities.
These projects comprised 54 newly established ventures and 12 expansions of existing projects.
This reflects SCZone's continuous efforts to enhance its business environment, which state institutions and the private sector support.
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