by LIN Yang

CAIRO — Egypt could provide Chinese manufacturers with a base for serving overseas markets and, eventually, exporting some products back to China, according to the chairman of the China Committee at the Egyptian Businessmen's Association.

Ahmed Mounir Ezz El-Din said Egypt's location could help manufacturers reach African and Middle Eastern markets and respond to overseas buyers seeking faster deliveries.

"The world is changing, and the proximity to the market is one of the fundamentals now," he told Jiemian News.

He described China as "one of the biggest investors in Egypt" and said more than 3,200 Chinese companies were operating in the country, citing official Egyptian investment records.

Textiles illustrate both the appeal of producing in Egypt and the gaps manufacturers encounter.

Chinese garment makers have established production in the country, Ezz El-Din said. Buyers in the United States and Europe want fast deliveries, sometimes in smaller shipments, making Egypt's location an advantage in his view.

"We are close and we can ship fast," he said.

But local suppliers cannot always provide the capacity those factories need. Some Chinese textile manufacturers are bringing suppliers with them to fill the gap, he said.

"We don't have enough sourcing," he said.

Egypt is seeking more Chinese investment further upstream in the textile supply chain, including spinning and weaving, to support garment production, he added. A delegation of Chinese companies is expected to visit Egypt in October to explore investment opportunities in the sector, according to Ezz El-Din.

Chinese companies are also supplying equipment and technology for other industries. Ezz El-Din cited vehicle assembly lines and industrial machinery as examples of Chinese technology being used in Egypt.

Beyond serving overseas buyers from Egypt, Ezz El-Din sees the possibility of Chinese companies producing there for export back to China.

Some Chinese factories had told him that producing in Egypt was cheaper and could make their products competitive in other markets, including China, he said.

The savings could be particularly significant when companies processed locally available raw materials in Egypt rather than transporting them to China, he added. For products such as building materials, local processing could reduce the cost of moving and storing bulky inputs, as well as save time.

Ezz El-Din said he saw Chinese manufacturing investment as complementary to Egypt's local industry. "It's an integration, it's an addition, it's a win-win for both parties," he said.