Investment and development company, Hassan Allam Utilies, is teaming up with industrial development specialist Agility to construct a logistics park and warehousing facilities in a venture dubbed YANMU, according to a company statement in March.
The project is set to be a storage space for products across sectors including e-commerce, manufacturing, energy, health care, and pharmaceuticals, among others.
Envisioned to make up about 270,000 square meters, the park will be constructed on the new Cairo-Suez Road. It will have easy access to Ring Road and will be located at a distance of 15 km from Cairo Airport.
YANMU will be made up of two parks, East and West, predicted to launch in August 2023 and August 2024, respectively.
“When it comes to warehousing capacity and distribution capability, Egypt is underserved. YANMU will fill the gap with a modern, efficient infrastructure that is going to power growth domestically and strengthen Egypt’s roles as a vital trade partner and crossroads,” Agility Vice Chairman, Tarek Sultan, said in a statement.
Logistics infrastructure in Egypt
The infrastructure of the country’s logistics sector is a focal point to improve trade within Egypt. The North-African country is considered a bustling cargo center within the continent, and as such the logistics industry is one that is at the top of the agenda for economic growth, as per a report from Oxford Business Group, released in 2021. Moreover, geographically Egypt holds a prime location between Europe, the Middle East, and Africa.
As of 2014, Egypt has been working on upgrading its infrastructure with a 10-year transport plan estimated to cost $101.7 billion. The plan was launched with the intention to turn the country into an international center for transport and logistics.
Egypt’s advantage in terms of the role it can hold within the logistics sector has always been hailed as a key factor in the country’s economic recovery as the country also boasts of major air and maritime networks, according to Egypt’s General Authority for Investment and Free Zones.
In 2022 alone, there were investments in over 80 projects within the sector, having an estimated cost of $ 6.6 billion, according to an article published by Zawya in October 2022.
Moreover, Agility made an announcement in that same month that it would be funneling about $60 million to go toward the operational dimension of logistics centers located in the Suez Canal’s Economic Zone. The announcement, which was made at the Kuwaiti Economic forum, is set to facilitate the movement of goods and decrease costs for international companies and investors within the Ein Sokhna industrial zone, and East Port Said.
During that same time period, an added $400 million that would go towards the logistics and transportation sector in Egypt, was approved by the World Bank’s Board of Executive Directors, according to a statement published in October 2022.
