Egypt has recently entered into a memorandum of understanding (MoU) with the South Korean company #STX to develop the Mediterranean #PortofJarjoub and its affiliated economic logistics zone, according to a Cabinet statement on Tuesday.
The MoU was signed by Kamel El-Wazir, Egyptian Minister of Transport, and Sanjun Park, Chairman of the Board of Directors of STX.
El-Wazir emphasized that this MoU forms part of President Abdel-Fattah El-Sisi's vision to establish Egypt as a global center for trade and logistics.
The primary objective of this partnership is to build grain silos at Jarjoub, along with a factory to reassemble used cars from Korea and Japan for re-export to African countries.
Plans also include the construction of an oil pipeline connecting Libya to the port of Jarjoub.
This MoU marks the third significant project within the economic logistics zone. The first project involved the establishment of a grain processing and trading station, while the second project focused on expanding green hydrogen investments.
El-Wazir highlighted #Egypt's commitment to the creation of economic zones, which play a vital role in attracting investments and fostering economic growth, particularly in the industrial and logistics sectors.
Given Egypt's strategic geography with shorelines on both the Red and Mediterranean Seas, the country is actively developing its seaports and establishing free zones to attract investments and facilitate import-export activities.
Key Mediterranean ports in Egypt, including Alexandria, Damietta, and Port Said, along with significant Red Sea ports like Ain al-Sokhna, Suez, and Nuweiba, are major contributors to Egypt's international trade volume. In fact, a June 2023 report by the Egyptian Center for Strategic Studies (ECSS) revealed that approximately 90 percent of Egypt's trade volume is conducted through seaports.
Highlighting the strengthening ties between Egypt and South Korea, the Ambassador of South Korea to Egypt Kim Yonghyon shared that Korean investments in Egypt surpassed $800 million in 2022, with bilateral trade reaching $3.2 billion.
Egyptian exports to Korea reached a record high of $1.69 billion in 2022, reflecting an increase of 161 percent compared to the previous year, as reported by the Cairo office of the Korea Trade-Investment Promotion Agency earlier this year.
Source: English Ahram
