Olive Mall for Food Industries Company targets to invade Oman’s market during the coming period to increase its exports to the Arab and Gulf markets to 700 tonnes of pickles a year.
Alaa Badawi, chairperson of the company, said that Olive Mall is working on increasing the annual production capacity in order to access Oman’s market by 100 tonnes a year.
Badawi added that the company’s current total production reaches 600 tonnes of pickles routed to five different markets including: Kuwait—which receives 50% of the company’s production per year—followed by Saudi Arabia, Jordan, and Algeria.
Badawi pointed out that the company’s sales last year registered EGP 1.3m, and that it targets to maximise it by the end of this year to reach EGP 3m.
He explained that international exhibitions have particular importance, as it increases the value of Egyptian products abroad through publicising in new markets, and help increase export contracts by meeting customers abroad.
Badawi called for paying attention to establishing food industry exhibitions in Arab states to allow companies expand in the Middle East, which is considered the main market for Egyptian food industries.
He explained that the industry in Egypt has suffered several obstacles in the past period, and requires a good plan from the state to confront them, and ease the burdens. Therefore, companies will be able to increase production and reduce costs by more than a 30% ratio.
He pointed out that high energy and transportation costs, the US dollar shortage, and the recently applied Value-Added Tax (VAT) Law are the main challenges facing the industry. He called for providing elements of attraction to increase investments, in order to expand exports.
He said that most of the required raw materials for manufacturing products are being imported at high prices, especially in the last period as a result of the US dollar shortage experienced by the market.
Badawi pointed out that more than 70% of the packing materials necessary for pickles manufacture are imported.