The Egyptian Swiss Group for Pasta, Milling, Concentrates and Grain Trading is aiming to grow its exports by 10% to 15% across its pasta, flour, tomato sauce, and grain businesses. The company, which celebrates over 30 years in operation, currently accounts for 10% of Egypt’s pasta exports and 15% of its flour exports. Ahmed El-Sebaie, the group's General Manager, highlighted the company's diversified business model, which spans grain trading, wheat milling, flour production, and manufacturing of pasta, tomato paste, concentrates, and sauces. This integration has helped the group navigate challenges like exchange-rate volatility and global market disruptions.
El-Sebaie emphasized the importance of market diversification to mitigate risks associated with geopolitical tensions and supply chain disruptions. The group exports to approximately 60 countries, with 80% of its production allocated to international markets. Despite this focus on exports, the company maintains a presence in the domestic market through brands like Rawaa and Dahsha, as well as its cooperation with the Ministry of Supply under the Zina brand.
The group is targeting expansion into new export markets, particularly China, European countries, and the United States. El-Sebaie noted recent orders from several European markets amid a recovery in demand for certain Egyptian products. He stressed that the success of participation in international exhibitions should be measured by the quality of potential customers and the value of actual contracts rather than visitor numbers alone.
Addressing production costs, El-Sebaie mentioned that global wheat prices had increased by approximately $50 to $70 over the preceding six weeks, raising flour and pasta production costs and putting pressure on profit margins. The group relies entirely on imported wheat for its production operations, as locally grown wheat is directed to the government. The company is working to diversify its import sources to mitigate disruptions in global markets.
El-Sebaie also highlighted the group's interest in expanding its tomato processing operations by developing new products and increasing production of ready-made sauces. He noted that improving agricultural production, harvesting, transportation, and storage systems could enhance processing efficiency and reduce waste. Additionally, the group is assessing new solar energy projects across its industrial facilities to reduce electricity costs and minimize environmental impact.