EGYPT – Egyptian UG Medical Company has signed an exclusive partnership agreement with Japan’s Zixi to set up a multi-million-dollar medical equipment manufacturing factory in Cairo.
The agreement was signed by Mohamed Abdel Karim, Chairperson of the Industrial Development Authority (IDA), and representatives of both the Egyptian UG Medical Company and the Japanese Zixi company.
The two companies plan to invest 600 million Egyptian pounds (approximately US$19.42 million) in establishing a new medical device manufacturing factory at the Industrial Development Authority’s Kattameya Industrial Zone.
Spread across an area of 3500 square meters in IDA’s Kattameya Industrial Zone, the new manufacturing plant will be strategically positioned in the heart of a leading business environment with superior infrastructure provisions.
The new manufacturing plant will focus on producing equipment for medical laboratory tests, analysis equipment, and medical supplies to cater to both domestic and regional markets.
UG Medical Company’s market knowledge in the sales sector of medical lab equipment will combine with Zixi’s industry expertise to boost domestic production of medical equipment and laboratory supplies.
It will build on the Egyptian company’s goal of developing well-designed, high-quality medical products to meet the evolving needs of hospitals, clinics, and laboratories.
Through this agreement, the Japanese company is set to provide the highest global technologies and expertise to support the production of laboratory medical devices at the factory in the Kattameya Industrial Zone.
As part of this new agreement, the Industrial Development Authority will provide land to the two strategic partners to set up their new factory after completing all permits.
It is part of the Industrial Development Authority’s strategies to bring in domestic and foreign investments by implementing great incentives and providing necessary facilities along with procedural development activities.
Once the new manufacturing facility is fully operational, it is expected to allocate 70% of its production for exports to foreign markets in different regions, including South America, Africa, and the Middle East.
The IDA-supported construction project is anticipated to create job opportunities, boost Egypt’s manufacturing capabilities and capacity, and in turn, accelerate economic growth in the country.
This project has the potential to pave the way for similar high-tech projects in the Egyptian market at a time when the medical industry sector is one of Egypt’s vital industries.
Moreover, the Egyptian Government is taking steps to facilitate a “business-friendly” environment and improve the industrial investment climate to attract additional domestic and foreign investment requests.
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