Economic Engine in the Desert -- Interview with China-Egypt TEDA Suez Economic and Trade Cooperation Zone

Economic Engine in the Desert -- Interview with China-Egypt TEDA Suez Economic and Trade Cooperation Zone
Source: Xinhua News Agency

Reporter: Wu Dani/Ahmed Shafiq

At the beginning of 2021, a set of data on the China-Egypt TEDA Suez Economic and Trade Cooperation Zone (TEDA Cooperation Zone) is eye-catching.

According to data provided by the Economic and Commercial Office of the Chinese Embassy in Egypt, as of the end of December 2020, the project had attracted a total of 96 enterprises, with actual investment exceeding US $1.25 billion, cumulative sales exceeding US $2.5 billion, and payment of nearly US $0.176 billion in taxes and fees, directly solving the employment problem of about 4000 people and industry-driven employment of more than 36000 people. Since the inauguration of the second phase of the cooperation zone in 2016, the number of enterprises settled in, the amount of taxes and fees paid, and the number of employed people have been constantly refreshed in the past five years, which has become an economic engine standing in the Egyptian desert.

Founded in 2008, the TEDA Cooperation Zone is located in the port of Sukhnai Springs in Suez Province, Egypt, more than 120 kilometers away from the capital Cairo. Standing in the wide, bright and towering warehouse of TEDA Royal bonded warehouse in the cooperation zone, Mahmoud Aslan, manager of the warehouse logistics bonded department of TEDA Special Zone Development Company in Egypt, is proud to be able to participate in the formal operation of the first Chinese bonded warehouse project in Egypt.

"The pressure and challenges to complete this project in 2020 are really great." Aslan seemed to return to the busy and anxious tense time, but after a moment he smiled and said, "But we are done, and it is done beautifully."

The TEDA Royal bonded warehouse project covers an area of 130000 square meters and is constructed in two phases. The current phase has been completed and officially put into use. The project will provide a full range of bonded logistics services integrating logistics, customs clearance, bonded warehouse management and value-added services for manufacturing enterprises in the cooperation zone and surrounding areas.

Li Chentao, assistant to the executive director of the Egyptian TEDA Special Zone Development Company, told reporters that by extending the park's functions in commerce, logistics, warehousing, production, and living supporting services, the bonded warehouse will achieve deep integration with China's cross-border e-commerce and Egyptian local e-commerce. Finally complete the construction of an international marketing service platform to better serve the trade development between China and Egypt.

"The past year has been very special. We should not only focus on epidemic prevention, but also on production." Lin Xiangchun, general manager of Egypt Yanjiang New Materials Co., Ltd., who settled in the cooperation zone soon, could not hide the pressure. Entering the factory area, reporters and employees alike need to disinfect single rooms, wash hands and measure temperature, and shine shoes and hats.

Efforts will eventually pay off. Lin Xiangchun said that with the joint efforts of everyone, the operating profit of the company's main production business in 2020 increased by 22% compared to 2019.

Ahmed Radwan, executive president of Egypt's TEDA Investment Company, said that in order to improve the supporting facilities of the park, the "Go Bus" commuter system will be introduced in the cooperation zone in 2020, which will not only solve the transportation problem of personnel in the zone, but will also further promote the urbanization process of the cooperation zone.

In addition, the cooperation zone has also launched the "night tour economy" project to upgrade the park environment as a whole. At present, the first phase of lighting art lighting project has been completed, and the next step will be to plan to create a nightlife gathering area full of humanistic feelings and fashionable beauty.

After years of construction, the China-Egypt TEDA Suez Economic and Trade Cooperation Zone has become an industrial park with the best comprehensive environment, the largest investment density, and the highest unit output in Egypt. It is welcoming enterprises from all over the world to settle down.