SUPPLY CHAIN
The Egyptian economy is undergoing a significant transition . The adoption of new reforms has eradicated a number of government subsidies as part of the International Monetary Fund ’ s ( IMF ) Extended Fund Facility ( EFF ), which came into force in November 2016 . The EFF arrangement of US $ 12bn has led to sweeping reforms in Egypt , which have notably resulted in increased foreign investment , reduced government spending and a boosted overall economy , providing a multitude of advantages for its citizens .
However , with decreasing annual core inflation of up to 22 %, according to TradingEconomics , such economic reform has significantly impacted the transportation industry , particularly with the volume of imports and exports within the country .
“ There has been a big shift in the trade balance between imports and exports ,” acknowledges Maersk Line Egypt ’ s Managing Director Nabil Samy . “ Imports were up to 70 % of our business , which has now completely changed . It has been quite a change for the whole market and its dynamics .”
According to the Ministry of Trade & Industry , exports rose exponentially in 2017 to $ 20.4bn , whilst imports fell 14 % from the previous year .
“ There has been a big shift in the trade balance between imports and exports . Imports were up to 70 % of our business , which has now completely changed ”
– Nabil Samy , Managing Director www . supplychaindigital . com 195