اﻟدراﺳﺔ اﻟﻣﺻرﯾﺔ اﻟﮭوﻟﻧدﯾﺔ ﻟﻟﻣﯾﺎة

Transcription

اﻟدراﺳﺔ اﻟﻣﺻرﯾﺔ اﻟﮭوﻟﻧدﯾﺔ ﻟﻟﻣﯾﺎة
Water Mondiaal Egypt Study 2011
‫الدراسة المصرية الهولندية للمياة‬
Quick scan and market analysis of the
Egyptian water sector
challenges and opportunities for the
Dutch private sector
Front page
Pharaoh Dancing Party. Pretty girls dancing whilst playing the musical tambourine, the Queen holding a beaker of Nile water;
copy hand painted on papyrus. The original scene is in the tomb (QV66) of Queen Nefertari in the Valley of the Queens, West
Bank, Luxor, Egypt. Nefertari II [ c. 1290 BC - c. 1254 BC] was the first wife of pharaoh Ramesses
Water Mondiaal Egypt Study 2011 3.6
‫الدراسة المصرية الهولندية للمياة‬
Quick scan and market analysis of the
Egyptian water sector
challenges and opportunities for the
Dutch private sector
researched and written by Occidental Oriental Consult
www.oo-consult.com
Cairo, Den Haag 2011
Contents
1.
In summary
1
2.
Study objectives and approach
3
3.
What the Netherlands can, and wants, in Egypt
5
3.1
3.2
3.3
3.4
3.5
3.6
4.
Holland BV vs global moral responsibility
Egypt on the threshold
Water Mondiaal; again another program?
A short water history of two countries
What Water Holland thinks about Egypt
What Holland BV thinks about Den Haag
Water in Egypt; a helicopter view
4.1
4.2
4.3
4.4
4.5
5.
Water issues
The Egyptian Public Water Sector; organisation
Constraints and concerns
25th January Revolution and the Arab spring
Where to: the Egyptian economy
Egyptian market; segmentation
5.1
5.2
5.3
5.4
5.5
5.6
5.7
5.8
5.9
6.
Sector wide
5.1.1.
Studies & Services in Water Resource management
5.1.2.
New water resources studies, development
5.1.3.
Hydraulic structures in the Nile and distribution canals
5.1.4.
Canal and drain infrastructure
5.1.5.
Coastal protection
Urban Water & Wastewater treatment
5.2.1.
Public Private Partnerships
5.2.2.
MHUUD W&WW – State funded investments
5.2.3.
MHUUD W&WW - Multilateral and foreign sponsorship
5.2.4.
Private initiatives and overlooked areas
Desalination
The uniformed branches
Agriculture and horticulture
5.2.5.
Irrigation Water management
5.2.6.
Irrigation and farming
5.2.7.
Water services to the food industry
5.2.8.
Aquaculture
5.2.9.
Supply chain improvements
5.2.10. Agricultural product re- selection
Industry
Home Consumer market
Water education
Getting in touch and finding partners
About money
6.1
6.2
6.3
6.4
Cost base Holland: Expensive!
Usual business not as usual
Dutch development cooperation: a new chapter
Funding: a line-up of Dutch Government programs
6.4.1.
Partners voor Water- Springboard for international ambitions
5
5
5
6
7
12
14
14
19
21
23
27
29
31
31
34
36
38
41
43
47
50
52
54
56
57
58
60
62
63
64
66
68
69
73
73
74
75
75
75
77
79
79
6.5
6.4.2.
ORIO- The Facility for Infrastructure Development
6.4.3.
PSI- the Private Sector Investment programme
6.4.4.
PUM- Netherlands Senior Experts
6.4.5.
MMF- Matchmaking Facility
6.4.6.
CBI- Centre for Promotion Imports from Developing countries
6.4.7.
BOCI- Domain International Cooperation
6.4.8.
DECP Dutch Employers’ Cooperation Programme
6.4.9.
FMO- Financierings Maatschappij voor Ontwikkelingslanden
6.4.10. NBSO- Netherlands Business Support Offices
From Innovation support to Water support
79
80
80
81
81
81
82
82
82
83
7.
Working in the Egyptian market place
85
8.
Concepts for action
93
9.
Acronyms & translations
96
10.
Environmental legislation
98
11.
Selected organisations in Egypt
99
11.1
11.2
11.3
11.4
11.5
11.6
11.7
11.8
11.9
11.10
11.11
11.12
Professional business advisors
Egyptian government, Water related (semi-) government organisations
Government – Agriculture, Environment, Finance
International Organisations
Financial Institutions and multilateral donors
Knowledge Institutes
Consultants and consulting engineers
Contractors
Manufacturers of Equipment
Agricultural producers and large farms
Egyptian companies in water equipment business, agents
Home appliances
101
102
106
107
109
110
111
115
121
122
124
136
1.
In summary
Autumn 2011, when this study has been published, Egypt’s January 25 Revolution
will be nearly a year old. With a newly elected Parliament and President, the
uncertainty about the direction of the future that has stalled decision making will
have made way for the need to catch up and make up. Egypt’s population has
grown with another 1 million, pent-up demand for water quality and sanitation has
become more urgent than ever, hoarded cash will look for export driven industry
investments and Egyptian decision makers will look for partners trusted of old.
Old partners
The Netherlands is one of such old partners, with strong connections going back to
the Delta drainage projects necessitated by the Aswan High Dam. However, the
terms of engagement have changed since these days. Where earlier contracts for
Dutch consultants and contractors often came on the back of Dutch development
aid projects, the New Egypt and a Netherlands with a more results based
international development cooperation agenda call for a more competitive and
inventive approach. And, as Egyptian water engineers with hands-on “Hollandexperience” fade away and move on to retirement, engaging a Dutch firm is no
longer an automatism. As the opportunities are getting bigger, the fight for
business will be tougher. A rising Euro is no help.
Exciting opportunities
In a nutshell, the vast Egyptian market still offers exciting opportunities for Dutch
business and knowledge owners, but demands hard work and flexibility from those
who want to be successful.
-
Mega construction projects, such as Nile hydraulic structures, PPP sanitation
projects and irrigation improvement efforts are big value contracts for local and
global contractors. Interesting niches emerge in the supply of specialised
equipment and knowledge as subcontractor or adviser.
-
Over the years, Dutch consultants have made many in-depth studies to support
the Egyptian Ministries of Water and Agriculture in the development and
optimisation of resources for a limited amount of water. As new priorities
move financing for such studies from the Dutch Government to multilateral
agencies like the WorldBank and the EU, the involvement of Dutch consultants
becomes harder competitive work.
-
Egypt’s largest water market is undoubtedly in sanitation: sewage and
wastewater treatment plants. Piped water supply has arrived at nearly every
home and the emphasis is now on mitigating health hazards and returning used
water to the system for repeated use. With critical budgets and an enormous
task ahead, Egypt offers opportunities for technologies that can reduce
construction time, investment cost and operation expenses, and improve
quality. Sanitation solutions are needed in a diverse range from just a few 100
households to mega city answers.
-
Desalination, not just by reverse osmosis, will become increasingly important as
urban expansion and tourism populate the coastal areas. Ironically, while there
is keen demand for new technologies like low energy and solar desalination,
1|Page
the introduction of cost reducing hi-tech ultra filtration, seen as “difficult”,
meets with hesitation.
-
Egyptian Industry has not been a major investor in water treatment technology
and equipment, but this is changing. Improved post revolution law
enforcement, the reduction of energy and water subsidies and export
customers demanding clean and responsible products all converge to make
manufacturers pay more attention to the water they use and the waste water
they dispose of.
-
Agriculture is Egypt’s largest consumer of water. With water supplies hitting a
ceiling, demand for efficiency improvements abound. This includes getting
water in the most optimal way to the crop: irrigation and getting the crop in the
best way to the consumer: the supply chain. Non traditional methods and crops
suitable for desert reclaimed land and aquaculture show equal promise.
-
Climate change effects are reaching Egypt, particularly on the Mediterranean
coast and answers are needed for creeping salinisation of agricultural land and
protection of the shores.
Transfer and development of know-how
There is more to do in Egypt, both with the public and the private sectors, in the
transfer and development of know-how, in localising the production of equipment
and in involving the population at large in the realisation that water is a scarce
resource and can no longer be taken for granted.
Traditional engagement models are unlikely to work as well as before and the
Dutch seller will have to work harder for his contract. Developing a visible presence
and reputation in the Egyptian market, localising production and maintaining a
continuum of such presence and the quality he is seen to bring to his clients and
improving his competitiveness in price and service are the minimum work he will
have to do. The closing Chapter of this study suggests several action items to this
end.
Tahia Masr!1
Eric Zoetmulder, Egbert Ottevanger
Cairo and Den Haag, August 2011
This Study has been prepared by Occidental Oriental Consult for the exclusive use and disposition of AgentschapNL
and the Netherlands Water Partnership, of Den Haag, the Netherlands. Copyright ©2011, is retained by Occidental
Oriental Consult. No part of this document may be shared, reproduced, or otherwise commercialized, wholly or
partially, in any way, shape, or form without the express and prior written consent of any of the Parties above.
1
2|Page
Long live Egypt, the catchphrase of the 25 January Revolution
2.
Study objectives and approach
Egypt and the Netherlands have a long history of development cooperation,
particularly in water, with many projects successfully completed and an intimate
ongoing collaboration at many levels of government, knowledge institutes, ngo’s
and the private sector.
Egypt is one of the 5 focus countries of Water Mondiaal, the interdepartmental
program of the Dutch national government, where the Netherlands aspire to a
long- term and mutually beneficial relationship in the water sector, with sustainable
technical and economic cooperation and exchange of knowledge.
Egypt today is in a difficult post-revolution phase of evaluating the past and
determining its future. This is the moment where enormous opportunities emerge
for those who come forward with true value. As traditional economic and aid
relationships are reviewed and often found wanting, our Dutch tradition of practical
and transparent dealing can offer much appreciated alternatives. A classical winwin!
In the framework of Water Mondiaal, Agentschap NL has engaged Occidental
Oriental Consult to evaluate current and future market opportunities in the
Egyptian water sector for Dutch (private) water sector companies; to supply Dutch
products and know-how and to grow competitive advantage at home and abroad
with Egyptian outsource partners. In addition, we have been asked to show how
knowledge institutes, ngo’s, utilities, waterboards and other non-profit participants
in the Dutch water sector can participate and contribute in conjunction with private
sector initiatives.
While we look at large nation-scale projects like the new PPP wastewater plants,
the approach of the study is to work at a micro level, showing where owners and
manufacturers of specialised technology, equipment or know-how can find a
profitable niche. After all, being the regular supplier of an indispensable component
or process know-how can be much more rewarding than fighting a margin reducing
competition for a jumbo contract.
We have approached this as a classic market survey, albeit for hundreds of
principals.
To achieve a reasonable chance at finding “matches” we started asking the Dutch
private sector what they wanted to do in Egypt and where they thought their
expertise would be most appreciated. Over 60 Dutch companies, many with
firsthand experience in Egypt, have helped us gain such understanding.
With their views and wishes in mind, we have surveyed “water in Egypt”. Some 400
public and private organisations were individually assessed in phone surveys, we
met and interviewed over 100 individuals and scanned over 2000 pages of reports,
webpages and printed catalogues. The nett result of over 200 relevant and credible
Egyptian organisations and their decision makers can be found in Chapter 11 of this
study.
We owe much to those Dutch companies who have built successful operations in
Egypt. They have, without hesitation, shared their experiences and given us the
benefit of their real-life experience.
3|Page
The time of the study, just after the 25 January Revolution, posed its own
challenges and advantages. Uncertainty about government and government policy
to come, makes for a most hesitant decision making process, particularly in the
bureaucracy2, but it also opens doors and unexpected confidences as we showed
that a Dutch friend is a friend, also in times of need.
A study like this is never completed. Business is an exercise in dynamism which
makes every day different and every opportunity unique. We want readers to look
for the essence of success, for true competitive advantage and to form their own
opinions.
Our thanks go to the many people in Egypt and the Netherlands who have given
their time to help us compile the information we present in this study, civil servants
of all ranks, business people and of course the staff at EKN.
Here in Cairo, we continue work at the fascinating junction of true national need
and enormous international growth opportunities.
2
Unlike the Netherlands, where Ministries carry on with the tasks at hand, the Egyptian Civil Service
works under direct instructions from the President and the Minister. With the current caretaker
Cabinet, numerous policy issues have been left on the table.
4|Page
3.
What the Netherlands can, and wants, in Egypt
3.1
Holland BV vs global moral responsibility
Development cooperation in The Netherlands is changing. Where the driving force
was once the support for the less fortunate in other parts of the world – moral
responsibility- development aid has become development cooperation. Donors
consider beneficiary countries and organisations as partners of equal value and the
interests of both donor and beneficiary can now be taken into account.
Then, there is the growing conviction, also in the Netherlands, that intrinsic causes
to problems in developing countries require a greater degree of transparency and
accountability. Those disenchanted with aid say that the only solution for these
countries is intrinsic economic growth. In other words, development cooperation is
about economic cooperation.
3.2
Egypt on the threshold
Just 6 months after a popular revolt that brought a detested regime to its knees,
the political future of Egypt is still very uncertain and the country holds it breath
while parties and interest groups line up to contest for the Presidency and
Parliament in September-November this year. This affects many government and
business activities where vital decisions are postponed till clarity of direction
emerges.
However, certain basics will not change. Egypt is the largest country and economy
(non-oil) of the Middle East and despite setbacks is still seen by many as the
compass for the Arab World. Exploring and establishing a new way of ruling
themselves, Egyptians have a large economic base with a population of 87 million, a
GDP over US$500 billion, including substantial amounts in foreign direct aid;
bilateral and multilateral, set to increase substantially post-revolution.
Once the political direction has been set, Egypt is expected to quickly reassert itself.
3.3
Water Mondiaal; again another program?
The Dutch Government's policy for international cooperation in the water sector is
focused on establishing and broadening long term relationships between Dutch
public and private sector organisations and their counterparts overseas, particularly
in Delta countries. This is Water Mondiaal.
The emphasis is on collaboration in business and knowledge. Something where a
government must act as catalyst and as facilitator; building marginal enablers and
conditions, demolishing obstacles. Unlike the days of development aid, when the
development of the recipient country was the singular goal, Water Mondiaal is all
about mutual gains.
5|Page
With Water Mondiaal, The Netherlands has opted to work together first with
countries that live in river Delta’s and share the same concerns of protection
against floods and the need to provide enough clean water for their population.
Adapting to Climate Change, reaching Millennium Goals and optimising economic
opportunities are at the core of this initiative. In Water Mondiaal, 5 Delta countries
have been selected with whom the Netherlands propose to work together for the
long term; Bangladesh, Egypt, Indonesia, Mozambique and Vietnam.
Water Mondiaal is an interdepartmental program between the Dutch Ministries of
-Foreign Affairs, -Economic Affairs, Agriculture and Innovation, -Infrastructure and
Environment. The Netherlands Water Partnership3 is supporting this program as the
liaison between the government and the broad Dutch water sector.
3.4
A short water history of two countries
The Egypt-Dutch water connection started in the 1970’s, when the completion of
the Aswan dam necessitated large scale drainage schemes in the Nile Valley and
Delta. The Egyptian-Dutch Advisory Panel on Water Management (APP) was
established in 1976, as the Egyptian-Dutch Advisory Panel on Land Drainage. It is
the oldest and first project under the Egyptian–Dutch Bilateral Cooperation
Program and has evolved and adapted to a broad-based think tank, supporting the
Ministry of Water Resources and Irrigation (MWRI). The APP is made up by
representatives of the Egyptian and Dutch public and knowledge sector in water
and agriculture4 and has a small office in Cairo and a representative office at
Wageningen University Research Centre (WUR). Its –modest- support budget is
shared between the Dutch state and Egypt. Commercial companies such as
consultants and technology firms can be invited on incidental basis, but are no
members of APP.
Over the years, numerous studies have been commissioned
by the APP, often executed by Dutch consulting firms,5 and
sometimes incorporated in national policy. The best
example is the National Water Resources Plan 2017
(NWRP), Egypt’s current water roadmap to which several
Dutch consultants have contributed. In all, the APP has
amassed an unrivalled reputation for competency,
impartiality and unwavering support to the cause of water
in Egypt.
Those who expect even more action to support Dutch
business may want to consult the commercial section of the
Embassy (EKN) or look for a private sector initiative
3
NWRP 2017
http://www.nwp.nl/en/
http://www.app-wm.org/public/current.aspx
5
http://www.app-wm.org/Liberary/filter.aspx covering topics ranging from Long Term Water
development, Skills Development in the Water sector, Aquaculture, Groundwater and, of course,
Agricultural Drainage.
Consulting firms include Alterra, Deltares, Arcadis, Royal Haskoning, SG Consult and others
4
6|Page
designed to support exclusively and proactively only those Dutch firms who truly
want to work in Egypt.
Early projects supported the Alexandria Governorate’s Water Authority, now an
Affiliate Company under the HCWW. The Dutch consultants and suppliers that were
involved at the time maintain till this day excellent relationships in Alexandria as
trusted partners.
Many of the practical water projects initiated and supported under the Egyptian–
Dutch Bilateral Cooperation Program have been executed in Fayoum governorate6.
By a quirk of nature, Fayoum is a nearly separate hydro-eco system, has a struggling
economy and a mix of small urban and rural settlement. Concentrating projects in
Fayoum has allowed a continuum of Dutch presence, the facility to objectively
measure outcomes and to grab scale economies where possible. Several Technical
Assistance Projects have been completed like The Fayoum Drinking Water and
Sanitation Project (FadWasp), which is executed in several phases, including
improvements and expansion to the potable water system, sewage and WWTP7
system and institutional reform and capacity building, started in 1990 and is
scheduled to conclude later this year8.
3.5
What Water Holland thinks about Egypt
Identifying market opportunities for the broad Dutch water sector in Egypt is a
matching of Supply and Demand. Knowing full well that Egyptian demand outstrips
Dutch supply, we have started our scan with a
review of what Dutch Business and Knowledge
In the Netherlands:
can and want to do in Egypt. To this end, an e- 60 online surveys and 32
personal interviews
survey was offered, advertised by direct email,
In Egypt
in the NWP newsletter and on LinkedIn, to
- 100 personal interviews
which 60 Dutch companies responded. In
- 300 telephone surveys
addition, 32 of these were interviewed in
personal conversations.
Of all surveyed organisations in the Netherlands, 75% has done business in Egypt
before and only 3% believes that the current post-revolution climate is a reason to
shy away from business in Egypt. Of those who have done business in Egypt before,
60% has good experiences. The survey also show that 65% of these companies
believe that now is the right time to build relationships that will lead to good
opportunities.
6
Not exclusively, other projects were executed at the central MWRI level, in Beheira governorate and
Alexandria.
7
Waste Water Treatment Plant
8
http://ikregeer.nl/documenten/blg-91537
7|Page
Have done
business before
in Egypt, 75%
Happy doing
business in
Egypt, 60%
Believe now is
the right time,
65%
Are
manufacturers,
Are consultants,
40%
37%
The Dutch companies interviewed
Disappointed
with their
experience in
Egypt, 10%
The positive reaction of Dutch water companies to the 25 January Revolution and
its promise of an Arab Spring is significant. A recent Grant Thornton “International
Business Report” indicated that Dutch business interest in the ME region is modest
at 12% of those polled, with only 14% suffering under the impact of the Middle East
turmoil. But our SME respondents are not large or multinational companies which
typically suffer more from political uncertainty9.
Dutch organisations see their product or service end-users in Egypt in several areas
of business and government..
Where the Dutch see their Egyptian Customer
Regulator,
government
17%
Water
distributionutility
37%
Irrigation,
drainage,
soil
managemen
t
46%
Generally, respondents agreed that the Dutch Water sector needs to work harder
and together to establish a recognisable face in Egypt. There is a strong belief that
the sector it highly fragmented and although this may support flexibility and
innovation, it forms a major handicap when engaging in exports. There is a general
feeling that countries like France do a much better job in this (Suez, Veolia); an
9
Smaller companies, unlike those interviewed in this Grant Thornton survey, tend to approach much
of their overseas activities on a contract to contract basis, which allows them an immediate volte face
if circumstances change. Large and multinational organisations tend to think more in terms of
investment and their overseas forays often include the acquisition and creation of local assets, such
as production facilities, human capital, adapted branding and the acquisition of competitors.
8|Page
example to emulate! The surveyed organisations were clear that, at least in
international business, working together, in a Dutch or an EU effort, made good
business sense.
The Dutch can find their partners in..
Process
design /
Consulting
16% Teaching
organisatio
n
15%
Regulator policy
maker
20%
Compleme
ntary
technology
19%
Research
Institute
30%
Some of the interviewees suggested extrapolating from the Nedeco example or the
“JSF” structure to create a joint Dutch Water “Fist”.
10
NEDECO-Model
NEDECO is an independent non-profit foundation that promotes Dutch consultancy know-how and skills in
the area of land & water, transport, infra-structure and environment. In close co-operation with the Dutch
government, NEDECO initiates pre-competitive strategies for projects and technical assistance in
sustainable development and infrastructure projects in countries around the world.
The NEDECO network consists of 9 independent leading Dutch consultancy organizations and technology
institutes (Fugro Ingenieursbureau, Alkyon Hydraulic Consultancy & Research, DHV Group, Euroconsult
Mott MacDonald, Infram, Ferendi International Management Consultants, Nea Transport research and
training, Royal Haskoning, Witteveen + Bos) working internationally in the fields of land & water,
transport, environment and infrastructure. The firms cover a much wider field of expertise, but the
network limits itself to these sectors where specific Dutch experience and public and private sector knowhow meet. With over 20.000 staff in a worldwide network of projects and offices, NEDECO can form a
wide variety of consortia, each one tailored to a particular client’s need.
JSF-concept
The Netherlands has few big companies with an international presence who can lead and bundle Dutch
know-how and skill for a global market. For the water sector, this means that competing with global
players and going for the big tech-jobs is very hard, even though the Dutch have the know-how, the skill
and the experience.
Dutch companies, on their own or jointly as a consortium, cannot afford the risks that come with big
tenders. The industry, worldwide, may be very complimentary about Dutch know-how, but when it comes
to shortlists for big projects, Dutch companies usually do not pass the bar.
The Dutch government has created a number of programs to support Holland BV competing overseas:
individual subsidies, consortia subsidies, export support, financing and more. On the ground, however, the
experience is that such programs may lead to a one-time gain with no sustainable long term effect.
Despite the respect in which Dutch water technology is held, there are simply no Dutch led main
contractors, and true commercial success remains elusive. Of course, some well known Dutch companies
supply products at a global level, but nearly always as a junior partner to a foreign market leader (Veolia,
GE, Siemens, Mitsubishi) who can handle a large project entirely on their own. And, in a tender
submission, that is a major advantage!
10
www.nedeco.nl
9|Page
Conversely, our Dutch Water industry is highly fragmented amongst many consulting engineering
companies, product suppliers, SMEs, knowledge institutes, water companies, waterboards and so on. In
other words, we are not organised to handle big projects. Just getting a team or consortium together to
bid on a tender seems impossible as the commercial risks tend to land with just one or two parties. And
what to do with firms who earn revenue from writing hours vs. those who sell product? The result is that
nothing gets done, we do not bid on the tender. Losers on the sidelines are our Dutch SMEs who miss out
on a ride on the big bandwagon. These SMEs find it very onerous to apply for the various government
programs that are supposed to help them sell overseas. Overheads to get an application going are just as
high as those of a big company, which seems counterproductive. This begs the question if these programs
indeed achieve what they promote; profitable export business.
It is worthwhile re-evaluating the entire package of subsidies; pilot
projects, promotional efforts and the rest that are to give Holland
BV a leg up abroad. An entirely new approach towards long term
sustainable profitability in overseas markets, which encourages
cooperation amongst Dutch companies, promotes overseas
investments and in the end gives the Dutch tax payer a better deal.
The co-financing agreement set up for the Joint-Strike-Fighter is an
example. For water technology this would mean that the
Government steps in to mitigate the risks of seed funding and the
commercial venture in this desired domain with a “floor”, but that
the commercial parties accept the obligation to share the rewards
of success with the Government. Such a desired domain can be a
region, like the Arab Spring countries, or a specific technology
realm. The JSF contract provides plenty of guidance and real life
11
experience to expand the concept.
Over half of the respondents are looking for reliable local partners! Of those
companies presently doing business in Egypt, 40% has no agent, distributor or
office in Egypt.
How Dutch companies work in Egypt
Has own office
9%
Relies on major
customer
12%
Has agent
39%
No rep in Egypt
40%
The interviews made it clear that Dutch consultants believe that reduced
development funding from The Netherlands means less money to engage their
expertise. Expert consultancy services, necessary as they are, are financially and
11
10 | P a g e
Our thanks to Eef Lammers ,Water4All, who suggested this idea
culturally expensive in the Egyptian market, so “donor money” is often the only way
to get the job done.
Some consultants are shifting focus to countries like Kazakhstan, where oil
revenues can pay for quality advisory work. Consultants also noted the increase of
work for EU funded projects and the administrative role played by German
development Bank KfW in addition to its function in handling German development
projects.12
It is significant that among the organisations that reacted to our call to answer the
survey, only few are in the business of producing and selling hardware. When
prompted in interviews, such companies explained that they were keen to do more
business with Egypt but face serious financial management obstacles. In smaller
deals a prepayment of 50% -at least direct production cost are covered- can offer a
solution, as letters of credit just require too much paperwork, allegedly all caused
by the Egyptian side. 13
(Semi)Public sector parties like universities and other knowledge institutions, Water
Boards and Utilities are busy in developing countries; Egypt included and are
equally concerned that less Dutch government funds will be available.
The public sector is divided and uncertain whether they can simply join forces with
a Dutch commercial company. Nonetheless, we have met public parties who take
this route and, in the process, promote Dutch business.
Annemarie de Ruiter/ Nuffic NICHE: “Projects and tenders we quote for, at the suggestion of
EKN, can be made much richer if we include the vocational know-how that business has in
abundance; just what countries like Egypt want!”
In short, the Dutch Water Sector believes that much money can be made with a
better degree of cooperation between consultants, the public sector and
commercial entities. We noted that the sector expects Water Mondiaal and NWP to
support such business development in Egypt.
The high level of interest in funded pilot projects is not surprising, nor does the
request to continue well-known activities like trade missions, but the Sector also
wants to see local seminars with a strong G2G element, which we believe can be an
excellent way to both leverage and expand the work done by the APP.
12
Large development projects co-financed by the World bank, EIB, EU, African Development Bank and
others often tender out for management services and KfW with its Cairo office in operation is often
selected as Fund Administrator. This should not be confused with bilateral German aid through KfW
13
We have checked LC procedures with 2 commercial banks in Cairo and find no major differences
with similar work in other countries. While it is true that ordinary short term commercial credit is hard
to come by in Post-revolution Egypt; this is not something the Dutch seller is involved in. In our
experience, there are no serious impediments to opening letters of credit.
11 | P a g e
Collective actions expected from Water Mondiaal
78%
56%
44%
Pilot projects Seminars in
Egypt
Outgoing
trade
missions
41%
38%
34%
Collective in
conferences
Incoming
trade
missions
Holland
Water
Branding
On the Egypt side of doing business, the sector sees bureaucracy and local business
culture as the main obstacles to good business. Respondents believe that here is a
proactive support role for Water Mondiaal, i.e. NWP. Such support could include
the provision and explanation of information about “how to do the business”,
mediation between parties ( both Dutch joint actions and Dutch to Egyptian deals)
to foster better understanding and help in negotiating sustainable win-win terms of
engagement and in matchmaking to strengthen the quality of the Dutch
participant(s) offering.
3.6
What Holland BV thinks about Den Haag
In the interviews in the Netherlands,
the official Dutch reaction to Egypt’s
“Arab Spring” was a common topic.
During the time of the interviews in
April - May 2011, the respondents
generally felt that the Den Haag
government did not take Egypt
seriously enough as they had not
seen any Minister or departmental
DG take action.
Since, the Dutch Cabinet has
announced its intentions to support the Arab Spring region to help with sustainable
transition to:
The Dutch have been supporting several programs in
water management for Egyptian farmers since the 1980’s.
- Democracy: particularly fair and free elections.
-
12 | P a g e
Restoration of the Rule of Law and protection of Human rights, with
particular emphasis on gender equality, religious freedom and protection
for minorities.
- Economic growth, through (re)building infrastructure, including the
promotion of employment opportunities.
In addition to the already substantial amounts that the Netherlands provides
through existing bilateral and multilateral channels, a new bilateral program shall
be created through which the Netherlands can contribute in specific and focused
ways to support the development of the region.
In order to enable swift project execution during the remainder of 2011, an amount
of €7.7 million has been reprioritised for the Arab region from within existing
programs. Details for 2012 and beyond are being worked out.
Nonetheless, the days of free flowing ODA14 moneys are over and the
consequences of reduced funding for development cooperation with Egypt are
perceived as worrisome by Dutch Consultancy Firms and other knowledge “ownersellers” who will get less to do. GoE15 has a firm policy that “soft” consulting
services are never paid out of loans and the cultivated culture of “know-how and
consultancy are expected to be paid by the donor nation” is hard to break. Selling
hardware without the facilitation of a Dutch consultant is going to be harder.
Everybody appreciates the need to economise and that development aid subsidies
and grants are on the way out. Unsurprisingly, the Dutch private sector was less
accepting in the suggestion that its role must become more proactive and come to
include market making activities presently performed or financed by the Dutch
public sector. Respondents were particularly vocal in what they perceived as a
dearth of transition facilitation and suggested that a phased move towards the
private sector taking on more of such tasks was the more prudent move.
Some respondents were quite outspoken: “they cannot expect us (the private sector) to do
their work and do so with less funding and support and still show equal commitment to this
market” and “ it has taken us years to build a good relationship with the Egyptian
Ministries, we are trusted. Are they (the Dutch Government) going to let it all slip away?”
14
15
Overseas development assistance
Government of Egypt
13 | P a g e
4.
Water in Egypt; a helicopter view
4.1
Water issues
Water in Egypt is no longer something that is “just there”. After 5,000 years of
unlimited consumption and careless use, the Nile is no longer big enough for the
world’s oldest civilisation16.
Pressure is mounting on the supply side; the Nile riparian countries17 are no longer
satisfied with an age old colonial treaty and want more of the river as it runs
through their countries, at least to generate electric power. Climate Change on
both ends of Egypt’s water balance threatens with less precipitation in the African
Highlands18 and a rising Mediterranean. Whatever happens in negotiations in Addis
Abeba, it is unlikely that Egypt will get more water than its current allotment of
55.5 billion cubic meter (Bcm) per year19.
The Nile and its riparian countries
16
Egypt has dropped significantly below the 1,000m3 water poverty threshold with a gross supply of
under 60 Bcm –billion cubic meters- (incl. rainfall and groundwater) per annum for 84 million people
or an annual 714m3 for each Egyptian.
17
Rwanda, Burundi, Democratic Republic of the Congo (DRC), Tanzania, Kenya, Uganda, Ethiopia,
Eritrea are united in their demands for more water with Sudan, politically otherwise occupied, on the
fence.
18
Strictly speaking, more precipitation, negated by much higher run-off. More rain in Ethiopia does
not benefit the Nile very much.
19
What bodes well however, is the changed tone of the negotiations. Where a year ago, President
Mubarak threatened to send the Army to Ethiopia to protect Egypt’s “water rights”, the post
revolution government has restored the dialogue;, Ethiopia has agreed to delay ratification of a new
Nile Treaty (upstream countries only, Egypt and Sudan do not want to sign) till Egypt has a new
elected government and contracting giant Arab Contractors, along with the public diplomacy mission,
has offered they can build the new dam for Ethiopia.
14 | P a g e
On the demand side, relentless population growth – a dropping, but still solid 1.8%
p/a has put today’s population at 87 million and counting- , widespread water
pollution caused in equal measure by uncontrolled urbanisation, fast
industrialisation20 and the demanding role – over 80% of all available water- of
agriculture, all make clean water an increasingly scarce commodity.
The Nile Water Balance; little room for play (NWRP 2017)
20
The Cabinet’s Information and Decision Support Centre stated in 2007: “Around 80% of the whole
country's annual industrial effluent is discharged untreated into the Nile and its waterways. Egypt's
329 major factories continue to discharge as much as 2.5 million m3/day of untreated effluent into its
water.”
http://www.idsc.gov.eg/Upload/Documents/28/EN/Desalination_technology_Roadmap%5B1%5D.pdf
15 | P a g e
Egypt’s National Water Resources Plan 201721, a document produced with
considerable Dutch22 input, outlines a future strategy:
-
Water management and use (demand management)
-
Quantity and quality of water supply (supply management)
-
Role of different water institutions (internal co-operation)
-
Level of co-operation between Nile Basin Countries (external cooperation)
This translates in a variety of actions, many of them potentially offering
opportunities for Dutch providers of know-how and technology. To appreciate the
Plan, one must remember Egypt’s unique geography, where nearly each drop of
water comes from the Nile and eventually flows back to the Nile23. A digest:
21
-
Using the same water multiple times for irrigation. Simple as it sounds, this
is the main challenge. Agricultural irrigation uses over 80% of all available
water, but provides only a little more than 60% of Egypt’s food needs.
Reuse has scope: the geography and the basic infrastructure of irrigation
canals, lifting stations and drainage drains is there, and several
improvement projects24 are in work, reducing evaporation and providing a
more equitable allocation of available water, but the net effect on the
fields will depend as much on the quality of the water.
-
Reducing and preventing water pollution by urban wastewater. Presently,
less than 50% of Egyptian households are connected to a sewerage system
and WWTP. Improving coverage and quality is a national imperative. Local
laws on returning treated effluent to the Nile system are tight25, requiring
treatment to strict quality levels before allowing a license. It appears,
however, that not many WWTP actually reach such quality levels26 and the
Nile, in its flow northwards, shows increasing levels of pathogenic
contamination.
-
Curtailing industrial pollution poses issues of enforcement. While the
NWRC27 and EEAA28 report positive results cleaning up the State owned
factories along the Nile, this does not cover all government owned
production units, many of which are serious polluters (steel, cement,
http://www.deltares.nl/en/expertise/101129/integrated-water-resources-management/1078289
Delft Hydralics (now Deltares) Arcadis, Euroconsult (now Euroconsult-Mott MacDonald), Alterra,
UNESCO-IHE and Iwaco (now Royal Haskoning)
23
A simplification, of course, but it is a fact that potable water plants in the Delta use intake water
that did go through farms in Upper Egypt and it is true that agriculture must drastically increase re-use
of water, simply to have enough for irrigation.
24
For example, the IIIMP project described below.
25
Many Egyptian professionals in believe that current regulations are too demanding and make for
investments in equipment that are out of reach for both public and private sector. While a spirited
argument finds its proponents and opponents in the Ministries involved (MWRI, MHUDD, MALR and
EEAA) action lags behind and sewage is dumped in the nearest waterway; untreated.
26
23 May 2011 by OOSKAnews Correspondent; Egypt Allocates $12 Million USD to Treat Wastewater
Dumped in the Nile. Egypt’s National Authority for Drinking Water and Sanitation has allocated $12
million USD for a project to redirect wastewater dumped into the Nile in Aswan governorate to a
forest in al Allaqi Valley.
27
National Water Research Centre
28
Egyptian Environmental Affairs Agency
22
16 | P a g e
fertilisers, tannery), while the apparent majority of private sector factories
have taken advantage of the corruption so prevalent under the prerevolution regime in avoiding any form of waste treatment.29
-
Agriculture produces its own kind of water pollution with pesticides and
fertilisers in surface runoff30, undoubtedly connected to subsidised prices
and low levels of application knowledge. Undermining the efficiency
through re-use at the resource level, many farmers are typically unaware
of the water problems the country faces and continue field irrigation
practices that waste enormous amounts of water, often at the expense of
downstream neighbours who receive no water at all.
-
Improving the quality and service quality of potable water delivery. While
Egypt has nominal piped water coverage of 99% of all households and
though Egyptian tap water is generally safe to drink; water pressure, taste
and smell are often not up to par and complaints are common31.
-
Advocating rational use of water among all users, partially by increasing
service fees, partially through awareness campaigns. Making people pay
for a resource (albeit through the backdoor euphemism of service fees)
that used to be provided free of charge will be a lengthy and politically
difficult process, given Egypt's deeply rooted concept of viewing water as a
basic human right. Expectations that this will result in actual savings that
count are not high.
-
Developing deep groundwater sources, including those with brackish
water. Improving water storage from flash floods and seasonal rain using
a.o. artificial aquifer recharge.
-
Developing new sources of water through seawater and brackish water
desalination. Much depends on future development of technology such as
RO, MSF, MED and CSP32. With current installed desalination capacity of
just 0.03Bm3, Egypt has a long way to go but as unit costs from large
seawater RO plants are now falling below US$ 0.40/m3, the economics of
desalination are increasingly attractive33.
Closely connected to these planned actions is the horizontal expansion of Egypt’s
liveable surface. At present, 95% of the population lives on 5% of the available land;
a density of 1,000 people / sqkm in the Nile Valley to over 3,000 in the big cities. To
alleviate this and to provide farmland to feed a growing population, “horizontal
expansion” is scheduled to extend the Delta East and West, to expand the existing
oasis communities and to unlock the potential of the “New Valley” (Toshka and East
Owaynat) and the North Sinai. All these new communities and farms will need
water.
29
Given the choice of being fined for dumping effluent without any treatment or being fined for
dumping water treated, but not to the high legal standard, industry owners often believe that
investment in wastewater treatment is wasted money. In pre-Revolution Egypt, it was common to pay
environmental and industrial inspectors to “go away”. As rampant corruption was one of the main
reasons for the fall of the old regime, there is high hope that law enforcement in water pollution will
improve.
30
Although evaporation rates are high in flash flood fields, salinisation of the land reaches worrisome
levels only in the coastal regions of the Delta. Interview at NWRC
31
Low or unreliable water pressure encourages people to hoard water, often in open containers which
quickly become a breeding ground for all forms of micro organisms.
32
Reverse Osmosis, Multi Stage Flash , Multi Effect Distillation, Concentrated Solar Power
33
MWRI and the HCWW are presently working on a desalination technology line-up and development
roadmap. Once this has been published, we will assist in circulation to interested parties.
17 | P a g e
Egypt; horizontal expansion to create more living and growing space (NWRP 2017)
Since the publication of the NWRP in 2005, aggressive implementation has taken
place, dynamically reacting to changing circumstances, not least because the
population level forecast for 2017 was reached this year. The approach to domestic
waste water treatment, outside the mega-cities, now tends to focus on smaller
clusters served by a single plant and potable water action has moved from basic
supply to delivering quality. Post-revolution, proposals on cost recovery, making
users pay, are again on the political agenda, but success is highly speculative.
Nonetheless, the essence of the plan stands and provides a detailed and thoughtful
action guide.
18 | P a g e
4.2
The Egyptian Public Water Sector; organisation
Water in Egypt is the responsibility of several Ministries, sometimes with
overlapping responsibilities and conflicting priorities. Since the revolution, however,
collaboration between the Ministries is said to have improved at many levels and a
true integrated management approach to water in Egypt has come much closer.
-
MWRI, the Ministry of Water Resources and Irrigation34 carries
responsibility for the Nile, the Delta and the main irrigation canals and
drains in addition to the development and conservation of non-traditional
sources of water, such as deep groundwater, desalination and the re-use
of water. The Ministry operates through a dozen departments, each with
a matching research organisation. As the ultimate guardian of the Nile,
MWRI makes the rules of what Nile water can be used for35 and the
requirements for water returned to the Nile, the latter concurrent with
MSEA.
-
MHUUD, the Ministry of Housing, Utilities and Urban Development36
carries the responsibility for potable water treatment and distribution as
well as the collection and treatment of urban fluid waste (W&WW).
Today, as several improvement and expansion projects have come online,
99% of the population has access to tap water, but only 60% of urban
residents and 30% of rural settlements are connected to a sewage system.
Continuous development, often with multi-lateral foreign aid makes the
public W&WW sector the largest buyer of equipment
and services.
-
Traditionally the remit of the Governorates, water
supply was drastically reorganised in 2004 with the
establishment of the Holding company for Water and
34
http://www.mwri.gov.eg/En/index.htm
For example, fishfarming, a very common secondary income for farmers can only use drain water
after it has been for irrigation; first use is prohibited
36
http://www.moh.gov.eg/en/en_design/Default_en.aspx
35
19 | P a g e
Wastewater37, HCWW, a public owned, private company now holding 24
Affiliate Companies38, each slanted to work more and more as a
commercial utility.39 Increasingly, HCWW and the AC’s are to perform all
tasks in development, design, building and operating both the distribution
and the treatment plants40.
37
-
A holdover from the pre-2004 is NOPWASD41, effectively the building arm
of the ministry for water and sanitation projects which plans investments,
procures works and supervises the execution of works. NOPWASD has a
reputation for delays and cost overruns, low quality delivery and limited
transparency and is nowadays not always involved in new projects42.
-
As the technology and organisation of W&WW services for the megacities43 differ considerably from those deployed in the Governorates,
CAPWO44 was created as a similar building arm for the much larger user
base of the big cities. Both CAPWO and NOPWASD execute works by
planning priority.45
-
The Egyptian Water Regulatory Authority (EWRA) is as economic regulator
responsible for water service pricing and consumer protection.
-
The Ministry of Agriculture and Land Reclamation46 (MALR). With farmers
the largest water users, the Ministry focuses on improving the efficiency of
water use, curtailing pollution by pesticides and the development, by
irrigation, of new farm land. More on this below.
http://www.hcww.com.eg/En/Default.aspx
All Governorate water departments will be AC’s under HCWW once the new Qaliubeya W&WW
Affiliate Company takes over from the Qaliubeya Governorate, later this year. One exception; the
Canal Cities, Port Said, Ismailia and Suez, where the Governorates continue to run the W&WW sector,
partially, to retain the right to revenue from water sales to ships traversing the Suez Canal.
39
See Chapter 11.1.2 for a list of all AC’s
40
A caveat. With the Revolution, many “privatization” initiatives have stopped or been delayed. It is
uncertain at this stage to what extent and when the Affiliate Companies will receive such
independence.
41
National Organisation for Potable Water and Sanitary Drainage
42
WorldBank financed ISSIP I is executed by NOPWASD, but the follow-up program IWSP is handled
with direct contacts between Fund manager KfW and HCWW
43
Greater Cairo, Alexandria
44
Construction Authority Potable Water & WasteWater
45
For the definition of priorities and the methods used in prioritising, see NWRP Annex B7
46
http://www.agr-egypt.gov.eg/En_Default.aspx
38
20 | P a g e
-
The Ministry of Finance has become a recent participant in the WWTP
construction development with the introduction of Public Private
Partnerships (PPP) as a mode to obtain private sector finance, in a BOT47
model, for large projects, mainly in the “new” towns. The PPP Central
Unit48 (PPPCU) manages the entire life of such projects, from capacity and
quality definition, to tender and building supervision to operation with a
tenor of up to 20 years.
-
The Ministry of Health and Population49 (MoHP) sets standards for
drinking water and performs quality checks.
-
The Ministry of State of the Environment50 (MSEA) sets standards to
control pollution which include effluent norms. Water returned to the Nile
must be of good quality51, a condition that requires tertiary treatment and
is hard to meet by most WWTP, both urban and industrial. Substantial
amounts of treated waste water are dumped in the desert, where it
evaporates, but equally large quantities are returned to the Nile, often
below standard.52 MSEA and its executive agency EEAA are responsible to
perform checks on public and private organisation to ensure compliance,
but limited resources and the current security vacuum make this an uphill
task. See the Chapter 9 for an overview of Legislation on water pollution
and chemistry details.
-
A less known government party to the Egyptian Water scene is the Army.
The Ministries of Defence and Military Production are active, both as
large consumers of water and in the construction and operation of
W&WWTP both for their own use and as general contractor to the civilian
sector.
4.3
Constraints and concerns
Changing things in Egypt is no easy task as successive Egyptian governments have
experienced and in the new Egypt, experiments with democracy and the popular
desire to be heard will undoubtedly make for a difficult and often lengthy decision
and implementation process. Some of the more important practical constraints on
change in water:
-
Egypt’s population continues to grow with 1.3 million people/year, forcing
infrastructure development into a catch-up race. Coupled with an
increasing urban migration, pressure concentrates on already overburdened mega-systems.
47
Build, Operate, Transfer.
http://www.pppcentralunit.mof.gov.eg/pppcusite/content/home/default
49
http://www.mohp.gov.eg/default.aspx
50
http://www.eeaa.gov.eg/English/main/about.asp
51
See Chapter 10 for chemistry details.
52
Raw urban and industrial sewage is dumped in the Nile without any treatment. See Footnote 26
48
21 | P a g e
-
The unique hydro-geography of Egypt and the Nile where most water
comes from the Nile and flows back to the Nile for repeated use53, turns a
quantity pursuit into a quality assurance exercise. It matters little who
pollutes and how; any form of pollution weakens the overall system with
lower agricultural yields the final price to pay.
Quantity and Quality issues ( NWRC 2011)
53
-
Egypt’s state controlled economy, Soviet inspired from the days of
President Nasser, still provides many basic needs for free or with hefty
subsidies. At the consumer level, this includes water, electricity, bread,
cooking gas, petrol and much more. While this is essential for the 20-30% of
Egypt that must survive on or below the international poverty threshold, it
has also encouraged enormous waste of scarce resources such as water.
There are regular calls, domestic and international (IMF) to reduce
subsidies, but this proves politically extremely unpopular. Making people
aware of the need to handle water with care, particularly the small farmers
who till most of the old –Valley and Delta- lands where flood irrigation is
the norm, is going to be very challenging.
-
The difficulty in reducing subsidies, which keeps water tariffs low, also
prevents the Water and Wastewater (W&WW) utilities to cover operational
costs, let alone depreciation. There is improvement, though, with industry
gradually paying higher prices. To achieve the same for households will take
substantial political will.
-
Egypt is a big country and has a tradition of big solutions for big problems.
Technological development, shifting cost patterns and the realisation that
the big State apparatus is not the best of managers, are all driving towards
smaller scale projects with shorter development time and a less vulnerable
downside. Smaller also means increasing levels of delegation and the need
to empower people at lower levels and locations away from Cairo Centre.
This represents a major cultural shift and Egypt’s state managers struggle
for a modus operandi54.
To avoid misunderstandings; this repeated use does not include potable water, which in any event
amounts to not more than 8% of gross supply. Nevertheless, keeping Nile and Nile canal water at a
cleanliness level that enables irrigation of all crops is hard enough
54
There are, however, most encouraging exceptions. At HCWW, several mould breaking constructions
are thought up, including an idea for small communities to contribute in kind to the building of, for
example, a sewerage system. HCWWW provides the pipes and the heavy equipment, the community
provides the labour to dig trenches and lay the network. This shortens the wait and reduces the cost
while growing genuine community ownership of necessary services.
22 | P a g e
-
Another legacy is the separation of investment and operation. Many
investment decisions are still determined by the cost to buy and less by the
cost to own. Operational maintenance budgets in the State sector are
typically small as are budgets for training and paying quality staff. Often,
this results in new installations quickly falling to lower and lower operating
yields and degradation of all equipment. This continues till a major upgrade
– another investment- replaces much of the original equipment often long
before its –objective- economic lifespan has expired. With such short lived
returns, any investment turns inevitably expensive. The price ticket
approach also means that many technology decisions in the Egyptian water
world are often entirely short term price based.
-
Wages for state workers are low, by any standard, and many of those who
have a job55 try hard to moonlight in an effort to make a workable family
income. Unsurprisingly, this has negatively affected work standards, with,
most worrying, a growing conviction among Egyptian senior and middle
management that workers are not worth higher wages or the investment in
training. Training expense for state workers needs to be subsidised or
externally funded, while qualified and experienced staff continues to look
for better jobs in the Arab Gulf and to a smaller extent in the local private
sector.
4.4
25th January Revolution and the Arab spring
The Egyptian government apparatus that we
will do business with in future will be different
from those of the past with improved
transparency and accountability, and
hopefully improved efficiency to give the
Egyptian taxpayer better value.
Guessing as to what is to come is pointless,
but some background and understanding of
the functioning of a bureaucracy that provides
one third56 of the total population with their
primary income will help to understand event
as Egypt moves to a new future!
Egypt in transition is ruled by the Army and an
appointed Cabinet of new Ministers.
Presidential and parliamentary elections are
planned for October and November
Building a new Egypt
There have been much publicised arrests of ex-Ministers and high profile
businessmen and of some members of the security forces who had resorted to
extreme violence before or during the Revolution. At the time of publication of this
Study, the trials of the deposed President, his sons and the ex-Minister of Interior
are proceeding.
Unemployment stands at over 20% with the bulk in the age group 18-28
56
IMD Business school publication
23 | P a g e
Furthermore, several heads of government departments have been sent on leaves
of absence and have been replaced, often by veterans from inside the Ministries or
the many parallel research organisations. All in all, many of the top civil servants
are new to their position, though well experienced in the work they need to do. The
organisation has changed little, although several plans are on the way to introduce
transparency and accountability. For now, much of the routine government work
has to be done by the same people, using the same Laws and Directives. The big
exception is of course the Investigative arm of the Ministry of Interior where all
staff has been sent home57.
At heart, Egypt is conservative and despite the promise of the Revolution, the
majority of these civil servants, like everybody else hard hit in their income over the
last months, yearn for “business as usual”. Amongst them, there is a degree of –
arguably exaggerated- fear of setting a foot wrong. Many civil servants in positions
where routine decisions must be made are hesitant to do that part of their job for
attracting mob criticism and maybe even arrest. This certainly has a paralysing
effect on daily business; permits take long to issue, banks do not lend, property is
not transferred. But, when a newly elected President will show the direction Egypt
is going to follow, this should abate.
Today, there are over 70 political parties registered and while not all will be able to
present candidates for either election and mergers and coalitions can be expected,
it is uncertain if a single dominating power will emerge. While an informal poll last
year put support for a sharia58 based, Brotherhood run, Muslim state near 40%,
recent Gallup and PEW 59 polls put this in the 15% to 18% range. Elections in the last
quarter of this year will decide the new President and Parliament and speculation in
this fast evolving spectrum of new free political life is, indeed, speculative.
The more relevant question for a business opportunity scan is how the economy
will perform after what is fast becoming a 6-months hiatus. Are the media correct,
when telling us that Egypt is on the brink of bankruptcy? It is true that the Egyptian
economy has severely contracted since the 25 January revolution, but Egypt is a big
country, with a big economy and has weathered worse in the past. A look at the
numbers:
57
Officially, State Security Investigation Service (SSIS) alleged to be responsible for many cases of
random arrest, imprisonment without charge, torture and lately, shooting to kill protesters during the
25 January Revolution. This organisation has been dissolved. but its replacement organisation, the
“National Security Sector” appears to employ many of the same individuals.
58
The code of conduct or religious law of Islam
59
http://en.islamstory.com/poll-egypt-optimistic-worried-jobs.html and
http://www.nytimes.com/2011/04/26/world/middleeast/26poll.html?_r=1&ref=pewresearchcenter
24 | P a g e
Egypt’s GDP in 2010 was just over US500 billion; source http://www.economist.com/node/16564172
- Government revenue, taxes and fees are down, a lot, and this is widening a
current account balance already in the red. As these smaller income numbers
reflect collection problems more than anything else, this is not structural.
Expect a current budget deficit slightly higher than the 9% of GDP last year.
For a country that came back from a 20% deficit in the ‘80’s this is not good
but neither dramatic and help is at hand60. 61
- Inflation has been hovering in the 10+% range for the last 5 years, driven
mainly by increasing global food and fuel prices, so the current 12% is not out
of line and, again, not caused by the Revolution.
- Public –mainly international- debt has been a fact of Egyptian treasury life
since President Sadat started borrowing at a big scale and the current level of
85% of GDP (some say even more) has little to do with the Revolution. With a
good part of the debt denominated in Egyptian Pounds – a good achievement
of the previous regime- foreign debt in dollar terms has been fairly constant
over the last years and debt service has been manageable. Nothing indicates
at this moment that Egypt is going to default on any of these loans and the
recent IMF standby facility of $ 3 billion is a good illustration of Egypt’s
international investment importance. Moody’s downgrade of Egypt’s
60
A back of the envelope calculation shows substantial budget support and FDI for the next 3 years
World bank:
$4.5 billion over the next 24 months, 50% in development projects
Islamic Development Bank : $2.5 billion in development projects to support the economy
Saudi Arabia:
$4 billion
IMF:
$3 billion stand-by facility (refused by Egypt)
Qatar:
promises to invest as much as @ 10 billion in several projects
US:
guarantee on $1 billion of Egyptian Eurobonds
61
At the time of finalizing this document, the Supreme Council of the Armed Forces which effectively
rules Egypt today has objected to loans “with conditions” and ordered the cabinet to refuse IMF and
possibly World Bank help. Concurrently, the growing suspicion that US help is meant to perpetuate
the cozy relationship of the Mubarak period may cause US help to be refused as well. With all the
popular promises made over the last months; minimum wage, pensions, backpay and more, a larger
budget deficit seems inevitable.
25 | P a g e
sovereign debt62 is a reflection more of uncertainty than of direction,
something that the elections are likely to settle.
- Foreign currency reserves have taken a near 25% hit with the Central Bank
propping up weakness caused by capital flight and market nerves. Despite
these efforts –the Pound has lost surprisingly little against the dollar- a longer
term lower exchange rate seems inevitable and will drive up import prices.
- On the credit side, some trusted earners have remained stable, the Suez
Canal is up, even; overseas workers’ remittances still stand at an estimated
LE 8 billion, the Libyan troubles notwithstanding. Tourism is hard hit, but no
worse than after the Luxor massacre.
So, as hard as the Revolution has hit the economy; the fundamentals (employment
-insufficient as it is-, factory production and public utilities) remain intact. We can
expect the Egyptian economy to rebound once the political future is less uncertain.
62
Moody's cut Egypt's sovereign debt rating on March 16, 2011 to Ba3 from Ba2, and kept the ratings
outlook at negative, saying uncertainty about the country's transition to stable government was
having an adverse impact on its fiscal position and broader economic performance.
26 | P a g e
4.5
Where to: the Egyptian economy
Growth, absolute growth enjoined with job massive creation, is the way forward
and despite certain weaknesses, the Egyptian economy has the fundamentals to
emerge from the current turmoil as a stronger producer and service provider, ready
to take on global competition. Such growth will also provide opportunities for the
Dutch Water Sector, to help build the domestic infrastructure and as a partner in
exports.
Such growth will not come from the same old reliable income earners. The Suez
Canal will remain vital to the world economy, but crossing rates are closely linked to
the opportunity cost of volatile crude oil prices which fuel interest in both the
“Cape” route and the new Arctic alternative. Similarly, remittances from overseas
workers may well have hit a ceiling as Arab countries, the long time destination of
Egyptian skilled workers, begin to take action to reduce their own levels of
unemployment.
Oil and gas has never been a major export earner for Egypt with imports nearly
equalling exports. Even renegotiating the Camp David inspired gas deal with Israel is
not going to substantially add to any bottom line.
Absolute growth will have to come from advancing up the value chain, adding
product quality, supply chain strength, branding and originality to engage global
markets.
“Egypt’s textile business is making T-shirts for Wallmart or Zara. We produce
them both, but one sells for $3, the other for $30. For us in Egypt, we do not
share in the added value of high quality and a strong brand. To grow, we
must work to give meaning to the Egypt brand, encouraging our young
designers, building brand value supported by a true value chain adding value every step of
the way.” CEO of a well known Textile Group
Tourism can be the immediate beneficiary of such thinking. Presently, Egypt sells
discounted holiday packages to its Red Sea destinations in low spend markets like
Russia. This may boost arrivals, but does little for the bottom-line of an industry
that has almost no repeat customers63. Improving the customer experience,
commanding higher unit prices and selling to the same customer again and again is
textbook Value Chain Improvement and will benefit tourism workers as well as the
country. Real growth in the tourism industry feeds back directly in the W&WW
business, particularly desalination.
Agriculture, already an export stronghold, can equally benefit. While Egyptian
fellahin64 are world-class in getting the most from each feddan65 under cultivation,
crops do not always reach consumers in good shape. As much as 40% of crop yield
is damaged or destroyed post harvest, in domestic transport. In contrast to the high
yield per feddan, the Egyptian use of agriculture water per feddan is high, too high.
Agriculture uses 80% of all available water in Egypt and even a small reduction in
use makes a big difference on the national scale.
63
Egypt counts 1-2% repeat arrivals. Compare Spain with 60+%
Farmers
65
1 feddan = 0.42 ha or 4200 m²
64
27 | P a g e
Agricultural Crop Efficiency leads to water efficiency. Courtesy Prof Dr Ramzy Stino, Cairo University
I
n
d
ustry, including the food processing industry, is in a similar position. Adopting the
credo that “good quality is cheaper to produce”, reducing inputs (like water and
water pollutants) and tightening processes will reduce production variability, input
cost and clean-up costs, leading to a product quality that is not only constant, but
also more acceptable to ecologically critical markets like the EU. However, while
this leads to considerable enthusiasm for efficiency drives like “LEAN”, on the
ground implementation invariably lags.
Even the local capital markets will benefit from improved value chain thinking.
Other than a –fairly small- equity market, domestic savings have nowhere to go but
abroad. GoE has issued Government Bonds only once66 and never at home.
Unleashing the enormous liquidity of the local banks will put much needed capital
in the local investment scenery; to finance government debt, to provide leverage
for a stock market with an appetite for risk and of course for the PPP projects.
66
28 | P a g e
2007, in London, Eurobonds @ LE 6 billion, 5-year maturity denominated in LE, payable in US$
5.
Egyptian market; segmentation
Water is of vital importance in Egypt and water business is everywhere. For clarity
and to position marketing efforts in distinct and reasonably homogeneous groups
of customers, we have segmented the Egyptian market based on product needs,
end-use, sources of funding and decision making processes. We identify each
segment by a “product – market” shorthand.
GoE67 is by far the biggest buyer and our segmentation roughly follows the triad of
Water Resources, Housing Utilities and Agriculture Irrigation, each time detailing
how demand is formed, how to identify gatekeepers, influencers, champions and
decision makers, where funds come from and how best to approach each segment
as a foreign supplier of consultancy services or physical product.
Dutch consultants, waterschappen and knowledge institutes have a long tradition
of quality work in Egypt: conducting ground breaking studies, providing an unbiased
technical viewpoint or raising operating and quality standards with training and
many different forms of joint-work with Egyptian Ministries and water companies.
Part of such activities were an extension from APP deliberations, some were
enabled through bilateral funding programs. The demand for such know-how based
services is there: it may actually have increased as demographic pressure on the
water system mounts. What is expected to change is that consultants and other
knowledge providers will have do more pro-active work, as if to “create demand”
and will need to engage in creative financing, such as linking a study to contracting
work for physical facilities.
Contracting work in Egypt is typically awarded to local general contractors, often in
a consortium or subcon relationship with an electrical mechanical (E&M) specialist,
often the importer of foreign components. As set out in detail below, foreign
companies venturing out in Egypt will find it hard to be successful on their own.
More to the point, we do not know of any Dutch companies who desire to operate
as main contractor in Egypt. Our segmentation is therefore always seen from the
perspective of the Dutch subcontractor or equipment supplier.
While the overall political and economical situation matters a great deal to the
general business climate, the individual Dutch exporter will be more concerned
knowing if and how his customer’s project is funded, what risks he incurs in such a
deal and how best to direct his marketing and sales efforts. Each exporter will thus
have his own unique outlook and level of engagement.
67
Government of Egypt
29 | P a g e
Although researched and published before the Revolution, the annual market survey
published by GWI still provides an authoritative overview:
With permission: reproduced from Global Water Market 2011 by the publishers of GWI “Global Water
Intelligence”.
30 | P a g e
5.1
5.1.1.
Sector wide
STUDIES & SERVICES IN WATER RESOURCE MANAGEMENT
SEGMENT
Consulting Services to Government institutions
FUNDING
Grant Donors, Bi / Multilateral
BUYERS
MWRI, NWRC and Institutes, MALR, MHUUD, HCWW
INFLUENCERS
WB, EU, EIB, KfW, USAID, AAP
Even since the days of President Nasr, Egypt receives multilateral and bilateral
support for a wide range of studies to support government policy, effectively
providing consultants to act the role of Ministry specialist and local think-tank.
Egyptian–Dutch bilateral cooperation, initially to assist in agricultural drainage
necessitated by the Aswan High Dam completion, has contributed substantially to a
wide range of technical and policy issues. The APP (Egyptian Dutch Advisory Panel
on Water Management) is arguably the best example of successful collaboration
where long time mutual respect and earned trust enable discussions of sensitive
issues enable workable recommendations. In many cases, Dutch consultants
provided follow-up to these initiatives with detailed studies.
However, with changes in Dutch Development cooperation policy leading to
reductions of available bilateral funding, such comfortable contracts opportunities
may no longer occur that often. Note that by Law, Egypt does not borrow funds for
payment of “soft” consulting services. External funding for studies must always be
in the form of a grant.
Funding through multilateral sources such as the World Bank, the EU and EIB, AfDB
and bilateral support from USAID, KfW, JICA and several other countries continues
and may even be increased as several “Arab Spring” support packages come into
force.
Dutch firms will compete exclusively on merit in an international market. This
comes at a time when the need for such international studies is high and diverse in
Egypt. A random selection of stated needs;
-
Integrated Master plan for the Mediterranean North Coast in the light of
expected reduced upstream precipitation and sea level rise in the
Mediterranean. This covers topics as diverse as aquaculture in the Northern
lakes, coastal erosion and flooding risks, the impact on the irrigation and
drainage system in the Delta.
-
In parallel, a review of soft (water management and pollution abatement) and
hard protection options (breakwaters, dikes, dredging, beach restoration) for
the Mediterranean coast, particularly in the light of changing climate
conditions.
-
Finding better solutions for used, possibly treated, water from the new urban
communities in what used to be desert. Presently, disposal is in the desert, an
apparent waste.
31 | P a g e
-
Improved real time quality data collection on water quality along the course of
the Nile.
-
Renewed and integrated look at groundwater, particularly deep aquifers to
formulate a legal framework before uncontrolled extraction creates precedents
and irreversible depletion.
-
The Nile is arguably the only
large river in the world that
does not carry substantial
cargo loads. While a single
private company68 struggles
to get a barge network
operational, there are
differences of opinion on the
future of the Nile as a traffic
artery; the ecological impact,
consequences in an already
stressed water balance, the
Nile cargo traffic is still a fraction of what it can be.
merits of raising clearance of
some bridges and other
issues. Many of such diverging opinions come from different Ministries and
often result in further reaching disagreements and rivalry. Objective, hard facts
are valuable both in their own right and as a catalyst for goal-oriented
government.
Dutch companies can do well in such competitions; Euro-consult Mott McDonald is
the current technical consultant and project manager for IIIMP69, tendered a few
years ago by MWRI and KfW; VNG International has been shortlisted in an EU
tender for a study on urban WWTP sludge and Royal Haskoning has moved to the
next phase in bidding for the Master Plan to rehabilitate Nile Hydraulic Structures.
Says Euroconsult’s Wicher Boissevain, Chief Technical Consultant to
the IIIMP program; “It’s the old elementary stuff; we compete in
international tenders and win, because of our reputation, because we
work with the right local partners from well before the tender is issued and of course
because we are price competitive. If you ensure that each of your projects are run well,
thinking flexibly with your client, you do not need any other form of promotion”
Throughout the Public water sector; MWRI, NWRC and HCWW, there is a deeply
felt need for institutional support and capacity building. Comparable efforts in the
recent past are evidence that such services can add true and sustainable value and
in present day Cairo, teams from several Western countries are at work reinforcing
68
Nile Cargo, an investment by Citadel Capital a.o. presently has 35 barges operating from Cairo to
Alex Damietta and Assiut. 4 New barges measure 100 meters length and have a capacity of 1,500Mt.
With an allowed draft and lowest bridge clearance, tonnage for the other barges is limited to 350Mt
or a single layer of TEU’s. When already planned bridge improvements are realised, this can go up to
1200Mt. Dutch company Dubarco has advised Nile cargo in the past.
69
http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&theSitePK=40941
&menuPK=228424&Projectid=P073977
32 | P a g e
local ministries. Caveat here is that nearly without exception, such efforts are
primarily paid by foreign donors; multilateral and more often bilateral. Our APP is a
case in point.
Irrespective, such tenders are rarely won by strangers and Dutch consultants and
water companies are well advised to maintain personal connections with those
government institutions they like to service with their expertise. As the current
relationships with most experienced Dutch consulting firms are mature and cordial,
this is a matter of maintaining contacts. Presently, many senior Egyptian civil
servants with personal experience in the Netherlands retire and make way for
younger colleagues who have not visited the Deltaplan and the Afsluitdijk: it will be
clear that maintaining contacts is a job that is never finished.
Kees Bons, of Deltares, specialist consultancy in water, soil and the
subsurface, looks back at 20 years successful collaboration with Egypt
and MWRI," We serve science without a hidden agenda; and we see
collaborating with our local counterparts as the best way to do top
quality work. Our tools and models are not only world-class, they're our own work and thus
adaptable to Egyptian local needs. And, we always have local staff on board to help us
"kaaskoppen" see what's really going on."
Data collection and monitoring
There may be interesting mini niches for a PPS70 or NGO-like approach in areas with
long term import, but without a current budget. For example, data collection, such
as water quality information along the entire course of the Nile71.
GoE organisations, engulfed in a culture of centralised control, approach such from
a hardware and real estate angle, which inevitable makes for big budgets. In the
new Egypt, where a “Facebook” generation has made it clear that both civic duty
and nationwide communication are realities; a simple “social network” supported
by basic hardware can provide direly needed hard facts and help inter
departmental understanding with “objective” numbers72.
Public awareness
As explained above, Egypt and the Egyptians will have to make many changes in the
way water is handled. Much of this, reduction of subsidies, new charges, careful use
and water savings, pollution reduction at source, will require a broad level of
societal cooperation, which even after the Revolution is a new form of engagement
in which GoE has little experience. An APP assignment in 2009; Arcadis wrote an
excellent guideline on “Raising Awareness”, but we have not yet seen any of their
recommendations put into action. Nonetheless, the need to involve the population
in arresting nationwide squandering, is accepted at Ministerial level and we hope
that the Government elected end 2011 will find the political strength to confront
these realities.
70
See Chapter 6.3
During interviews at NWRC
72
Volunteers with access to water courses equipped with sensor and recording equipment use a
secure VPN on the public Internet to transmit data to base, the NWRC. In this model asset investment
is minimal and the involvement of the public instills a sense of ownership of water resources
71
33 | P a g e
5.1.2.
NEW WATER RESOURCES STUDIES, DEVELOPMENT
SEGMENT
Studies, Development – Groundwater, Solar and water, Desalination
FUNDING
Donors, Industry
BUYERS
MWRI, NWRC, HCWW
INFLUENCERS
UNDP, EU, EMWIS USAID
73
Several public and private organisations in Egypt work on studies for the
introduction of new, additional, sources of water in Egypt and the preferred means
to harvest these. Not surprisingly, there is an prospect of technology ownership and
technology providers are interested to be involved.
- Groundwater is now recognised as a water resource that must be carefully
managed and dedicated legislation is in the works. Some 7BcM/yr is
pumped from the shallow aquifers of the Nile Valley and Delta, which are
recharged semi-continuously by canal and drain seepage and to a smaller
extent by losses in the urban and industrial W&WW cycles. Water quality
issues in this context are addressed below.
73
34 | P a g e
http://www.emwis.org/countries
Deep Groundwater extraction now amounts to some 1.2 BCM per year
and is scheduled to increase to 3.2 BCM. Although deep ground water
deposits in several aquifers run into enormous quantities, these are nonrenewable, are often found at depths too deep for profitable extraction
and are occasionally saline. All this calls for prudent policy, intent to
preserve quality and stretch profitable use over many years. The Ground
Water Resources Institute, part of NWRC, has conducted several studies
and expects to continue towards more detail and practicality.74
- Of immediate interest are the relatively new concepts of Conjunctive use75,
Managed Artificial Recharge76 and the exploitation of Brackish Deep
Ground Water. The first two are largely inside the purview of MWRI and
may offer opportunities for consulting services, the latter also calls for a
range of water treatments amongst which desalination of brackish water
can be promising for industrial suppliers.
-
- Seawater Desalination is high on GoE’s list of priorities and several policy
white papers have been produced comparing the merits of different
technologies and assessing the chances that desalination will emerge as the
panacea to all water
ills. The HCWW will
soon publish a new
MasterPlan for
desalination in the
Drinkwater Resource
planning which
assigns an important
role to reverse
osmosis plants in the
coastal areas.
HCWW looks at desalination as an important future water source
74
See also “Groundwater Management in Egypt, an APP commissioned study; http://www.appwm.org/News/NewsDocuments.aspx?newsId=339704
75
Systematic integration of surface water and groundwater
76
Infrastructure and or modifications to an aquifer allowing intentional recharge with excess water in
wet periods, enhancing water security and optimising irregular resources
35 | P a g e
Of side interest is a 2008 document by the Cabinet Support Centre77, which
reviews available technologies such as RO, ERD (as a distinct process),
MSF78 and several solar driven processes in the light of developing technical
self-sustainability through a medium term R&D plan. Considering the
difficulty of creating Egyptian owned production capability for membranes,
the study leans strongly towards the development of solar powered and
other forms of desalination. If such is adopted by GoE, interesting
partnerships in the K2K area can be pursued.
- Solar power and desalination hybrid solutions are attracting much
attention, with a large number of private and public organisations engaging
in developments, experimentation and promotion.
The Egyptian private sector, notably some smaller companies like El Raed,
which works in CSP79, is building prototypes and pilots, typically with their
focus on communities ranging from 2,000 to 50,000 people based on 100
litres of drinking water/cap/day. There are an estimated 3,000 such
communities in Egypt, with many not included in the MHUUD planning.
Egyptian knowledge Institutes have only partially caught up with all these
new technologies. There is ready EU funding for an educational project that
brings solar power and desalination to an Egyptian institute of learning.
- A most promising, but also most challenging issue is to re-use urban waste
water presently discharged in the desert. Many of the new Cities are a
considerable distance from the Nile and the drainage canals, so even if
treated properly, the cost of pumping wastewater to its secondary use may
exceed the benefits. Landscaping irrigation may offer a solution, but is
hardly satisfactory considering the high cost of initial purification,
transportation and treatment after use, not to mention the overall scarcity.
5.1.3.
HYDRAULIC STRUCTURES IN THE NILE AND DISTRIBUTION CANALS
SEGMENT
Dams, barrages, lifting stations, locks
FUNDING
MWRI budget, International donors
BUYERS
MWRI
INFLUENCERS
Donors
Maintaining the world’s longest river over its final 1000km plus 55,000 km of canals
and drains is a continuous operation, with work on barrages, locks, lifting stations
and pipe networks tendered to contractors every month. Most such jobs are not
suitable for direct tendering by Dutch companies, not used to the intricacies of
dealing with Egyptian government Employers, but the digest below illustrates the
continuum of opportunities for the supply of technological expertise or equipment
as a supplier or subcontractor.
77
http://www.idsc.gov.eg/Upload/Documents/28/EN/Desalination_technology_Roadmap%5B1%5D.pdf
78
RO; reverse osmosis- ERD; energy-recovery device, a pressure amplifier in an RO system to recover
energy from the brine flow enabling the use of a pump with lower pressure rating; MSF- multi stage
flash distillation
79
Concentrated solar power
36 | P a g e
Supply of standby units for the exhaustion of floods water, .... for the operation &
maintenance of water wells in Southern Sinai.
Extension of two water lifting stations (Al Watya & Al Mesaada) & construction of a 300
mm. diameter ....
Supply & erection of two water lifting units complete with electric motors to consolidate
Helwan main sanitary drainage station No. 1.
Supply of eight submersible water lifting units complete with all related accessories,
spare parts for submersible pumps, insulation materials & fillers, ....
Supply & erection of five electric driven water lifting pumps complete with related
accessories at different canal ends at subordinated locations under 5 contracts.
Supply & erection of a centrifugal water pumps for the brackish water treatment plant
on Ismailiya Canal.
Implementing of the main brackish water network to serve Al Yasmin Resort in Sheikh
Zayed City.
Supply & erection of two 1,200 mm. diameter butter fly valves complete with related
fittings on two pipelines
Study, design, supply & erection of safety systems to protect from water hammer along
discharge pipelines serving booster pumps at ....
Request of offers for the study, design & implementation of sanitary drainage water
lifting units at the turbines division & underneath the control room at the location of the
first Asswan Dam power station .
Tenders issued by several GoE Institutions, including MWRI, as published in the national
80
newspapers average over a dozen each week.
Most of these contracts, some in values of several million Euros, are executed by a
local contractor, who often requires imported components, either direct or through
an E&M subcontract. See the Chapter 10.7, 8 and 11 for a list of consultants and the
larger contractors and specialised E&M subcontractors and suppliers. Very large
upgrades and those that require a very high level of technical expertise, such as
modernising the Nile barrages, are sometimes co-financed by multilateral donors.
Becoming a supplier to this market segment is no adhoc exercise. Foreign suppliers
with a presence in Egypt through an agent, VAR or even their own rep. office make
regular sales. Nijhuis Pumps and Duivelaar are good examples.
80
The American Chambre of Commerce in Egypt provides an excellent – free- tender alert service.
Note however, that such information cannot be a substitute for market presence and a good proactive intelligence gathering operation based on continuous contacts with employers, consultants and
contractors. http://www.amcham.org.eg/online_services/tas/
37 | P a g e
5.1.4.
CANAL AND DRAIN INFRASTRUCTURE
SEGMENT
Irrigation canals and Drainage canals maintenance - Government
FUNDING
Own funds, multi lateral funding
BUYERS
MWRI, MALR
INFLUENCERS
Donors, Local contractors, Research Institutes
MWRI, through its Irrigation Authority and the Authority for Drainage Projects
(EPADP), maintains a dendritic network of some 35,000 km of irrigation canals and
a mirrored network of 21,000 km of drainage canals. Farmers, the private sector,
take over responsibility for water at the tertiary irrigation- mesqa- level.
Irrigation Canals have a dendritic layout, fanning out over Delta (NWRC 2017)
Distinguishing between canals and drains that are managed by MWRI and the
Mesqa network that is the remit of farmers and MALR is important, as farmers
increasingly need to pay directly for part of the services they receive from this
mesqa network. Water for farming is not entirely free anymore.
The nomenclature of canals is based on the level of separation from the Nile:
38 | P a g e
-
The Nile through its 2 branches; Rosetta and Dumyatt, flows from South to
the Mediterranean in the North.
-
Irrigation canals lead water partway, mainly in NE and NW directions
-
Branch canals constitute the secondary level. Branch User Associations are
formed at this level to achieve participatory management. Today 3 Branch
User Associations, covering 40,000 farmers and 140,000 feddan, have been
established and work next to the District Water Boards.
-
Mesqa (tertiary
level) is where
private farmers take
over from MWRI,
within rules set by
MALR. A mesqa area
has no fixed size but
can cover a range
from 20 to 100
feddan. The mesqa is
a level around which
a Branch Users
Association can be
formed.
-
Even smaller ditches
within the mesqa are called marwa.
The drain network, obviously smaller, follows a layout that broadly mirrors the canals. For
the Dutch, Egypt’s agricultural drains have a special significance as the bilateral cooperation
that started in the ‘70’s focused on the design and building of a drain network. With the
completion of the Aswan High dam, the Nile no longer flooded once a year covering all
lands, a period where farming simply stopped, but now provided water on demand all year
long. Instead of waiting a month or so for water to drain and farmland to see the sun again,
and to avoid harmful salinisation, this now had to be achieved regularly with manmade
means. Dutch consultants provided the answers and the Egyptian agricultural drain
network was born.
As discussed in more detail below, nearly all farmland in Egypt is irrigated, with traditional
“flood” irrigation the standard in the Old lands – the Nile Valley and the Delta- and drip or
bubble irrigation prescribed for New lands – the Eastern and Western Desert reclaimed
farms and the “New Valley”81 and Sinai projects.
For the business opportunity from a Dutch perspective, scope of this document, the
important thing is to be in touch with the general contractors who regularly tender for this
kind of work.
The larger canals and drains are open waterways with a lifetime of 25-30 years, after which
complete rehabilitation is required. Unfortunately, many people see the agricultural drains,
even the canals, as a free dumping ground for urban waste and building rubble. This causes
numerous through-flow and contamination problems. Progressively, smaller open canals
and drains are covered; where urbanisation encroaches; concrete lined channels covered
by slabs, nearer to the fields where canal and drain size is smaller, by underground pipes,
logically connecting to the underground irrigation and drainage pipe network that gradually
replaces open channels.
81
The natural depressions of Toshka and East Owaynat are located some 300 km west of Lake Nasr.
39 | P a g e
EPADP82 produces its own PVC drainage
pipes in 7 factories around the country,
presently only for (subsidised) sale to
contractors who execute upgrading
works for the drainage network. There
is an interest in the Authority to bring
these factories and their products to a
higher level of efficiency and quality in
a joint operation with a foreign
partner. This will require high level
permission as the current production is Samples of drainage pipes at the EPAPD HQ
entirely geared to support the local
drainage upgrade program.
Activities around canals and drains are:
-
Institutional and organisational; handled to a large extent with waterboards
and WUA’s (water user association) to increase the level of participation by
farmers in the use and allocation of water and in maintenance. The IIIMP
program is a good example of a joint GoE and Donor funded programme to
upgrade the physical infrastructure and its management.
-
New canals and drains. With a scheduled increase of arable land from 6
million feddan to 8.6 million in the next 30 years, the canal and drain
network must grow in proportion. Larger plot sizes and advance irrigation
planning will enable a more efficient layout.
-
Improvements and upgrades. This includes covering hitherto open canals
and replacing smaller canals or drains with underground pipes.
-
Regular maintenance, usually twice a year; control of weeds83 and reeds,
repairs to side walls and the removal of solid waste from canal bottoms.
One of the common problems is the practice by local contractors to remove
all vegetation, roots and all, which weakens canal sides and increases canal
width at each cleaning operation. This makes it very hard to measure the
amount of water that flows through a canal.
A substantial part of drainpipe laying equipment in service in Egypt was delivered by
Steenbergen Hollanddrain BV.
82
Egyptian Public Authority of Drainage Projects, a department of MWRI
Grass carp are most effective in control of aquatic weeds and MWRI actively propagate the fish
through the drain network. This actually started as a Dutch initiative in the early ‘80’s
83
40 | P a g e
In interviews with MWRI, NWRC, CMRI, EPADP and MALR, the following areas of
opportunity were identified:
-
Methods to improve irrigation efficiency and reduce water consumption.
Doing more with the same water is a top priority
-
Anything to reduce / optimise the use of fertiliser and pesticides at the field
level to reduce pollution of run-off to the drains84.
-
Biological weed control; a succession project to the 1980’s Dutch grass carp
project.
-
Methods and ideas to facilitate the conversion of open canals to closed
systems and pipe networks
-
Mechanical equipment to maintain and clean canals and drains with
minimum damage to the canal structure. Canals are narrow (<10m) and
wheeled access is not ideal.
-
Solutions to control and remove side-up and floating aquatic weeds
-
Detection equipment to locate blockage in closed or covered canals; from
large >10M to pipe networks Ø30cm. Medium pressure systems have
proven to work best in closed systems
-
Solutions to screen or filter water in the closed drain system, recovering
sediment and improving the water quality released.
5.1.5.
COASTAL PROTECTION
SEGMENT
Coastal protection construction, Climate Change studies - Government
FUNDING
MWRI budget, Donors
BUYERS
SPA , CoRI
INFLUENCERS
Donors (Climate Change)
85
Coast in Egypt means the entire area from the flood line to as much as 40km inland.
In Egypt, rising sea levels is not so much about flooding, although 10% of Alexandria
Governorate is at risk, but more the intrusion of salt water which both pushes the
Nile fresh water further inland and raises the groundwater table, causing
salinisation of what is now productive farmland.
With the Nile no longer in seasonal flood, pushing tons of sediment through the
Deltas and out to the sea, Egypt’s coastline has started to erode, particularly around
the 2 Nile outlets; Rosetta and Damietta, where substantial amounts of land have
been lost over the years. A construction program which provided breakers and
groins in several threatened locations has arrested the worst.
84
This is a complex issue. Fertiliser used in Egypt is mainly local urea which is sold at subsidized prices
which encourages. With skills levels low and little public education for farmers, fertilizer is often used
indiscriminately.
85
Shore Protection Agency http://www.mwri.gov.eg/En/institutions%20%20Egyptian%20Public%20Authority%20for%20Shore%20Protection.htm , Coastal Research Institute
http://www.nwrc-egypt.org/nwrc/instcorien.html
41 | P a g e
However, with a rising Med, the existing Master Plan requires
revision to ensure that Egypt’s coast has the answers. Meanwhile,
Egypt’s pollution hotspot, Alexandria, and what’s left of Lake
Mariotta, require immediate attention, both to preserve local
agriculture and to stop the release of damaging effluent in the sea.
These problems are not unconnected and the new Master Plan
must take an integrated approach. A ToR will be released for
tender later this year.
As in many areas in Water management in Egypt, senior staff at
SPA and CoRi have visited the Dutch DeltaPlan and praised their
relationships with the Delta Alliance and Deltares.
Also due for tender later this year is construction work at the
Rosetta promontory. There are a few local contractors with
experience working a seashore, but not more than the work that
has been done over the last years between Port Said and Matruh.
We see an interesting opportunity for a Dutch specialist to
establish a joint-venture like relationship with a local partner.
Construction work on Egypt’s shores is still fairly basic and
innovative solutions may be employed to gain better protection at
lower costs. For example, asking around about Interbeton’s
Xbloc86, a robust and easy to install breakwater armour system, we
received little recognition.
Xbloc is an innovative Dutch product
Considering that Egypt’s contractors do more and more work in neighbouring
countries and the Gulf, it may be worth a concerted effort to bring Dutch shore
technology to a larger market.
86
http://www.xbloc.com/about-xbloc/why-use-the-xbloc Xbloc is a kind of 6-legged crowfoot,
executed in concrete. On positioning, Xblocs “feet” interlock, a process enforced by wave movement
forming a very stable dike armour layer.
42 | P a g e
5.2
Urban Water & Wastewater treatment
As explained above, nearly the entire potable water and wastewater infrastructure
is the responsibility of Ministry of Housing, through the Holding Company.
Operation is handled by the Affiliate Companies and constructed, resp. modernised
and rehabilitated by a number of specialised departmental organisations.
The emphasis on foreign funding in the previous chapter may have led to the
incorrect impression that Egypt relies on the foreign community for its
infrastructure needs. While bilateral and multilateral contributions are important,
Egypt funds over 90 % of its investment and maintenance needs from the national
budget.
The capacity need calculations above deserve further explanation. MHUDD and its
Departments design urban water use around norms set in the “Building code87”
Area Type
Village
Small City
Big City
Population
Average Daily Consumption (lcd)
Up to 50K
100 - 150
50K-500K
150 - 200
500K - 1M
200 - 250
More than 1M
250 - 280
New Cities
280 - 320
Touristic Villages
350 - 400
The urban design norm for urban water use is 250 lcd with actual use in the 200
litre range88, and while this is a high, probably unsustainable number, it indicates
that the present infrastructure may have some inbuilt slack in capacity. Meanwhile,
local experts differ strongly over the validity of these norms and voices are heard
saying that designing for 150 to 200 lcd is not only a realistic reflection of the
available volume of water, it will also drastically reduce short term investment
costs.
87
The Egyptian Code for the basis of design and implementation for pipe networks used in Potable
water and Sanitation networks. Code Number (102)/1, Part 1, May 2010, Part 1 Chapter 1 section 1-3.
88
This is nearly twice the North European average
43 | P a g e
Over the last 20 years, nearly US$ 10 billion, including foreign aid, has been
invested in water supply, most in water purification plants and backbone pipe
networks. Piped water supply now covers 99% of the population in towns and 90%
in rural areas despite the explosive growth of the population. The last mile, or
municipal distribution networks, is now targeted for upgrading and expansion.
However, only 1/3 of the population is connected to sanitary sewers with
potentially serious public health consequences.
Implementing the National Water Resources Plan by 2017 is expected to cost US$
26 billion, paid for by MWRI, MHUUD, MALR and a fair amount of foreign aid.
Today, 2011, the plan is well on the way to 50% completion.
Water is charged (home use) at US$ 0.05 / m389 , which is below operating costs90 ,
requiring the central government to make up the operation financial shortfalls in
the AC’s. These financial problems are exacerbated by non revenue water at 34%,
poor operating standards, low or non-existent maintenance and over-capacity
operation when part of the plant is out of order for lack of spare parts.
89
Tariffs are set centrally and are generally the same all over Egypt. Domestic use is charged at a basic
tariff is LE 0.29 / m3 or US$ 0.05 in those households where a meter has been installed (still quite
low). Else a fixed charge is imposed based on the size of the dwelling. Sewerage is charged as a 35%
surcharge on top of the water consumption.
90
Current production costs excluding depreciation
44 | P a g e
Multi lateral and foreign aid has been and still is a necessary support to provide the
entire nation with water and sanitation. Over the years, such aid has come to
include financing of not only infrastructure and technical assistance but also in
promoting sector reform targeting higher levels of cost recovery and more efficient
services91. Private sector participation in operating water and sanitation systems
has so far been limited to PPP financed and BOT operated projects for large
wastewater facilities, mainly in New Cities, where buyers of expensive housing can
be relied on to pay regularly for water and sewage.
Egypt Governorates
Current Donor co-funded Projects are:
-
91
92
The Integrated Sanitation and Sewerage Infrastructure Project (ISSIP I) is a
US$ 200 million (part) World Bank financed initiative to improve sanitation,
environmental conditions and water quality in selected drainage basins92.
The project includes components of institutional development and capacity
building. The Netherlands is part of the program as a grantor. The project is
USAID for example, makes institutional cooperation a condition for the building of infrastructure.
Assiout, Sohag, Sharqeia, Menyoufia Governorates
45 | P a g e
presently executed under HCWW and NOPWASD supervision. See also in
the section Agriculture: the IIIMP project, which covers irrigation
improvements in the same region of the Delta.
-
ISSIP II, a US$ 200 million follow-on program was approved by the
WorldBank in August 2011. With the project, and additional 1.2 million
citizens in the same governorates are expected to get better access to
improved sewerage and sanitation systems. ISSIP II will be jointly carried
out by NOPWASD, the Holding Company and 4 AC’s.
-
USAID’s WPPR93 (water policy and regulatory reform) which supports
MHUUD and EWRA to strengthen the policy, legal and regulatory
framework for the water and wastewater sector in Egypt and improve the
quality and geographic coverage of water and wastewater services.
-
IWSP Improved Water and Wastewater Services is an €300 million EU
Water Initiative supported by KfW, EIB and AFDB, where KfW is the lead
donor. The Programme has an investment component for improving the
water supply and wastewater services in Sharkia, Gharbia, Damietta and
Beheira governorates in the Delta region.
-
The EU is an increasingly important donor as many European countries shift
from direct engagement to the European NIF94 and other programs.
-
Bilateral support programs are many with several countries contributing in
different ways to W&WW management in Egypt. Examples:
o
Netherlands; APP, Beheira, Alexandria, Fayoum and ISSIP as
described above.
o
France supports IWSP and has made major contributions to the
Gabel El Asfar WWTP, partially to direct benefit of Suez Lyonnaise
des eaux.
o
Germany through KfW provides technical assistance to the Qena
and Kafr El Sheikh W&WW companies
o
Italy; assistance to Cairo Water; leak detection equipment, training
o
Japan; technical assistance to Sharqeia W&WW Company
The potable water infrastructure may be perceived as completed with 99% of all
households connected, but there is a pressing need to improve and expand both
the purification plants and the piped network in all cities to provide for the growing
population and to optimise distribution networks that derive more from ad-hoc
expansion works than from a planned design. The resulting problems with low
pressure and water quality reduce the return on the very substantial investments
made over the years in purification plants. Remedial work is a priority also for
public health to stop people from using water from canals which often carries
pathogenic contamination.
Low service quality is most immediate in mature informal (squatter) districts where
nearly 20% of the population lives. Improvements are both a technical and political
93
http://wprregypt.com/
http://ec.europa.eu/europeaid/where/neighbourhood/regionalcooperation/irc/investment_en.htm
94
46 | P a g e
imperative. The World Bank financed ISSIP II program is a good example of an aid
driven improvement programme.95
Water quality has become a serious problem. The Nile is the major drinking water
source and further downstream, quality is often below the minimum standard. A
major reason is that only 1/3 of the population is connected to the sewage network
and nearly 1.3 BCM of untreated wastewater is released in the Nile with self
purification reaching its natural limit.
Wastewater management has now moved from last to first place on the MHUUD
budget and numerous projects are in hand to build additional treatment capacity
and matching sewage networks. With more than 50% of the required sewage
network still to be built, a valuable and urgent discussion is emerging on
decentralised WW treatment and the merits and degree of wastewater service
clustering. There is obviously a limit to the number of households served and the
maximum distance from polluter to treatment plant and clusters on the table range
from 5,000 to 100,000 households in size. With technology now offering economies
of scale at much smaller volume capacity, new wastewater treatment plants in
Egypt tend to fall either in the mega category96 or in smaller clusters with the ideal
size a much debated topic.
Dutch companies can contribute much to this issue; with pilots such as the Fayoum
UASB97 WWTP providing live examples of lower costs in both investment and O&M
costs.
5.2.1.
PUBLIC PRIVATE PARTNERSHIPS
SEGMENT
Public Private Partnersships (BOT) WWTP
FUNDING
Private sector, local and hopefully international banks
BUYERS
GoE, through MoF and PPPCU
INFLUENCERS
Operating companies, Consulting Engineers, Donors
PPP98 has gone through a rough patch since its inception in Egypt a few years ago,
The concept of off-balance sheet financing in exchange for direct periodical
payments by consumers for services provided is not entirely new to Egypt with a
limited build-operate-transfer contract for wastewater facilities in Gabal el Asfar
and a few other tentative efforts by private companies. However, PPP only got
serious in 2009 with the announcement of the first PPP tenders; for the New Cairo
suburb WWTP and the West Delta Conservation and Irrigation Rehabilitation
Project and with a new PPP Law.
95
http://www.water.mottmac.com/waterprojects/?mode=type&id=291914
The Gabel El Asfar WWTP, built largely with French aid is Egypt’s largest WWTP located to the
Northeast of Cairo, and serves a good part of Cairo’s (East of the Nile) population of 12 million
inhabitants. Present capacity is 1.2 million m3/day and expansion to 2 million m3 is in hand. The plant
discharges through several drains in Lake Manzala 170 km North of Cairo.
97
Royal Haskoning is providing the final touches
98
In the Netherlands, the same acronym tends to be used to describe public-private partnerships
where Dutch government and Dutch private sector join hands to achieve a goal, often overseas, that
neither could achieve on its own. In this study we refer to such Dutch initiatives as PPS. See Chapter
6.3.
96
47 | P a g e
A PPP Central Unit (PPPCU)
was established under the
Ministry of Finance to
manage both the tendering
and the execution of PPP
projects.99 Law 67 was
passed in May 2010,
followed by Executive
regulations just before the
25 January Revolution.
In all, just a few PPP projects
have been started with
mixed results.
From PPPCU
- The New Cairo WWTP is under construction for completion in 2012
- The West Delta Project did not find enough bidders and was withdrawn.
- PPPCU has announced the resumption of bidding for the Abu Rawash
and 6th October City WWTP; a shortlist of bidders has been announced.
The New Cairo Sewage Treatment Plant PPP tender attracted several bidders and
was won by a Consortium of Orascom and Aqualia of Spain.
New Cairo WWTP, the only PPP to achieve financial close to date, was not an ideal example
of risk-allocation for arguably any of the parties involved. There are several reasons for this,
but I will summarize the salient points:
a) The government did not have a legal framework at the time and, consequently, relied on a
mish-mash of laws that were not designed for PPP,
b) The government retained foreign legal counsel in order to have a 'brand' name;
unfortunately, foreign legal counsel did not retain top quality local counsel, and this lead to
a weak understanding of the legal underpinning of the risks involved,
c) The PPP program itself was under constant scrutiny due to its natural sensitivity (you can't
really afford corruption when it comes to infrastructure), so many of the decisions made by
the PPP CU were politically motivated instead of on sound assessment of the financial,
technical and legal aspects (this is always a problem when the government does not have
any legitimacy),
d) considering all of the issues outlined above, the bidders and bankers had to price in these
additional risks, and this was mainly done via changes to the risk-allocation, and
e) due to the government's policy of restricting payments to EGP, this rightly or wrongly
restricted financing competition to banks with EGP deposits - in consequence, there was a
reduced amount of competition, bigger bargaining power with the banks who were more
risk averse and less experienced than their foreign counterparts. This also contributed to
distorting the right risk allocation for this project.
Aly Shalakany, Senior Associate and PPP expert at Shalakany Law Office
All this had, however, little value as legal precedent as the new Law 48 for PPP’s
was only passed in May 2010. The first practical test of the new Law would have
99
48 | P a g e
Not just WWTP, but schools, hospitals and tollroads
been the new tenders for WWTP in 6th October City and Abu Rawash, both on the
Western fringes of Greater Cairo.
Then the 25 January Revolution took place and with it came a popular suspicion100
that all large private contracts with the government had a bad smell. Today, 8
months later, the PPPCU, with a replaced management, has announced that Egypt
is back in business; but will the PPP projects be bankable?
As for the PPP program as a whole, I am confident that, despite the mistakes that have been
made, it is a vital mechanism for Egypt to improve its infrastructure. The fundamentals have
not changed - Egypt needs to build infrastructure and the public sector cannot afford to do
so alone. PPP is the only solution available.
In terms of financing, Egyptian banks are very liquid (many would say too liquid) - but if you
really want to get a better deal for the government for these projects, you have to introduce
foreign banks. Whether or not you want (or can afford) to stick to the policy of restricting
payments to EGP is debatable, but there are other solutions for introducing foreign
competition. The ones mostly discussed are creating a proper EGP derivatives market and
creating infrastructure debt funds. If I were in the PPP CU right now, coming up with a
solution to this problem would be my primary objective. Aly Shalakany
As the table of recently shortlisted consortia shows, interest in Egypt’s WWTP PPP’s
is global and efforts to sell components or participate in a consortium are best
made with the lead companies in their respective countries. When a Consortium
announces its intention to bid; the players are usually in place.
Shortlisted bidders for Abu Rawash WWTP below:
Local
Orascom
Kharafi (Kuwait but has office in EG)
Hassan Allam
AAW, Arab Contractors
No local partner
Metito
No local partner
Foreign partners
Veolia ( both in Egypt and in Europe)
Aqualia Gestion and Aqualia Infra
EMIT Water Discharge Technology, LLC
Samsung C&T, Cadaqua
Degremont, Miahona
Accionagua, ICAT, GE, K-Water
Hochtief, PWT
Samsung, Macquarie, Aktor
100
We have met senior officials in different government departments adamant in their conviction that
PPP’s were “bad for the country and the people” Of course, taking the sum of 20 future years of tariff
payments for amortization and operations in non discounted values, and comparing that amount with
the one time expenditure of building a similar plant using only local inputs, is a typical case of
comparing apples and oranges.
49 | P a g e
5.2.2.
MHUUD W&WW – STATE FUNDED INVESTMENTS
SEGMENT
W&WW treatment and distribution, new, modernisation and maintenance
FUNDING
MHUUD funds
BUYERS
NOPWASD and CAPWO
INFLUENCERS
Local consulting engineers, local contractors
While for many people the attention may be focused on the large PPP or
multilateral funded projects, the majority of investment and maintenance work on
water and water treatment plants and distribution networks is executed in the
daily routine off MHUUD, its building companies CAPWO and NOPWASD and the
24 AC’s of the Holding Company.101
These works cover the full scala of engineering, from simple replacement, to
modernisation, to capacity expansion, solving productivity problems or improving
process quality. Most of these works are managed by local consulting engineers and
executed by a local general contractor, often with an E&M subcontractor.
MHUUD –CAPWO Expansion Works Project for Geziret el Dahab Potable Water Plant
(150,000m3/day), General Consultant UTILITIES Company , executed by: Hassan Allam Nasr
Contractors, Electromechanical works contractor : United Metito Companies
Overcoming defects contained in notifications ... at Al Menshat surface water filtration
station, another similar type station in Nida, a third similar type station in Gerga.
Rehabilitation & consolidation of the potable water networks serving .... City of Sohag,
Overcoming reported performance defects at 3 surface water filtration station at Al
Menshat, Nida & Gerga.
Rehabilitation/ replacement of different diameter potable water pipelines (of 225, 450
& 315 mm. diameter) at different subordinated locations under 3 contracts.
Maintenance & raising efficiency of two sanitary drainage discharge lines in El Lagoon &
El Roada.
Supply of a high pressure single phase horizontal Case-Split type water filtration unit ....
of 450 litres/ second discharge, .... electric automatic butter fly valves of 8 inch
diameter .... of electric switchboards & cables for those valves.
101
50 | P a g e
Investments have averaged LE 15 billion ( US$ 2.5 -3 billion) annually since 2006.
Rehabilitation/ replacement of water pumps & chlorine injection instruments for the
Chlorine Dozing Divisions at Al Rooda water treatment plant.
Rehabilitation/ replacement of potable water networks .... City of Fayyoum ....
Public utilities .... in Benha including extending of potable water networks, drilling of
three artesian wells & equipping them with centrifugal pumps at different water
treatment plants in the City, .... extension of sanitary drainage networks, also vertical
sanitary drainage water lifting sets at Saad Zaghloul sanitary drainage station.
Supply & erection of the electromechanical equipment .... sanitary drainage water
lifting station at Abu Kesheik Village in Markaz Abu Matamir, in Beheira Governorate.
Supply & erection of three vertical sludge pumping sets complete with .... at Mostorod
potable water treatment .....
Supply of a standby chlorine dozing instrument, equipment for the maintenance of
sanitary drainage stations, ....
Revamping of four reciprocating type sludge lifting units ....
A random selection of tenders published in the last few months
Dutch consultants and suppliers who like to participate in such works are advised to
form collaboration agreements with local general contractors or supply
arrangements with E&M specialists. In addition, local consulting engineering firms
should be kept well informed about the merits and achievements of the Dutch
process technology or equipment that is offered.102
Not every settlement or slum has been reached with water supply as demonstrators camping outside
the Television building in Cairo want to make clear; “To the ruling Military Council, and the Prime
Minister as you are Egypt’s dedicated servants, we are the citizens of Salam City camp [a slum near
Maadi], and asking only for a decent life, on Egypt’s land, and ready to give anything in return, we only
ask that we don’t live like animals in the streets, half naked, and can’t protect our children!!” June
2011.
102
In all, major contractor and consultants number about 2 dozen. Specialists in E&M are often direct
importers of equipment and selection requires careful homework. See the lists in Chapter 11.1.1.7 for
details
51 | P a g e
5.2.3.
MHUUD W&WW - MULTILATERAL AND FOREIGN SPONSORSHIP
SEGMENT
W&WWTP- Government
FUNDING
Co-funded by GoE and multi-lateral, sometimes bilateral donors
BUYERS
HCWW, NOPWASD, occasionally an AC
INFLUENCERS
Donors, HCWW
Multi lateral funded projects are typically larger in size, are more likely to be
greenfield103, or at least reasonably independent of existing facilities and come
increasingly in a bundle of ‘hard’ infrastructure work and ‘soft’ capacity building
and or institutional reform. Current examples were provided earlier in this Chapter.
Most are bundles of GoE co-funding, loans from different banks at different terms
and grants for the ‘soft’ elements. It is not uncommon for such funding projects to
start with a fairly modest grant from a single country, which acts as a multiplier in
attracting much larger sources of funding which allows the project to gain
economies of scale, both in its operational economics and in its service to the
community.
As such Projects develop, a process that may take some years, would-be
participants all have ample chance to propose and promote their preferred
technology, even their preferred tech supplier. Dutch suppliers who want to be
counted in this process will heed the following basics:
-
Presence. As such projects are developed; there is a near continuum of
informal information exchanges. Such meetings are not announced and
have no agenda. This is not an unusual process and can be seen all over
the world. Dutch companies should reflect if they can support and
participate.
-
Locally proven concept and reputation. Egypt rarely buys a process, a
brand or even a simple component without a known and published local
history. See Chapter 6 for the several Dutch government incentive plans
that can help a Dutch company execute a projects and earn a “successful
local pilot” reputation.
-
Flexibility. Sooner or later, there will be pressure to source or produce
more in Egypt. This is not a black and white process and the success of
companies like Nijhuis Water illustrates that a subtle give and take of local
production vs. imports can earn years of contracts.
Below a digest of the larger WWTP tenders that can be expected in the immediate
future104, irrespective of size and source of funding.
103
There is no absolute without exceptions. For example, the Fayoum, Sanhour WWTP, constructed
under the FaPWasd program, started as an upgrade of an existing, old WWTP.
104
From GWI Project tracker
52 | P a g e
105
Egypt wastewater projects 2010-2011
Project
$ mill
Scope
Status
Client
New Cairo
WWTP
464
250,000 cm/d treatment
works with expansion to
500,000 cm/d
Under construction by
Orasqualia Consortium
under PPP
MHUUD
6 October
WWTP booster
plants
393
12 new pumps at existing
100,000 cm/d wastewater
treatment works
Under construction by
Orascom and Hassan Allam
& Sons
MHUUD
Alexandria
wastewater
system
expansion
113
System upgrade including
new treatment plant with
capacity for 300,000
population
Under construction by
Alexandria Construction
Company
Alexandria General
Organisation for
Sanitary Drainage
Planned
Abu Rawash
WWTP
tbc
Take over the 1.2 million
cm/d treatment plant and
upgrade it under a PPP
5 developers pre-qualified;
invitations to bid due end
Nov 2010
MHUUD
6 October
WWTP
tbc
New 250,000 cm/d WWTP in
6 October City
8 developers pre-qualified
MHUUD
Alexandria
West WWTP
upgrade
tbc
Upgrade of the existing
Alexandria treatment works
to improve quality standards
and raise capacity to 680,000
cm/d
Under client design;
Prequalification expected
first quarter 2011
MHUUD
Gabal Asfar
WWTP upgrade
stage II
374
Capacity expansion from 2
million cm/d to 2.5 million
cm/d
Prequalification expected
first quarter 2011
MHUUD
Gabal Asfar
WWTP upgrade
stage III
tbc
Expand plant to 3 million m3
Procurement process to be
launched soon
MHUUD
Agami WWTP
220
145,000 cm/d treatment
works in Agami, Alexandria
On hold
Alexandria General
Organisation for
Sanitary Drainage
Kafr El Zayat
WTP
tbc
expansion 26,000m3/d to
60,000m3/d
Helwan WWTP
100
Capacity upgrade to 1 million
cm/d
Concept paper under way
MHUUD
Nahia WWTP
100
New 200,000 cm/d
treatment plant in Giza
Concept paper under way
MHUUD
Rural sanitation
services
contracts
tbc
Upgrade sanitation and
wastewater infrastructure in
rural locations
Under client design
MHUUD
total capacity 80,000m3
Not tendered yet – lower
priority
3 Smaller
WWTPs
105
International bids
to be submitted
soon
Source: MEED Projects
53 | P a g e
5.2.4.
PRIVATE INITIATIVES AND OVERLOOKED AREAS
SEGMENT
PPP styled private W & WWTP initiatives at small scale
FUNDING
Creative ideas required
BUYERS
NGO’s, Village committees (informal)
INFLUENCERS
There are thousands of small villages with populations below 25,000 people in the
Delta and Upper Egypt that have not been included in the current plans; a matter of
limited resources and priorities. As things stand, sanitation provisions will not
reach these communities any time soon, but there is a new and growing interest
from a wide range of ngo’s to provide this on a one by one basis, using a kind of
mini-PPP model with the population paying a direct contribution, collected as usual,
with their water rates, but received by the private operator or local co-op.
The HCWW open attitude106 towards user contributions in the construction of
facilities greatly improves the chances of success.
NGO support for “private” sewerage and sanitation projects tends to be
concentrated in Upper Egypt with many organisations all “playing” with the idea.
Their fragmentation and limited technical knowledge necessitates the introduction
of a professional project manager and technology supplier. Combining –modestinternational or bilateral funding with a sound operating model can be a unique
opportunity for a Dutch technology supplier with a local manufacturing partner.
When a community has no reliable piped water
connections, do-it-yourself solutions rapidly
emerge, often supplying water of dubious quality
and legality.
The Minigrid is an initiative which cleans and
legalises both drinking water and sanitation,
presently put together by Toon van Kessel in the
Netherlands. He suggests that the HCWW Associate
Water Company supplies “official” water just to a
water tower and leaves the neighbourhood
distribution entirely to the local people using PE
hoses or other piping. Official payment takes place
at the water tower level while the community sorts
itself.
Toon’s project goal is to provide both community
credit for the water tower (and optional treatment
equipment) and individual micro-credit to pay for
107
individual home connections .
Complementary is Toon’s sanitation proposal using
108
Ecosan , a waterless toilet. Locally produced from
recycled PE and PET, this squatting unit separates and collects urine and faeces. Urine is
106
For example; HCWW supplies the pipes, the community digs the trenches. Caveat: this is not formal
policy but an indication of what can be productively discussed
107
[email protected]
108
http://www.ecosan.nl/
54 | P a g e
turned small-scale into fertiliser. Faeces are fermented and the remaining sludge is
pelletized and pasteurised in compost, again at small scale.
The Sabeel Foundation is a local charity foundation
aimed at providing clean drinking water to people
who have no access to such water. Besides
providing potable water, Sabeel will also carry out
a series of social, cultural and economic services to
help in the sustainable development of the areas
where it serves.
Historically, the provision of water has been a
preferred charity venue for rulers and people of
power. Yet, the need still remains to this very day.
Currently there are thousands of villages without
access to clean drinking water.
To approach the masses in Egyptian rural areas and
poor communities, pragmatic actions on the
ground are needed. Sabeel is a basic method for
delivering our thoughts which are centered on
modernity, freedom, democracy and respect for
the other: an enlightenment corner in every
109
Egyptian village .
109
The medieval Sabeel
More information from [email protected]
55 | P a g e
5.3
Desalination
SEGMENT
Potable water; public and private sector
FUNDING
Own funds, PPP, Donors
BUYERS
HCWW, NOPWASD, CAPWO, PPPCU, General Contractors, Communities
INFLUENCERS
Donors, Consulting engineers, Contractors
At the current state of technology in Egypt, saltwater desalination almost always
means RO – reverse osmosis, typically with multimedia, sand and/or cartridge prefiltration. Initially the
domain of the private
sector and entirely
focused on the tourist
destinations on the
Red Sea, desalination
has new gone
mainstream and the
HCWW is developing a
roadmap for Egypt and
saltwater as a source
of potable water110.
A small number of SWRO projects are already in the pipeline;
-
Hurghada 25,000m3/d, likely SWRO
North Sinai 35,000m3/d, likely SWRO
Red Sea, Sinai, Matrouh 5,000-20,000m3/d
West Gulf of Suez 70,000m3/d, likely SWRO
Awaiting advisory tender
Awaiting advisory tender
Pre-RFP stage
Awaiting advisory tender
GoE is a relative latecomer in the Red
Sea desalination scene. Private
company Ridgewood111 has been
building medium size RO plants for
over 10 year. Ridgewood was the first
to introduce the BOT concept to its
water customers and presently
produces some 100m3/day in 40
plants serving mainly hotels in the Red
Sea tourist area.
With the increased interest in brackish UF Membranes; courtesy Pentair XFlow
groundwater, desalination is likely to
move into more diverse applications.
110
We endeavour to advise readers when this report has been published.
Initially a US-EG JV, now an entirely local private company, Ridgewood has over 40 desalination
plants in the Red Sea and South Sinai Governorates, with capacities ranging between 500 and 11,000
M3 serving more than 100 resorts and projects. Total operating and under completion desalination
capacity is 42,000 M3/day
111
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5.4
The uniformed branches
SEGMENT
Army, Military Production
FUNDING
Own funding
BUYERS
MoD, MoI, MMP
INFLUENCERS
On request
Little known to most foreigners, a very substantial market is presented by the
Egyptian Army and the Ministries of Military Production and of the Interior.
Between them, these organisations have more than 1.3 million people in uniform
and a nearly equal number of civilian employees.
While a large part of their demand comes from the need to provide drinking water
for their own people, mainly with RO based desalination, the sheer size and
versatility of these organisations112 provides for a wide variety of needs in
components, complete plants in kit-form and more.
-
For Army and border guard have camps all over the country which require
desalination and other water purification plants ranging from small truck
mounted units to constructed plants with a capacity of 30thou m3d.
-
The Army has units which work like general contracting companies, building
infrastructure and buildings, not just for its own needs, but also for the general
population, often in competition113 with civilian contractors. Projects have
included W&WWTP’s for populations as large as 100,000 people.
-
The Ministry of Military Production and AOI, the Arab Organisation for
Industrialisation (several factories) still produce weaponry and other military
needs, but a very substantial part of their output goes to civilian buyers,
institutional and consumers.
The Army organisations are not only customers but can
also be valuable local production partners. Some of the
factories visited have an enviable order book, but
produce treatment plants to dated processes and while
often equipped with good and modern machines, these
are not used in the most efficient way.
The Egyptian Armed Forces and the Police do not advertise and do not publish
contact information. Contacts by Army personnel with foreigners are subject to
national security regulations and are usually arranged by experienced local agents.
Dutch companies with an interest can contact EKN Cairo or the authors for
introductions.
112
There are numerous estimates and guesses of the size of the Egyptian military’s role in business;
from 10% of GDP and more. For the purpose of this study, suffice it to say that the Army presents a
most substantial and solid market.
113
This is not the best choice of words; the Army does not need respond to tenders like the private
sector and can accept direct orders.
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5.5
Agriculture and horticulture
As set out above, agriculture is Egypt’s largest water user consuming 80% of
available sources. Often this requires re-using the same amounts of irrigation water
twice114. Water is supplied through the canal systems to farming areas under the
control of MWRI, which manages the actual irrigation flows through each branch
canal. (see Chapter 5.1.4 ) When on private land, water is allocated by Water Users’
Associations. Farmers pay for the service provided at this level: lifting and drainage.
Old Lands and New Lands have not only different irrigation systems: flood vs. drip,
but also differ in organisation and the way water services are paid for. Details are
beyond the scope of this study.
In 2008, IMC115 commissioned consultants Booz Allen & Hamilton (BAH) to produce
a number of insightful studies116 on the ways and means to transform the
agricultural sector into an agri-business. Much is of course not water related, but
some parts, still highly topical, are worth reproducing here:
From Egypt's Agriculture Sector transformation strategy, 2008 SWOT analysis by BAH
114
MALR estimates this today at 20%
Industrial Modernisation Centre, under the Ministry of Industry
116
http://www.imc-egypt.org/ListofStudies.asp
115
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In this SWOT analysis nearly half the items suggest opportunities to reduce the nett
use of water in agriculture through improved management, applied technology and
or extended supply chain management. These are all areas where the Dutch agrowater sector can provide excellent value.
Egypt has always exported agricultural products, with onions, cotton and potatoes
traditional and well known exports. Over the last years, horticultural products have
taken first place with Egyptian citrus fruit, grapes, green beans, snow peas, spring
onions, artichokes and fruits like strawberries and melons all a common sight in
European shops. Dutch shoppers probably buy more Egyptian produce, season to
season, than they realise.
In basic products, like potatoes, forward looking producers have climbed up the
value chain, moving into frozen French fries, dried mashed potatoes. This has gone
hand in hand with a scientific approach to farming.
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117
Farm-Frites Egypt is an Egyptian-Dutch potato grower which has
successfully moved up the value chain, now producing frozen French
fries for McDonald’s Egypt and many export markets. Farm Frites
has over 30thousand feddan under cultivation, most in the Eastern desert. Irrigation water
comes primarily from deep wells, mildly saline.
Under the Dutch PESP (now defunct) and the Partners for Water programs, Farm-Frites and
118
Dacom have teamed up to implement an Agri Yield Management system at the FarmFrites fields. Today, combining sensor technology, GPS and Internet and scientific
knowledge, Farm-Frites can continuously monitor and fine-tune its production process
throughout the growing season.
Dacom precision farming equipment installed on a field in Egypt
5.2.5.
IRRIGATION WATER MANAGEMENT
SEGMENT
Field Irrigation & Water Management – Government
FUNDING
Multi lateral donors, MALR own funds
BUYERS
MALR,
INFLUENCERS
Donors, Project Management
Irrigation management, the how and where to distribute each drop of water from
the branch canal to the individual plant, is a complex puzzle of farming knowhow,
basic and high technology applications and people management.
In the Old Lands, the Delta and the Nile Valley, where flood irrigation is the norm in
a densely exploited jigsaw of small holdings, this is in the first place a matter of
organising supply and users in a collaborative model. Most international funded
projects incorporate this aspect.
IIIMP, the Integrated Irrigation Improvement and Management Project, a € 200+
million project by the World bank, KfW and the Dutch Government is presently run
out of MWRI with Euroconsult MottMcDonald as managing consultants. IIIMP
117
http://www.farmfrites.com.eg/Design12linkst.html
http://www.dacom.nl/index_new.php?pid=about&tid=history&lid=en . The project was carried out
by a consortium of the Dutch project partners Dacom, The Soil Company and WaterWatch, in
cooperation with the Egyptian Ministry of Agriculture Egypt. The activities took place between
September 2007 and February 2009. The project was financed in the framework of the programme
"Partners voor Water" through the executing agency EVD (the Netherlands).
118
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addresses management of water resources from the Mahmoudia and the Mit
Yazeed Main Canals in the Nile Delta; not just the provision of infrastructure, but
integrated with institutional reform, involving through the Waterboards and Water
User Associations. IIIMP tackles fragmented service delivery, user empowerment at
tertiary and secondary levels, facilitates private investment and drives institutional
reform119. IIIMP is a sister project to ISSIPII which addresses sanitation in the same
area. See above.
With agriculture still one of Egypt’s most important income earners and employers,
with rampant water inefficiency and the need to feed an ever growing population,
programs like IIIMP are likely to be repeated. As in potable and wastewater
projects, management jobs go those one knows. Maintaining a close relationship
with MALR and the current Funds managers remains the best way to participate in
future projects.
Makro, a trading firm in produce and groceries operates in Egypt as a supplier
to (associated) Metro Supermarkets, large hotels and many mid sized
supermarket chains. Makro has decided to differentiate on the quality of its
daily supply of fresh produce. The company has established a tight work relationships with a few
hundred small and medium sized farmers based on an astonishingly simple concept.
- Handshake deals, no contracts. Walk away if there is anything you do not like.
- Training in farm technology and methods, QA, provided free of charge.
- Produce that is farmed to published and transparent standards and quality (basically GAP) will be
bought at today’s market price. Substandard produce is not accepted, not even at a lower price.
- No direct involvement in the finance / purchase of seeds, pesticides or fertilisers.
- Leader farmers handle the collection / delivery to the Makro collection centre.
- Leaders bubble up as community leaders; no elections, no appointments, no salaries
Dutch government provides financial support to carry the overhead under the PSI facility.
Next years; Supply chain improvement, cold chain
119
http://iiimp-eg.org/ . IIIMP is co-financed by
GoE
Own funding- LE 575 million (amounting to 32% of the total)
Worldbank
Loan- US$ 120 million
KfW
Loan- € 38.8 million
KfW
Grant- € 2 million
Netherlands
Grant- € 20 million, mainly for technical assistance
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5.2.6.
IRRIGATION AND FARMING
SEGMENT
Field irrigation and farm equipment, know-how
FUNDING
MALR, private sector, cooperatives
BUYERS
MALR, importers, trading companies
INFLUENCERS
Agents, distributors, MALR research Institutes, UPEHC,
Al-Ahram Beverages has barley grown in reclaimed desert lands at East Owaynat using pivot irrigation
Farmers at the field level range from small scale fellahin120, tilling less than a feddan
to huge modern concerns with thousands of feddan under management. The need
for equipment and knowhow is universal throughout the segment with numerous
agents and distributors the main link between market and producers. See the
contact list in Chapter 11.10 and 11.
-
120
Large farms concerns typically procure their own needs
Farming Cooperatives, a holdover from the Nasser period, still exist but
have become increasingly less popular or effective.
The Water Users Associations begin to take on roles beyond water
allocation.
MALR operates an enormous short term equipment rental operation,
providing tractors, combines and other expensive items on day contracts.
UPEHC, a public-private interest group, unites most horticultural producers
and functions in the market as a bulk buyer of seeds, training provider and
The traditional word for the Egyptian farmer. Family owned plots can be as small as ½ feddan or
just 2,000m2
62 | P a g e
more recently as owner-manager of a modest collection centre with
(planned) cool room and packaging facility.
Demand for equipment and knowledge encompasses a wide range of products.
-
Laser field levelling equipment and training
Irrigation equipment; low pressure and perforated drainage pvc and pe
pipes121, gated pipes, valves, regulators, pumps
Pivot irrigation equipment, complete drip and bubble irrigation systems
Precision farming equipment and services; sensors and monitoring, training
Dutch brewer Heineken and a local investor co-own Al-Ahram Beverages, Egypt’s
single brewer and distiller. The company employs 2,300 people and its annual tax
and excise contributions amount to 0.2% of GoE’s annual revenue. The company
operates 6 plants where it pre-treats its own product water.
Beer is a water intensive product, not just in the brewery, but first to grow barley. To optimise this
process, brewer Al-Ahram has also become a farmer. In East Owaynat, some 400 km East of Lake
Nasser, barley grows on circular pivot irrigated fields, 125 meter across, in a Dutch hi-tech
environment where Heineken contract farmers thrive to shorten growth cycles and irrigation days and
increase yield per drop. Precision farming, where each m2 is continuously monitored is the norm.
5.2.7.
WATER SERVICES TO THE FOOD INDUSTRY
As Egyptian farmers go up the value chain, food processing has become a true
industry with a large appetite for water. For the more general considerations, see
below under Industry.
Two specific examples:
-
-
Potato processing requires 6m3 of water per ton product. With all other
functions, this comes to some 2,000m3 per day for companies like FarmFrites which re-uses water 3 to 4 times and deploys a treatment plant
before it releases any effluent. Further optimising of water use is an
important target for all vegetable processing firms in Egypt.
Egypt produces 2 million Mt of poultry and smaller quantities of beef and mutton per year.
There are numerous slaughterhouses, many still very primitive with little in water
management or treatment. To eradicate bird flu, GoE plans to establish many new
slaughterhouses during the next three years. To encourage the private sector to invest in
this industry, GoE has signed a joint agreement with a Kuwaiti fund to provide $90 million in
credit facilities. This sub segment of water treatment equipment runs primarily through
local agents and VAR’s. Dutch water tech companies can benefit from Dutch leadership in
this business – most slaughterhouses are imported from the Netherlands- by teaming up
with a Dutch company in the slaughterhouse business122.
121
Local production of plastic pipes a.o. by EPADP, does not provide a full range.
This concept holds true for all application industries. Joining forces with a Dutch supplier of
industry specific technology and offer the customer a more complete solution – water pre and post
treatment included- is a classic example of a win-win model through synergy.
122
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5.2.8.
AQUACULTURE
More Egyptians eat fish, nearly 14kg/c/yr and growing, 1 million Mt annually. 10% is
imported: canned tuna and sardines, maatjes haring, smoked salmon and the like.
30% is free catch from lakes and the sea which have reached their upper limits. The
growth has to come from fish farming which in Egypt is still exclusively in ponds on
land. MWRI does not allow the first use of fresh water by fish farms and ponds are
forced to take their water from agricultural run-off, drainwater123 which depresses
yields and has totally stopped exports.124 Unsurprisingly, the first use prohibition is
often ignored and many ponds use a mix of fresh surface water, shallow
groundwater and drainwater.
While many farmers maintain a small pond at the end of the farm, the true centre
of fish farming is in Kafr el Sheikh governorate, the area just south of Lake Burulus.
This is a heavily farmed and populated area and there is not much space for
expansion of ponds. Other important areas are Fayoum and of course the Nile
Valley.
Necessity is the mother of invention and nowhere more than in hard pressed fishfarms.
Dr. Ismal Radwan of the Egyptian Aquaculture Centre in Kafr El Sheikh Governorate treats
his water for re-use using a bio-film system constructed in an old shed using Coke bottle
crates and spiral rolled plastic mesh. Pumps financed under a Dutch assistance program
keep the circulation going.
However, continuing the present practice using polluted or illegal water limits
growth for fish farming. Opportunities lie in several apparently unconnected ideas
and initiatives.
- Free catch in the Nile, Canals and the coastal lakes has reached its limits. The
lakes are increasingly polluted and cage fishing in the river is now officially
forbidden –a shipping hazard- with unpleasant confrontations between
police and fishermen.
- First use of irrigation water and
acknowledging that fish excrement in the
water serves well as natural fertiliser for the
fields irrigated from the fishpond. This will
require a change in Egypt’s Water Law,
something where objective data gathering
such as surface evaporation rates, will be
very useful.
- Brackish water fish farming using
Harvesting tilapia in Kafr Sheikh
groundwater from, for example, the Western
Desert aquifer in the Wadi Natrun125 area. There are experimental ponds at
work which show promising results.
- On-shore mariculture126 in the coastal lakes. Two initiatives are worth
mentioning;
123
The disagreement about first use has been around for a long time with Ministries taking opposing
sides. Agriculture wants fish to be farmed in –better quality- first use water where their excrement is
excellent fertilizer for the next use: irrigating crops. Water Resources disagrees, stating that fish
pollution poses a health hazard on the land and also as absorbed by crops. In addition, Water
Respources maintains that evaporation from fish ponds is high, higher than can be justified for high
quality water. There seems to be no simple answer.
124
The proscription to farm in used water runs counter to an EU quality and public health rule.
125
On the desert road from Cairo, about 100km south of Alexandria
126
Aquaculture with (mare) seafish, on-shore as in this example or off-shore in floating cages
64 | P a g e
o A UNDP sponsored successful trial to create artificial wetlands as a filter
between urban (part treated) effluent and the coastal lake Manzala to
provide better lake water for fish farming.127 Regrettably, despite
successful result of the pilot projects, funding for large scale
implementation has not yet been found.
o A new UNDP proposal to dig artificial salt water ponds in the immediate
coastal region to act as a water buffer against further saltwater intrusion
in the Nile Delta. These lakes would lend themselves very well to
mariculture.128
- Off-shore mariculture,
particularly shrimp. While
Saudi Arabia has a thriving
industry on its side of the Red
Sea, in Egypt it seems that both
Ministries of Defence and
Tourism are less keen on a
coast line full of cages.
Nevertheless, sea cage pilot
farms, many with support from
EKN, are coming on stream. It is Kelongs, or seacages, are a common sight along all
South East Asian shores and cultivate a rich array of
hoped that the legislature will
fish and seafood. A true Water Mondiaal challenge
follow with a framework to
to enable Indonesian know-how in an Egyptian
further enable this industry.129 setting.
- Integrated shrimp, seafish,
biofuel and afforestation projects like the one proposed by NewNile Co130.
Regrettably, such a large project requires large upfront investments.
- Finally, there is
considerable
experimentation
going on and fresh
ideas emerge
constantly, such as
the desert aqua
culture concept
shown in the sketch
on the right.131
127
Some 10 years ago, artificial wetlands were created near Lake Manzala and very effectively filtered
the WWTP effluent that came through the drains from Cairo. At a pilot scale of 10 feddan, the project
can treat 25thousand m3/day of part treated sewage effluent
http://erc.undp.org/evaluationadmin/downloaddocument.html?docid=1734
128
http://adaptation-fund.org/sites/default/files/AFB.PPRC_.2.5%20Proposal%20for%20Egypt.pdf
129
Water Mondiaal countries Indonesia and Vietnam have been growing fish in sea cages for
generations and “kelongs” are a common sight along SE Asian shorelines. An opportunity to “share
know-how” in an even broader sense?
130
http://www.newnileco.com/
131
http://beta.irri.org/news/bulletin/2007.17/PDFs/CDPDF2007.1.Suloma,A.pdf
65 | P a g e
5.2.9.
SUPPLY CHAIN IMPROVEMENTS
Agricultural yield per feddan may be high in Egypt, but as much as 40% of Egypt’s
horticultural crops perish in post harvest losses. Tomatoes and grapes are the most
vulnerable. The weakness of the local supply chain: transport, handling and storage,
negates much of the effort made on the field.
Arguably the biggest impact on water efficiency can be made with loss reduction
improvements in the supply chain ensuring that more of the harvest reaches paying
end-users, ideally adding value along the way.
Substantial improvements can be made in the areas of cleaning and washing,
packaging, transportation, storage, cool chain management, reaching export goals
and working EU regulations (Egypt’s main export market for agri-products. The BAH
reports, mentioned above, concur, as shown in the table on the next page.
Why, however, is so little of these recommendations made 4 years part of today’s
reality? We venture that while the high level approach of the report sets a good
framework, it takes private initiative and investment to buy trucks, build cool rooms
and deliver the consistent quality in product and delivery that solidifies export into
a sustainable branch of business.
And indeed, private entrepreneurs are taking the lead:
“The Egyptians, Belco in particular, have proven during many years of
collaboration that they are serious and reliable suppliers open to change and
innovation.
Even during the difficult period during and just after the 25 January Revolution, did our Egyptian
suppliers manage to satisfy demand without interruption."
Frank Brinkman, Sourcing Manager at Bakker Barendrecht (a major Dutch importer and distributor of
fresh produce)
The BAH study, mentioned earlier, comes up with specific suggestions for supply
chain improvement.
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Egypt's Agriculture Sector transformation strategy, 2008 (Booz Allen & Hamilton)
The 4 focal directions shown above provide a good big picture starting point, and
several opportunities can emerge in the public and private sectors.
- Product quality improvements in horticulture; GAP, Euronorms
- Crop specific irrigation methods and growing know-how
- Precision farming (real time soil data, humidity, weather forecast etc.) not just
for large operations, but also in cooperative form for groups of small holdings.
- Real time weather, market and other online data provision. In addition to the
collection and publication of data, this requires some IT literacy training among
smaller farmers.
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- Cool chain; from concept to execution; cleaning and prepping, retail packaging,
precooling units, coolrooms, data logging, certification, export markets
exploration
- Transportation chain; cooltrucks, temperature management, reefers, just in
time supply management
Most of the large farm operations such as FarmFrites, Belco, Ragab, Keram, Maba
already use different forms of technology to improve outputs.
At the smallholder level, UPEHC, a public-private interest group, manages supply
chain efforts with limited funds. An interesting example; later this year, with
support under the Dutch CBI program132, a website will provide real time market
information.
5.2.10.
AGRICULTURAL PRODUCT RE- SELECTION
Different crops use different amounts of water with different levels of efficiency. A
dialogue is taking place in Egypt today, to determine which crops to drop. Thirsty
crops like rice, cotton and sugar cane are meant to be replaced by more water
efficient alternatives. This topic is outside the scope of this study.
132
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Chapter 6
5.6
Industry
SEGMENT
Private and public sector industrial factories
FUNDING
Own funds, EPAP
BUYERS
Factories
INFLUENCERS
Local agents, VAR
Further and better industrialisation is the cornerstone of Egypt’s economic future
but cannot follow this path without major adjustments to the environmental
degradation that has followed it in the past. This must include better use of
resources (water) in all productions processes, increased qualitative and
quantitative treatment of industrial wastes, reduction and control of health hazards
posed and restoring the quality of the Egyptian natural environment.
Egypt’s industrialisation started in the 50’s with State controlled heavy industry;
chemicals, food, metal products and textiles, predominantly in the Nile Valley and
in Cairo and Alexandria. For years, these factories produced with little regard for
the environment: a patient river Nile flushed everything to the Northern lakes and
the Mediterranean. When President Sadat’s “Open Door Policy” in 1980
encouraged a nascent private sector, factories mushroomed both in the traditional
industrial areas and in new industrial centres such as Sadat City and 10th Ramadan
City. Over the last decade, with the revelation that untreated industrial wastes of
more than 350 factories were discharged directly into the Nile and the
Mediterranean, came the realisation that the natural system was at a breaking
point and that urgent action was necessary.
From a 2002 local research report133: “Some groups of chemicals, such as carcinogenics,
mutagenics and neurotoxins, are unaffected by the usual methods of water treatment. The threats
imposed by chemical discharges comprise contamination of drinking water supplies, phyto- and
aquatic toxicity, destruction of agriculture as well as fisheries, bioaccumulation, and
biotransformation.
Some spectacular threats to water resources and land are now quite obvious, e.g., in Helwan (south of
Cairo): air pollution with cement dust, nitrogen and sulfur oxides, carbon monoxide, and other airborne
pollutants resulted in the death of almost all the trees. The industrial wastewater discharged from
3
Helwan area amounts to some 45 million m /yr. In Shoubra El Khaima (north of Cairo) huge volumes of
134
untreated industrial wastewater are daily discharged into agricultural drains . The textile industries
which represents (in 2002) 48% of the total number of industrial plants are the main contributors
(almost 52%) to organic load.
Type of load
Misc.
Oil, soap
Starch,
yeast,
glucose
Pulp,
COD (kg /day)
1366.9
7006
3239.4
BOD5(kg /day)
244.9
4568
1148
Metals
Plastic,
rubber
Textile,
dyeing
Total load
2322.3
11676.3
236.7
26372.3
52219.9
661.7
1257.7
77.9
8533.9
16492.1
paper
133
Water Issue in Egypt: Resources, Pollution and Protection Endeavors, by Hussein I. Abdel-Shafy
(National Research Center) and Raouf O. Aly (National Center for Radiation Research and Technology)
CEJOEM 2002, Vol.8. No.1.:3.21.
134
Author’s note: In the intervening years, the Gabel El Asfar WWTP has been built. With a present
capacity of 1.5 million m3/day, soon to be 2 million, the plant treats most of Cairo’s urban liquid waste
at the primary level and releases effluent in the Bahr el Baqar drain which ultimately discharges 3
million m3/day in Lake Manzala. See Chapter 5.2.8 on the experiments with artificial wetlands to
further filter this waste stream.
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Organic load contributed by the various industrial sectors in Shoubra El-Khaima. Based on El-Gohary (1994)
The
metropolitan area of Alexandria accommodates a multitude of industries close to surface waters, e.g.,
in Amiria at Lake Marriotta, near the Mahmoudia Canal. Out of 1243 industrial plants 57 were
identified as major sources of marine pollution. Paper, textile and food industries contribute 79% of the
total organic load. As might be expected, the mid-stream conditions of the Nile are still, on an average,
at a fairly clean level owing to dilution and degradation of the pollutants discharged. The riverbanks,
however, are much more polluted.
Inefficient production in some industries (e.g., oil and soap) generates waste that contains raw
material as well as products, a costly burden to the national economy and the consumer. Obviously,
cleaner production is the unique answer for the industrial pollution in Egypt.”
In the last 10 years, enormous progress has been made and while far from solved,
environmental pollution of surface and ground water is now a problem that is proactively managed.
- All-encompassing legislation now covers environmental protection from
standards to prevention to correction. The guiding principles are to make the
polluter clean up his own mess and prevent the return to the Nile of any
water that is acceptable.
- Many of the worst polluters (the examples in Helwan and Alexandria above)
have been made to reduce emissions. As the majority of these factories were
State or Army owned, the process has been internal and did not get much
publicity. Nonetheless, while far from perfect, these polluters have been
reigned in.
Much remains to be done, however, and as industry struggles with the cost of
business interruptions in the wake of Revolution, environmental improvements sink
lower and lower on agendas.
- There is much criticism of the environmental legislation as unrealistic. The
requirement that water discharged to the system must have BOD135 not higher
than 6 and COD not higher than 10 means that in most cases water treatment
plants must add a tertiary or polishing phase, which is disproportionately
expensive. For many factory owners, the difference between being fined for
dumping untreated effluent and being fined for dumping treated effluent that
does not reach the legal standard, boils down to the question: “why invest if
they make you pay anyway?”
- Environmental protection enforcement has never been strong or consistent
under the previous regime, where a phonecall to a friend in high places usually
got rid of a bothersome inspector. Today, while the Revolutionary ethos
definitely values Egypt’s natural habitat and the imperative to provide clean
water for future generations, law enforcement is not yet strong and there is
little practical incentive to spend money that will not show an immediate return.
- Industrial water is more expensive to buy than heavily subsidised water at
home, but it does not cost enough to be significant in the overall production
cost. At first glance, treating and re-using water makes no financial sense.
As with so many other important shifts in attitude in Egypt, the real change may
again come from individuals on the ground.
135
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Biological oxygen demand, Chemical oxygen demand; see Chapter 10
- On a very practical level; export consumers demand that their purchases are
grown and produced in a sustainable manner136. Initially just agricultural
export product, but increasingly more products sell better in foreign and local
markets if the producer can show that water and other environmental inputs
and outputs have been responsibly used.
- Less widespread, but gaining currency, is the Water Footprint concept
developed at Unesco IHE and the University of Twente137. The Footprint helps
consumers understand how much water was used to produce their choice of
food or drink en accordingly make considered purchasing decisions.
Some global averages as an illustration:
Beef 1kg
15,500 liters of water
Beer 1 glass
75 liters of water
Cotton 1 T-shirt
2,700 liters of water
Rice 1kg
3,400 liters of water
Leather 1kg
16,600 liters of water
- Many industries are located in the new industrial zones in what once was the
desert and rely on piped Nile water. A supply that faces uncertainty as
demand outstrips supply on all fronts. Reducing water use through re-use
looks more and more like good business.
- A new, younger generation of owners and managers is taking over. Better
educated, they realise that tighter production processes which rely on
smaller inputs produce better quality at a lower cost. Buying water may not
cost much, but wasting water is proving to cost more.
Protagonists of sustainable production and respect for the environment find an
unexpected ally in modern Islam. Preacher Sheikh Abdallah al-Khouly:
“The Quran teaches that the environment is God’s creation, and disrespecting it is like disrespecting
God. It also teaches of maintaining balance in life, and that what is taken must be replaced and that by
spending time in nature, human awareness and our understanding of God can be developed.” “It is
every sheikh’s duty to urge people to protect the environment through Friday preaching and weekly
lessons/meetings. The message in the mosques is meant to convey the essence of the Quran in a way
138
that serves humanity with all its concerns, and the environment is no exception.”
Industrial water use in Egypt is not
completely documented. Nett use139 for
industry, excluding cooling water for power
plants, amounts to some 3Bcm/year, about
6% of the total supply and is likely to
increase steadily. Roughly one half is water
abstracted directly from the Nile and the
Canals, 30% comes from the potable water
network and rest from groundwater,
usually the shallow Nile aquifer. Of this,
nearly one half is cooling water, a very
136
See Good Agricultural Practices as much used standards. http://www.fao.org/prods/gap/
http://www.waterfootprint.org/?page=files/home
138
Interview http://www.almasryalyoum.com/en/node/475482
139
Water drawn from the potable network + surface/ groundwater – seepage and treated / untreated
returns
137
Industries and common pollutants (NWRP 2017)
71 | P a g e
small component product water and one half process water.
Different centralised WWTP solutions have been implemented, most of which have
been “too little, too late”. The problems derive partially from the fast growth of
many industrial areas, but mainly from the erroneous concept to have a single
WWTP handle a wide variety of industrial pollution. Accepted wisdom in industrial
waste water treatment is to deal with pollution as close to the source as possible in
order to apply the optimum solution to just a single problem. One size fits all
WWTPs simply cannot handle the wide variety of pollutants. A recent fact finding
visit to Quesna, North of Cairo and home of the country’s tannery industry
illustrated this well. A small overflowing treatment plant and multicoloured sludge
flowing in most streets.
Egyptian industry is fragmented with the State and the Army as the two largest
owners, many multinationals and a bewildering array of large and small private
owners all pursuing individual strategies. Nearly all purchase industrial equipment
through medium sized specialised consultants, often value added importers. See
the Chapter 11.11 for a list of such companies.
Whatever the buyer’s rational to purchase a solution to make better use of water in
production, the seller still has a hard job in a culture where the cost-to-own is
traditionally overshadowed by the price ticket.
In our experience, many such requests for a quotation begin as an attempt to
mitigate the direct pollution from waste effluent and tend to focus exclusively on a
cleanup job, which, if one wants to comply with the current legal standard, will
often be hard and expensive to realise. A more successful approach is to extend
consultancy to cover the entire manufacturing process, aiming for a zero-liquid
discharge end result. While this is much more work and requires expertise not
always in the toolkit of the average Dutch WWTP engineer, the economics of
reduced water input, less equipment damage (treated re-used water can be soft
and free of contaminants present in piped water such as chlorine), reduced quality
variability and no dumping fees or fines make compelling reading for any Egyptian
CFO.
Dutch companies are recommended to build strong relationships with several value
added importers, invest in capacity building with such partners and extend their
process know-how to cover what happens between purifying process water and
cleaning waste water.
Valuable financial support is now available for Egyptian factories that plan to invest
to move from environmental non-compliance to compliance. The EPAP II program
of the EEAA140 provides loans with a 20-30% grant component to help finance
industry make improvements to improve performance and comply with
environmental regulations. The programs (one for Cairo and Alexandria, another for
the Governorates) are financed by the WorldBank, EIB, KfW and others.
Applications must be made by the Egyptian factory through selected local banks,
but the foreign supplier has an obvious role in supporting the technical side of such
an application.
140
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http://industry.eeaa.gov.eg/
5.7
Home Consumer market
Egypt has a substantial market for consumer water products. As we have received
no inquiries or expressions of interest for such markets from any Dutch firms, just a
brief overview.
- Bottled water sells in ½ liter and 1½ liter bottles and is available nearly
everywhere. Most brands (Nestle, CocaCola and many others supply tapwater
that has been extensively filtered and taste enhanced. The exception is Siwa,
which provides water from the natural wells at Siwa oasis. There is no price
differentiation.
- Most bottled water companies also sell the 20 liter bottles for dispenser units.
- Home filtration units, often with a small RO membrane and carbon filter, priced
from €80 to €350, find a ready market. Most of the equipment is American,
Taiwanese or Chinese, who engage in what is no more than a battle of price
attrition.
5.8
Water education
Education in the Netherlands, for a very long time a purely national affair, has
become an export product and water education is no exception. At the tertiary
level , Dutch Universities accept a steady stream of foreign students in water
related subjects; undergrad to PhD level.
Wageningen University and Research Centre (WUR) is the Netherlands’ traditional
source of knowledge in matters agricultural and of course, water. Wageningen UR
trains specialists (BSc, MSc and PhD) in life sciences and focuses its research on
scientific, social and commercial problems in the field of life sciences and natural
resources. In the field of agricultural science, the university is considered worldclass. Although modest in number, Egyptian Wageningen graduates make a growing
presence. Bursaries from Nuffic, selected UN organisations and possibly the EU,
though not easy to obtain, are available141.
Specialised in Water is the IHE-UNESCO142 Institute for Water Education. The
Institute, located in Delft, is the largest water education facility in the world, and
the only institution in the UN system authorised to confer accredited MSc degrees.
In addition to following one of the many Degree courses, Egyptian students can also
follow a double-degree program in Hydro-informatics at Ayn Shams University (Civil
Engineering), which is taught partially in Cairo, partially in the Netherlands.
Regrettably, the cost of the Course and the stay in the Netherlands are beyond the
means of most Egyptian water specialists and without further bursaries or
fellowships the number of students from Egypt will remain limited.
A recent development is a new EU Water Sector Loan for Egypt which is based
around a capacity building component. One of the objectives is to jointly establish
an education program in Cairo for Egyptians and other nationals from Nile riparian
countries with both short Courses and a Masters Course. The new program must be
accredited by both the University of Cairo and by IHE-UNESCO. Students will still
141
Selection criteria and details are too diverse for this general publication. Interested parties are
advised to contact EKN for more details (Chapter 11.1)
142
http://www.unesco-ihe.org/
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have to follow part of the curriculum in the Netherlands. Considering the cost and
the fact that the new loan pays for course development, not for students, the
future uptake is uncertain.
Nuffic143 is a Dutch, non-profit organization and supports internationalization in
higher education, research and professional education in the Netherlands and
abroad under the NICHE program of the Dutch government. Nuffic finances
education projects and awards the work through tender. As Egypt requires
substantial support in vocational training, Nuffic will be interested to work with
Dutch private and semi-public sector companies to add more practical experience
in the course.
Some examples of current Nuffic tenders for Egypt:
- Regional Institute for River Transport
- Capacity Building Programme for HCWW; Improve the quality of the
educational offer of 3 technical schools and 3 training centres to provide
relevant and practical teaching in a sustainable way.
5.9 Getting in touch and finding partners
Business in Egypt is rarely done between just the buyer and the seller, certainly not when
one comes from a different country. As explained in more detail below, finding the right
agent, distributor or business partner is arguably the most important part of making a deal
in Egypt. In Chapter 11, we list a large number of different organisations and contacts to
help the Dutch companies start finding and selecting such a partner. This is not a simple
process.
The Egyptian business world is dynamic, companies come and go; product focus changes
and personal bonds and relationships on which many of these companies rely can vanish
overnight. Then, there is the sheer size of the country: few if any agent can reliably cover an
entire market segment.
In Chapter 11, we have listed over 300 organisations with, where relevant, their
specialisations, but are reluctant to recommend individual players in preference over
others. Finding a long term partner for good business in Egypt is more than matchmaking.
Invest the time in getting to know the people you are going to work with.
143
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http://www.nuffic.nl/home/about-nuffic
6.
About money
6.1
Cost base Holland: Expensive!
The Netherlands is a country where things get done well, very well, but at a price.
Average manufacturing labour cost now amounts to €75 / hour in the workshop,
more on site and double this if the site is overseas. This converts to LE630, a very
good weekly wage in Egypt.
The counter argument that Dutch quality and efficiency are superior is both true
and irrelevant to a buyer of a simple solution. Most water solutions in Egypt are
solid installations using tried and tested technologies with IT employed only to
improve process quality, never to reduce the payroll. There is little point in trying
to export Dutch labour hours to a country that can do the same thing at 10% of the
cost.
Says Naglaa Haidar, joint-venture partner of Nijhuis Water Technology Egypt
144
Ltd , “For the first years, we were agents, passing on our principal’s work
without changing a word. Now, as partners, I take everything that comes
from Holland and check it carefully against local supply alternatives. A pump from another
foreign source but with a local service network, something we can manufacture in our own
workshop or over-engineered quality that is just not needed. We are solid with a continuous
order book.”
In our interviews with Dutch companies, we found a stalemate when it came to
joint operations and part manufacturing in Egypt. Many larger and older firms,
sometimes to keep the in-house factories going, were highly sceptical of what was
called an erosion of competitive value, “giving the farm away”.
Many others, though, are confident that with the right local partner and a joint
focus on getting more business, everybody’s advantage can be served in a
production structure that takes account of and optimises comparative advantages.
Considering Egypt’s regional position, the MENA and African markets can be well
served from such a base.
6.2
Usual business not as usual
In the world of international business, open credit is the exception, not the norm
and sales to Egypt must be secured in some form. We mentioned earlier that Dutch
SMEs 145 like to negotiate at least 50% pre-payment; something that is workable in
small, incidental jobs. However, in larger and more structured projects, such
becomes difficult and the international banking system needs to provide the tools
to do business. Traditional methods like LC’s allowing partial deliveries, revolving
LC’s and of course confirmation of LC’s by a prime bank in beneficiary’s country
were all created a long time ago to facilitate business over great distances. It
appears that Dutch banks, risk shy after the crises of the last years, are sometimes
reluctant to “oil” trade.146 Dutch survey respondents felt that if the established
finance system is shy of doing its core job, then a government keen to promote
exports to developing countries should step in to help.
144
http://www.nijhuis-water.com/home.aspx
MKB
146
One of our interviewees recounted how a 100% cash covered LC, issued by a prime Turkish bank
proved impossible to confirm by a Dutch bank.
145
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One of the suggestions heard in the Dutch survey was to simplify entry and expand
existing export credit insurance options. Services offered by insurers like Atradius147
are perceived as expensive, complicated and just too much work for an SME.
Consulting firms and other larger firms work with export credit insurance as a rule.
Janneke Hadders - Dacom: “A simple credit insurance facility would be a blessing and open
many doors now closed to Dacom”
There is presently no Dutch bank with a branch or rep office in Egypt, but both
Egyptian and foreign banks offer a full range of services. Most Egyptian banks have
international correspondents but such relationships can be affected by the postrevolution uncertainty. Dutch sellers are advised to contact the Dutch
correspondent bank of the buyer’s Egyptian bank and check very specific on details
such as l/c confirmation.
Egyptian private companies will typically have accounts with both local banks and a
local branch of an international bank. Shortly after the Revolution, the Ministry of
Finance imposed limits to foreign outbound transfers, but these have since been
lifted. Generally speaking, Egyptian buyers with ready funds to purchase can
arrange all normal payments and guarantees. Commercial credit, though, is still
hard to come by for Egyptian businesses.
Most Dutch businesses operating in Egypt may prefer to work with a branch of an
international bank. For example, NSGB and HSBC148 have excellent personal and
commercial banking services, supported by large branch networks.
Dutch companies interviewed, told us that they are less interested in fancy
programs and more in expanding “ordinary” banking facilities. One suggestion was
to support bank credit for eligible transactions with a (partial) State guarantee
similar to the existing BBMKB facility and to create a credit facility like the
Innovatiebox for companies that engage in market and product development for
Water Mondiaal countries. Specific funding to support water came up several times
in the Dutch interviews. Again, the thinking is to expand existing stimuli to cover
water exports to countries like Egypt.
The Dutch tax, subsidy and business support system already offers a myriad of
initiatives to drive various goals like “Innovation” and can be expanded with little
trouble to cover “water”. Similarly, much needed collaboration in the sector can be
rewarded when companies form consortia and joint-ventures to drive water
exports. A detailed review is outside the scope of this “scan”, but, as has been
shown in innovation, the tax system can be turned into a positive driver for
companies by encouraging “more controlled risk for higher returns”
More on this below.
147
http://www.atradiuscollections.com/uk/debt-collections-products/debtcollections.html?language=en-UK&gclid=CMbVudWlg6sCFQdO3godhCU00w
148
Nationale Societe General Bank (see Chapter 11.1.5) and HongKong and Shanghai Banking
Corporation
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6.3
Dutch development cooperation: a new chapter
149
Over the last decade, the Netherlands has spent 0.8% of GDP on development
cooperation worldwide, amounting to some € 5 billion in 2010. The prime goal of
Dutch development cooperation is to combat poverty by providing structured and
sustainable support in the beneficiary country. In principle, only countries with a
sound social economic policy are eligible. Disbursement goes through different
channels.
A good 1/3 goes to bilateral support for projects in 36, soon to be 15
“partner” countries.
- Another 1/3 as contributions to multilateral project support such as the
World Bank or EIB. In the case of Egypt, such funding often comes in the
form of grants which provide a degree of discretionary influence on
detailed spending allocation. ISSIP I and IIIMP are a case in point.
- The remainder flows through the “private sector funding channel” which
includes commercial companies, ngo’s and knowledge institutes.
International investment subsidies for Dutch private sector companies
amounted to about € 350 million in 2009.
Current policy in the Netherlands towards international development cooperation
has changed in recent years. Where the original driving force was once the support
for the less fortunate in other parts of the world – moral responsibilitydevelopment aid has become development cooperation. Donors consider
beneficiary countries and organisations as partners of equal value and the interests
of both donor and beneficiary can now be taken into account.
-
Entrepreneurs and business create jobs and help grow prosperity in developing
countries and Dutch programs increasingly aim to stimulate and support private
sector involvement in the expectation that a strengthened economy will lessen
150
reliance on foreign support . Such programs may include directs subsidies to
developing countries or participation in EU and other multilateral funds. Dutch
water technology is one of the priority areas.
In stimulating business in developing countries, the Dutch Government can work in
partnership with Dutch companies and ngo’s. This is called a “publiek-privaat
samenwerkingsverband” 151 or PPS152 of which some 50 have been established
today.
-
-
Collaboration only if no PP partner can attain the set goal on its own
Collaboration with private business and open to join by knowledge
institutes, ngo’s and private organisations for international development
assistance.
The Government of the recipient country is involved
Risks and responsibilities are shared by all partners
149
This puts the Netherlands at the top of the global list and well above the European and UN
recommended norms. (with Norway, Denmark, Sweden and Luxemburg) . The 2012 National Budget
intends to reduce this to 0.7%
150
http://www.rijksoverheid.nl/onderwerpen/ondernemen-in-ontwikkelingslanden/sterkbedrijfsleven-in-ontwikkelingslanden. NWP is a good example of a PPS
151
http://www.rijksoverheid.nl/bestanden/documenten-enpublicaties/brochures/2010/01/01/handreiking-publiek-private-partnerschappen/handreikingpubliek-private-partnerschappen.pdf
152
Commonly described in the Netherlands as a Public Private Partnership or PPP. To avoid confusion
with the internationally understood concept of PPP’s described in Chapter 5.2.1, we’ll refer to the
Dutch Publiek Private Samenwerking as PPS
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-
Long term sustainable objectives
Focus on “Partner” countries
A PPP (PPS as we call it here), says the Dutch Ministry of Foreign Affairs, is a partnership
between government and business ( in many cases with ngo’s, labour unions and or
knowledge institutes) where the partners agree to collaborate towards a common goal or to
execute a specific task, while sharing risk, responsibilities, means and competencies.
Existing Dutch PPS’ with international scope are working on objectives as wide
apart as the sustainability of international supply chains153, safe, renewable and
affordable electricity154 in Africa, coffee planting in Colombia, vaccine development
and immunisation155, solar energy156 and healthcare insurance157 in Africa.
Extending the concept to Egypt’s need in water management and sanitation is a
challenge that can be realised by some good “out of the box thinking” by a Dutch
water player.
More traditional support from the Dutch government: subsidies, co-investment, tax
breaks a.o. remains available for projects that make economic sense to both the
Dutch and the Egyptian parties.
All projects to support the private sector business in developing countries aim to
ease the business climate by removing or lowering barriers to business entry and
improving knowledge and skill sets.
-
153
Ease access to export markets, as a member of WTO and through European
158
Economic Partnership Accords .
Access to credit and financial services, partly by strengthening local
financial service providers with capital and technical assistance.159
Advise and reform in missing or limiting legislation160
Co-investment in physical infrastructure such as transport or
telecommunication, typically in multilateral funding projects161.
162
Support for technical and vocational education .
Several programs, detailed on the following pages163 provide funds to
strengthen skills and knowledge.
Support for local producer organisations.
http://www.duurzamehandel.com/en/about-idh
http://www.nuon.com/company/Sponsorship/fres.jsp
155
http://www.gavialliance.org/
156
http://www.nuon.com/company/Sponsorship/fres.jsp
157
http://www.ifhafund.com/
158
Under an EEPA, developing countries gain access to European markets without the counter
obligation to open their domestic markets.
159
See FMO, later in this Chapter
160
Ref. the “Doing Business” reports from the world Bank
161
In this context, also see ORIO, later in this chapter.
162
See 5.8 below, water education
163
PSI, PUM, MMF, CBI
154
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6.4
Funding: a line-up of Dutch Government programs
Even though most Dutch survey respondents were understanding about the need
to reduce government spending in these days of economic crisis, many expressed
the opinion that such would not make a big difference with subsidies and other
government support for export oriented Dutch businesses. Most plans, they said
did not “hit the spot”; too complicated in application, not effective in execution.
Several respondents in The Netherlands indicated that some of these facilities were
virtually unknown in the industry and that P4W or the NWP could do a good job
“advertising” what is already on offer. We provide a brief line-up. Note that most of
these facilities are not cumulative. In other words, the same event provides for a
tax advantage only once.
6.4.1.
PARTNERS VOOR WATER- SPRINGBOARD FOR INTERNATIONAL AMBITIONS
164
The Partners for Water programme provides support to Dutch commercial and nonprofit organisations that work together to realise their international objectives in
the field of water. Partners for Water acts as a springboard for organisations that
have the courage to venture into a new region, for example, by applying a new
technology or approach, or those with innovative projects overseas. In doing so,
they create international opportunities that have potential both for themselves
and for the Dutch water sector as a whole165.
In order to support the realisation of the Dutch “National Water Plan”, Partners for
Water has a focus on the five Delta Countries. The Dutch broad water sector will,
through public tenders, propose specific identified projects in these countries.166 As
an example, Jakarta Resilient167 aims to develop a strategy to for the Coastal
defence of North Java.
NWP informs us that the call is out for “business case” proposals in Egypt, which
can be the first step towards development of eligible projects.
6.4.2.
ORIO- THE FACILITY FOR INFRASTRUCTURE DEVELOPMENT
168
ORIO is funded by the Dutch Ministry of Foreign Affairs to encourage public
infrastructure development in developing countries. ORIO contributes to the
development, implementation (construction and/or expansion), operation and
maintenance of public infrastructure in developing countries. The official
application must come from the Egyptian government. ORIO encourages the
involvement of Egyptian and Dutch businesses in the development and realization
of infrastructural projects, in order to make optimum use of the expertise of the
private sector. The central government can, in this case, submit the project
proposal together with the private initiator. In Egypt, accepting an ORIO grant
requires parliamentary approval.
164
http://partnersvoorwater.nl/index.cfm/site/Partners%20voor%20Water/pageid/B399E45D-FA99-ED9E81B9CE7146415AC7/index.cfm/partners%20voor%20water%20in%202011
165
http://www.waterland.net/index.cfm/site/Partners%20voor%20Water/pageid/B3AA2C64-B62906DA-F113DAF21808AAFE/index.cfm/subsidieregeling%20wereldwijd%20werken%20met%20water.
166
http://www.waterland.net/index.cfm/site/Partners%20voor%20Water/pageid/B399E45D-FA99ED9E-81B9CE7146415AC7/index.cfm/partners%20voor%20water%20in%202011
167
http://partnersvoorwater.nl/index.cfm/site/Partners%20voor%20Water/pageid/8295B6F8-EE66558F-45EB7A94B3976E54/index.cfm
168
http://www.agentschapnl.nl/en/programmas-regelingen/facility-infrastructure-development-orio
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Orio is not very popular in the Dutch SME world due to its complex procedures,
lengthy approval period and the requirement that the actual execution job (the
preliminary study contract can be directly contracted to the Dutch project driver)
must go out to international tender. We venture that a Project worth ORIO
financing involves probably more than a single SME can handle. A professional
joint-venture or consortium can muster the qualified manpower to manage and
steer an application.
Larger companies like Damen and IHC have done well by ORIO. In Egypt, the Pharos
project is an ORIO Project with Alexandria University, Medical Faculty.
6.4.3.
169
PSI- THE PRIVATE SECTOR INVESTMENT PROGRAMME
PSI is a subsidy programme of the Dutch Ministry of Foreign Affairs / Development
Cooperation that supports innovative investment projects in emerging markets,
with the aim to strengthen economic growth, employment and income generation.
The PSI program is open to any sector in the economy. The PSI project in Egypt is an
investment project, implemented by a Dutch company and a local partner, with
whom a sustainable relationship will be established. The PSI grant can amount to
50% of the investment to a maximum of € 1.5 million. The project partners are to
provide the other 50% themselves. Over the years, at least 25 PSI projects have
been successfully completed in Egypt, an indicative list:
- Makro farming collaboration. Quality controlled logistics & distribution of
high quality fresh vegetables & fruits for the domestic urban market in Egypt
- Farm-Frites – Dacom precision farming as described above
- Winter-capsicums from Egypt
- Pilot production of grafted vegetable seedlings
- Development of a high quality, organic export chain for Egyptian herbs
- MABA Retail: J-V for retail-packing and distribution of ware potatoes in Egypt
- Sinai integrated chain project for freezing and drying of herbs
- Growing radishes in the Egyptian desert for the EU and CEE markets
- High quality piping production in Egypt
The preponderance of agricultural projects in this list is not a bias built in PSI, but
the direct result of the enthusiasm and perseverance of individuals on the spot.
6.4.4.
PUM- NETHERLANDS
170
SENIOR EXPERTS
PUM provides Technical
Assistance in various fields to
Egyptian SMEs. PUM advisers
are volunteers and are
selected on the basis of their
many years of experience and
superior knowledge. They are
independent and receive no
financial reward for their
services. PUM pays for
169
http://www.agentschapnl.nl/en/programmas-regelingen/private-sector-investment-programme-
psi
170
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www.pum.nl
international travelling expenses and the other costs of missions while Egyptian
companies requesting assistance pay for local travel and accommodation costs.
Some recent examples:
- Port Said production of Gouda and Edam cheeses and butter.
- Production improvement for manufacturer of wrapping paper and cardboard
from recycled paper
- Furniture production: machine routing in the new larger production area
- Port Authority, assistance in the launch of new operations, including a
stevedoring business, modern
- techniques for container processing, and inland transport
- New JV for Egypt-based plant to produce protein and egg yolk used by
bakeries and the food industry.
6.4.5.
MMF- MATCHMAKING FACILITY
171
Egyptian companies looking for reliable business partners in The Netherlands. MMF
puts those companies in touch with Dutch businesses. The goal is to stimulate joint
business relations (investment, trade, knowledge transfer) that will strengthen the
private sector in developing countries and upcoming markets. The MMF is used
regularly by Egyptian companies and has often resulted in a PSI project.
6.4.6.
CBI- CENTRE FOR PROMOTION IMPORTS FROM DEVELOPING COUNTRIES
172
Undertakes Export Coaching Programmes, for enterprises wishing to export to the
European Union, conducts Training Programmes on exporting to the European
Union for exporters and maintains a database of Egyptian companies. CBI has
coached several Egyptian companies to become competent exporters to the
European Union.
In a current project with UPEHC, market prices and other vital information for
horticultural farmers will be available online from November this year.
6.4.7.
BOCI- DOMAIN INTERNATIONAL COOPERATION 173
Domain International Cooperation is an agriculture focused programme that aims
to contribute to economic development and poverty reduction in developing
countries, with special attention to the strengthening of sustainable agriculture and
production chains, and nature management. The programme implements a
demand-driven approach in which the research agenda is determined jointly with
governments, research partners, NGOs and the private sector in the South.
Administered through WUR and EKN, current BOCI projects in Egypt include
research work in:
-
Integrated fish farming
Brackish fish farming
Lake Burulus
Recycling of rice straw
GAP for small farmers,
Transboundary animal diseases.
171
http://www.agentschapnl.nl/en/programmas-regelingen/matchmaking-facility-mmf
http://www.cbi.eu/
173
http://www.boci.wur.nl/UK/
172
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174
6.4.8.
DECP DUTCH EMPLOYERS’ COOPERATION PROGRAMME
A public-private partnership of Dutch employers and the Ministry of Foreign Affairs
with the aim of strengthening the position of employer organisations in developing
countries. DECP wants to strengthen the capacity of business organisations in
developing countries by transferring knowledge and experience, by cooperating
with national and international organisations and through financial contributions to
programme activities.
-
6.4.9.
fostering sustainable socio-economic development;
formulating and influencing policy (national and international);
defending the interests of members;
providing services to members and attracting members.
FMO- FINANCIERINGS MAATSCHAPPIJ VOOR ONTWIKKELINGSLANDEN
175
Although not a provider of subsidies and with no specific objective to assist Dutch
companies grow export business, we list the FMO here in response to questions
from Dutch companies.
FMO is a public-private development bank with the Dutch State and large Dutch
banks as major shareholders. FMO co-invests in ventures in developing countries,
not always with Dutch investors and never as a majority holder and only if the
commercial prospects of the venture are promising. Water infrastructure is not an
area of specific focus, but is part of the Infrastructure Development Fund176.
The FMO MASSIF177 program: “Financial Services for All”, targets small companies
and micro-entrepreneurs who deliver financial products and services to clients in
their direct vicinity. While they underpin the local economy by creating
employment, training personnel, generating wealth and growth, they also face
great challenges in accessing capital, savings and payment services. Massif
contributes to the development of financial services for small businesses and microentrepreneurs (SMEs) by increasing financial resources available to them and by
strengthening the financial intermediaries.
6.4.10.
NBSO- NETHERLANDS BUSINESS SUPPORT OFFICES
178
NBSOs support Dutch businesses in their international activities and are particularly
effective in supporting SMEs. NBSOs have no diplomatic status, are dedicated
exclusively to the promotion of Dutch trade and investment and their activities are
coordinated by the local embassies. The services provided by the NBSOs, trade
requests, market scans, missions, trade promotion, identification of market
opportunities and more are free of charge.
At the moment, there is no NBSO in Cairo, but EKN has a large and extremely active
trade and development section.
174
http://www.decp.nl/web/show/id=122524
http://www.fmo.nl/
176
http://www.fmo.nl/smartsite.dws?id=396
177
http://www.fmo.nl/smartsite.dws?id=394
178
http://www.hollandtrade.com/matchmaking/dutch-representatives/nbso/
175
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6.5
From Innovation support to Water support
Early this July, the Dutch Cabinet announced its intentions to support the Arab
Spring region to help with sustainable transition to:
- Democracy: particularly fair and free elections.
- Restoration of the Rule of Law and protection of Human rights, with
particular emphasis on gender equality, religious freedom and protection for
minorities.
- Economic growth, through (re)building infrastructure, including the
promotion of employment opportunities.
In addition to the already substantial amounts that the Netherlands provides
through multilateral channels, a bilateral program shall be created through which
the Netherlands can contribute in specific and focused ways to support the
development of the region. Such a bilateral program does not need to be created
from scratch. The Netherlands has a complex tax and subsidy system, with
numerous special facilities, created initially to promote innovation in industry which
can be applied to the promotion of water technology exports, which is an equally
important national objective.
Innovatiebox179
The InnovationBox is a tax reduction facility for profits derived from patented
innovations, developed in-house. Profits from water-exports and or export
collaboration projects could be taxed at a similar concessionary rate.
BMKB- Borgstelling MKB Kredieten180
Innovative SMEs that need to borrow more from a commercial bank that they can
mortgage their assets for, can ask the Dutch Government to help with a
LoanGuarantee to a maximum of €1.5 million.Eligible for such guarantees are SMEs
that start a new venture, setup abroad or work on technological innovation.
Expansion abroad is hard to finance for SMEs as the assets that form security for
the loan are often in a different country subject to a different legal system. The
Dutch Government provides such a guarantee to help enterprising companies with
international ambitions obtain the required bank financing.
WBSO- law for the promotion of R&D181
Innovative companies can ask to be awarded an R&D-certification which entitles
them to tax advantages on the salary costs of R&D. The certification applies to firms
involved the development of new products or processes, technical research or a
technical feasibility study. The certification is equally important for those looking to
benefit from the facilities under the InnovatieBox or the BMKB, above.
179
http://www.belastingdienst.nl/zakelijk/vennootschapsbelasting/vennootschapsbelasting51.html#P537_40546
180
http://www.agentschapnl.nl/programmas-regelingen/borgstelling-mkb-kredieten-bmkb
181
http://www.agentschapnl.nl/programmas-regelingen/wbso
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Groeifaciliteit – growth facility182
When a financier is ready to provide venture capital to a firm to support fast
growth, a take-over or overseas expansion, but feels uncertain about the degree of
risk, the Dutch government can issue a state-guarantee to 50% of the investment
value. This lowers the downside risk threshold for the financier. Obviously, the
business opportunity must make commercial sense and should not be constructed
to replace another form of credit. The facility is not available for projects in
agriculture or aquaculture.
Garantie Ondernemingsfinanciering (GO)183
The guarantee for enterprise financing is a similar arrangement for commercial
banks which lend to business. The GO is the government’s answer to the difficulties
commercial firms experience when trying to obtain a bank loan or bank guarantee.
The facility is not available for projects in agriculture or aquaculture.
Innovatiekrediet184
When innovative ideas with good potential for market traction find commercial
finance hard to come by, the InnovationCredit can be made available to SMEs and
Startups. The focus is on promising innovative projects that can quickly lead to new
products, like technical R&D or clinical trials for a new drug: projects with
substantial technical risk but of great importance to the firm.
The focus on innovation in all these facilities is a focus of choice, the political desire
to promote and drive technological innovation in industry. Given the will, the same
thing can be achieved for water and Water Mondiaal exports. It takes little effort to
enable the same facilities for “water” objectives.
182
http://www.agentschapnl.nl/programmas-regelingen/groeifaciliteit
http://www.agentschapnl.nl/programmas-regelingen/garantie-ondernemingsfinanciering-go
184
http://www.agentschapnl.nl/programmas-regelingen/innovatiekrediet
183
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7.
Working in the Egyptian market place
The preceding pages will have illustrated that Egypt is a market where Dutch
products and know-how are welcomed, but only if the price is right. Approaching
this from a cost to buy- cost to own concept makes rational sense, but is still a hard
sell in Egypt for several reasons:
-
Egypt’ s manufacturing capacity is getting better by the day and local
companies increasing feel that many imported products might as well be
produced at home at much lower input costs.
-
There is enormous reluctance to pay for services, consultancy and other “soft”
items; such are supposed to be embedded in the hardware product or are to
come in the form of people actually seen to do work on site.
-
The time-value of money is a highly theoretical concept in a country where time
is flexible, ROI is often measured in a near monopolistic environment and
where the presence of the equipment often counts more than its output.
-
Maintenance is usually not preventative but reactive and is done with a strong
belief in the local capacity to “fix” things. This in contrast to the Dutch approach
of replacing parts before they break.
Hence, short of trying to force an entirely “made-in-Holland” expensive product on
a reluctant customer, a number of potential strategies come to the fore:
Target the right customers
This refers in the first place to the complex jig-saw of consultants and contractors,
prevalent both in the W&WW and the industrial sectors. Good local intelligence can
save the Dutch seller enormous amounts of time in avoiding window-shoppers and
enabling quick technical pre-assessments, so opportunities are only pursued where
the seller’s value-add is actually wanted. From a different angle: if your product or
expertise is a component, do not waste time looking at the big tenders. Ensure that
you have become a trusted source to the local contractors who regularly bid (and
win) these tenders.
In this context a word on GoE as a customer. Many Egyptian private sector
contractors can be heard to say that they will not work with a public sector
customer, as too difficult, too cheap and taking too much time. While there may be
some truth in these statements, we suggest accepting such only with big
reservations. By our estimate, organisations like MWRI, NOPWASD, MALR and
many others account for more than 80% of the water market and their business
gets done, year in year out.
Educating the market
Water is a technology market and while the basics are no rocket science, specific
competitive advantages come to those who apply new technology at the right local
spots. That requires a local voice with a broad background in technological
development, a predilection for “out of the box” thinking and a jump from
technology to money and backwards. Egyptians are very good in the last two, but in
the absence of a continuous learning culture, new technical hard facts come from
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visiting international specialists. This provides unique opportunities to help set
direction and standards.
Join forces
Export business is expensive business with a lot of costs up-front. Still, most Dutch
companies, as we saw in the survey, believe that sending their own people to Egypt
is the best way to start overseas business185. It simply takes time to truly
understand a new market and between them, all these travelling Dutch salesmen
create a lot of redundancy. It makes sense for non competing Dutch companies to
share market info, to let one salesman handle several complementary product lines
or to share local services.
Focus on customer needs and improve the embedded added value
This is the story of the RFQ (request for quotation) for a Mercedes at a Volkswagen
budget. Just countering a written inquiry with a written quote is a seemingly futile
exercise. Instead, meeting with the customer (contractor or end-user) provides the
deeper insight and unearths which market pain the project aims to solve. Even
better is to engage the end customer, often a government organisation, early on
and be part of project creation process. Understanding what the customer truly
needs and re-engineering the product-service bundle to respond to this, creates an
answer to the question that is really on the table. This is where a join-up of
equipment supplier, experienced water operator and knowledge institution can
forge a true Dutch Joint Strike force. With a structure like the JSF and supported by
the Dutch Government with programs like GO and BMKB, answering to customer
needs can be a true winner.
Enhance the perceived value
Value is a tricky thing with competing elements like brand perception, product
utility, the opportunity cost of alternatives and very personal like, like-not
sentiments all confusing the hard value-for-money equation. Engineers who speak
“engineer language” are often non-plussed. “Why do they not understand that this
is the much better solution?” In Egypt everybody can read the notes, mais c’est le
ton qui fait la musique. Identifying where true customer value lies, and which
buttons to push, is learning not what the customer wants, but why he wants it.
Turning an impediment into an advantage, pilot projects are proving a very
effective way to get started with a new technology or process. As a rule, Egypt does
not buy anything that has not been proven to work in a real-life environment in
Egypt. Taking advantage of the many forms of Government support outlined in the
previous chapter, Dutch companies can build a demo installation, maybe even at
commercial scale at a fraction of the cost. Beware however, a pilot project is
understood to prove that a proven concept works in Egypt; it is not a trial and error
ground.
185
Not everybody flies C-Class and stays in 5-star hotels, but a typical 1-week trip to Egypt easily costs
€3,000, or €500 per customer meeting, irrespective of outcome and not counting opportunity costs.
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Make your local presence count
Egypt is no country where a seller can walk in, drop a brochure and continue by
email. Building relationships, deepening understanding and developing mutual trust
is all part of the equation for success. And, as a growing realisation of win-win over
a zero-sum game gains ground, a true two-street of commercial advantages must
be created. Commission-only deals tend to be short lived and highly mercenary.
Selecting the right local business partners is only the beginning. This should be
followed by product and value-added sales training, joint project development
(focusing on these customer value buttons) and objective market research.
Activities that help turn the hired help in a true partner. Collaboration with a local
man can be highly productive if properly enabled.
One of the most valuable contributions a local partner can make is to identify overquality. Cost items in the product or service that can be right in a European market
but which cannot justify the price premium in Egypt. 186
For those who nonetheless prefer to go it alone, EKN Cairo has a large and well
informed Trade information section which, however, must serve all Dutch
companies with designs on Egypt. Do not expect tailor-made service on-demand.
Reduce production cost
Local production and sourcing in Egypt is considerably cheaper and quite do-able.
The country has numerous private workshops that do an excellent job in steel
construction, tank welding, fibreglass, assembly and of course civil works. Then,
international household names187 in electro-mechanical equipment all have local
branches and purchasing a pump or a switch is just as easy as it is back home,
minus the requisite overhead.
Taking together, the high cost of European labour, the overhead loading, shipping,
import duties and the inevitable double work make made-in-Holland hardware
expensive to be unsellable.
188
NEM is a Dutch manufacturer of custom made solutions in the field of
Heat Recovery, Industrial and Utility Steam Generators and related
equipment serving a global market. The company had been twice around
the world, searching for a location without the high labour costs of homebase Leiden.
Outsourcing production was no option as NEM wanted to keep its hand in production
details and maintain the asset value of practical experience.
189
Its successful Egyptian joint-venture. Al-Hashemiah came from a chance site meeting.
Says Arie Dorrepaal, Director of Manufacturing: “The young welding foreman showed an
innate sense of organisation and quality awareness. He has proved to be a valuable factory
manager and trusted partner”. NEM does not deploy a large Dutch crew in Egypt; a single
engineer fulfils liaison and QC functions, while Al-Hashemiah develops its own style of
management and strong competitive advantages.
186
The list is long and covers restrictions and obligations derived from European Health and Safety
Acts, a different take on site access, during construction and during operations (in Egypt, the first thing
built is usually a brick perimeter wall) different climate and weather damage risks, local material costs
( a tank in enameled steel or polyester) land conditions (excavation in rock or sand), slurry disposal
rules and so forth.
187
ABB, Schneider, GE, Merlin Gerin, Grundfoss and many more
188
http://www.nem.nl/EN/welcome/859/
189
http://www.al-hashemiah.com/ NEM owns 80% and has invested some €5 million
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Starting local production begins with a fair degree of upfront trust. And that is hard.
Construction drawings on the table, many product details are out in the open and
traditional manufacturers are worried about the risk of losing trade secrets. No
business is entirely without risk and the clever Dutch partner can dose the
information he provides upfront in small parts which do not have to include the
“black box magic” of his core technology.
The right partner and local setup
There are no two ways about it. Foreign companies that want to do business in
Egypt must have a local buddy. Of course, an Egyptian buyer can place his order
directly in the Netherlands after the hard work of the visiting Dutch salesman, but
that is a one-off. And forget about on-line business unless you’re in the consumer
market.
To build business, a brand and continuity, a foreign company must put its name
plate on a building somewhere. The options:
- Agents. Typically non-exclusive either way, this is the most common but
mercenary relationship. Surely, there are numerous examples of Dutch
companies190 with brilliant agent relationships, but you will not hear of the
failures. Agents are driven by commission and their priorities may not
always align with those of the Dutch principal. This is a good reason to hire
professional help in drafting an agency contract. On the flip side, agents
cost nothing up front; commission gets paid only on paid sales.191
For nearly 20 years, Nijhuis Pumps has been
building hi-quality, hi-reliability pumps for many
Nile hydraulic applications and water
treatment plants in Egypt. Raymond Kamp, Commercial director; "We had a
great start supplying under Dutch bilaterally funded programs; the opportunity
to demonstrate that we make the best pumps in a real-life environment. Over
the years, we have built our reputation, jointly with our local agent, who's total
involvement and support is proving crucial till this day."
- Distributors and VAR (value-added resellers), are not very common in
Egypt. More often, inventory will be held by local rep. or branch offices or
by a joint-venture local installer.
- For those who desire a heavier presence, setting up a local rep office is not
complicated or expensive.192 What is not that easy is to justify the high cost
of a permanent payroll193, certainly if an expat Dutch manager is to be part
of the team.
190
Nijhuis Pumps, Landustrie, Wavin, Norit, van Leeuwen Pipes, Duivelaar Pumps, Hubert Stavoren,
Amafilter, Aerzen and many others
191
Legally, an agent must be a local company registered as a foreign agent with the Ministry of
Economy and Foreign Trade. Note that in nearly all jobs where the buyer is the government, a
registered local agent must represent the foreign (Dutch) exporter.
192
Chartered accountant Mahmoud Adlan can help Dutch companies get established with a local
representative office at a budget of US$2,000. http://www.abdallaadlan.com/
193
Like anywhere else, you get what you pay for. Monthly budget for a small local office: Rent and
overheads; €2K, general office staff €500, good sales engineer €1,500, good local manager (incl. perks)
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- A joint venture194 is just as easy in formalities but the wise Dutch
businessman gets serious professional legal assistance to draft a truly
sensible “marriage contract”.
Whichever engagement model suits the business at hand, it will work only if all
parties see a benefit in the collaboration.
Presence means being present
In a country where personal relationships matter more than a long international
reference list or a cool corporate website, companies that matter are present,
through a senior executive, when decisions are made. Agents, even when they are
also established industry consultants, cannot sit at the table as an equal when
decisions are made that require the participation by a Dutch company.
In this context, it is worthwhile to consider working with EKN, APP, NWP and other
Dutch (semi)public or private organisations to engage Egyptian senior policy and
project makers at an early stage.
Business in Egypt, customs and the law
The decision to go to Egypt and do business is easily made, but the devil is, as
always, in the detail. Egypt is a complex country with a business culture and
environment very different from the Netherlands. That may seem obvious, but
many Dutch businessmen experience disappointments when a little forethought
and preparation could have made all the difference.
Time is a different commodity and meetings may not only start beyond the
scheduled time, there is no guarantee an agenda will be followed or that firm
decisions and action items will follow. It is also not unusual to discover at the start
of a meeting that the senior executive supposed to be there passed on the burden
to a subordinate. It is not unusual, if a meeting concludes with an invitation to
meet again, a few days later. Walking in with an order form is very optimistic and a
little naive. That is problem for short term visitors with a return ticket and their
mind set on the coming weekend.
Some of this has to do with the strict hierarchical structure of Egyptian public and
private organisations which has little room for delegation of authority. So, unless
you are dealing with the true “boss”, the essence of the meeting will have to be
discussed higher up before a decision can be made. Similarly, signing an order or
contract does not lead automatically to an opened Letter of Credit.
All this comes wrapped in a warm cloak of hospitality and bonhomie.
“Separate the hospitality from the negotiation: your counterpart does so too and is a master
195
at both.”, Mauritius Wijffels, Dutch Advocaat and Business Adviser, practicing in Cairo.
€4K, Dutch (young) expat representative / manager €6K, cost of living allowance for same €2K. Annual
budget typically € 150K minimum.
194
J’V’s that work in real life have a clear majority partner. Constructing the Egyptian venture in layers,
for example, production and sales where only a the production layer is included in the JV, helps to
weight each component appropriately.
195
http://www.melba-legal.com/
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Early negotiations are a subtle game of building and managing expectations.
Different people will have different takes on the same facts.
-
Egyptian companies and their CEO’s pride themselves on the number of
people they employ and have no experience with the Dutch patchwork of
collaboration networks between small companies and individual
specialists. In all such collaborative cases, it pays to agree on a single
organizational presentation before leaving the Netherlands, flying under a
single brand name. Legally, this can be backed up in a simple Letter of
Intent, just between the Dutch parties; on the outside, the Egyptian buyer
has the comfort of seeing an organisation with a number of people,
physical assets, a manufacturing facility and the like.
-
Mind what you promise. Statements will be taken at face value, so the
promise to provide technical information to assess local manufacturability
must be just that. Scrabbling backwards in a belated uncertainty whether
intellectual property may not be jeopardized is a deal killer.
There is always a tendency among business people to “get on with the job” and
leave the details for later, if at all. Nowhere is this more foolhardy than in Egypt
where, if things go bad, a foreigner without a written contract finds himself in a
most unenviable position. As long as all goes well, as we all hope, nobody looks at
the contract document, but as and when “it happens” the investment in time and
money pays off. Here are a few key issues that should be worked out in advance.
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-
Do a due diligence search. In the absence of formal credit rating agencies
working in Egypt, checking around in the industry and finance network to
unearth the entire history of your friendly host and future business partner
is often the most effective way. This is a hard act for the visiting foreigner
and is best left to local business advisors. Budget for this expense from day
one.
-
Don’t fall for the myth that business in Egypt is a matter of good
relationships. It’s true, of course, but it does not stop there. Discussing and
firming joint plans and writing a contract that covers the good and the bad
times is just common sense. If a future partner counters rhetorically:
“don’t you trust me?”, there is even more reason to write it all down.
-
It is true that the legal protection of intellectual property in Egypt is weak
and that Egyptians see little harm in appropriating ideas and technologies.
Joint venture investors must make a choice between what to reveal in
detail and what must remain a “black box”.
-
Whatever the nature of the deal you make, build in sureties for obligations
that fall due when things go wrong. Selling on open credit to a new buyer
is foolish, investing with somebody you met just weeks ago without a rock
solid contract is foolhardy.
-
If a joint venture of sorts is in the plans; a decision making framework is
vital. 50-50 arrangements do not work anywhere in the world and it is
good to decide from the onset who will be boss.
-
This study is no substitute for good legal advice, which we strongly
recommend for anybody who wants to do more in Egypt than a one-off LC
deal, but a contract should at the very minimum contain clauses about
payment terms, limitation of liability and conflict resolution.
-
Fighting a legal battle in Egypt is not recommended. A prior agreement to
resort to arbitration in a third country does not solve the problem, but
makes finding a settlement less painful.
-
For Dutch investors and joint-venture actors, tax advice is also worth the
money charged by a professional consultant. There is a corporate tax
double tax treaty between the Netherlands and Egypt, but application
requires preparation.
It is all too easy to get caught up in the enthusiasm of the new venture and forget
that it’s still business196. It is very important to find partners that “click” in the
professional and personal sense, remember that the “best laid plans ..”
“Your homework will prove your best investment”, Mauritius Wijffels
Negotiating a price
No price is fixed in Egypt and haggling is a way of life with its own rules. Rather than
theorising, we share with you the hilarious and insightful experience of journalist
Joris Luyendijk197, negotiating the rent for his apartment:
“Haggling in Egypt goes like this: whatever price you mention -as a buyer- becomes the
instant minimum; you won’t get lower! So, when asked how much you can afford to pay, you
reply: Such excellent tea and pastry. Egyptian hospitality is beyond praise! By the way, how
much did the previous tenant pay? Cultivate pity and sympathy. No money, problems at
home, expensive flight ticket .... Meanwhile, you praise the product.
Most Western tourists do it the other way. With a “you can’t fool me” face, they criticise the
low quality, which cannot justify the high price, the product isn’t really all that attractive and
not really worth having. Wrong!
Keep it nice and praise the product and politely ask the seller to reduce his price, not because
that price is too high, but because you cannot afford to pay it. Remove the inequality
between buyer and seller and you both maintain your dignity. He is grateful for the business,
you for the lower price.
Business etiquette in Egypt: what you won't find on the Internet
Much has been written about local mores and the do’s and don’ts a Westerner
should mind when doing business in Egypt and the Arab world. Rather than
repeating what is ubiquitously available198, we’ll focus here on the faux pas most
Dutch businessmen have been observed to make with regularity.
Accept that behaviour is measured with two yardsticks; one for the Egyptian, one
for you, the khawaga, the foreigner.
-
Khawaga is not insulting and to be addressed with “ya khawaga” is more a
term of endearment, a bit familiar, but a sign of relaxing the formalities.
196
A realistic budget is €5,000 for due diligence on your new partner and legal advice on the new
venture. Of course, more complex deals require more advisory work.
197
Een goede man slaat soms zijn vrouw, by Joris Luyendijk, 1998 Uitgeverij Het Podium
198
http://www.communicaid.com/access/pdf/library/culture/doing-businessin/Doing%20Business%20in%20Egypt.pdf
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-
Egyptians are hospitable, fun and suave, they’re great people to be with.
They’re also very clever traders and business people and they’re on their own
home ground. Do not get taken in, it’s business.
-
Egyptians can be late and usually are: “the traffic, you know”. You will have to
be on time, though.
-
All men shake hands, some women do not. It is best not to initiate handshakes
with women and leave the first step to them. Not shaking hands is ok. The
Dutch concept of sexism is totally alien to Egypt.
-
Not many Egyptian businessmen have beards, but a 3-day shadow is common
and socially acceptable. You as a Westerner will have to shave, as the scruffy
look does not become your image.
-
The Dutch uniform of jeans, sneakers and a sports jacket is a no-no. In Egypt
business people wear suits. T-shirts are underwear.
-
There are shoeshine boys on every street corner. Spend 5 pounds and look
presentable.
-
Egyptians love titles and in the world of water, you will meet few plain Misters.
Mohandes, Besh mohandes or Doktor followed by the given name or the
surname is the common and correct form of address199.
-
If you must cross your legs sitting down, do not show the sole of your shoe,
and never, never point your sole at anybody. It is really very insulting but many
Dutch men seem to find this the only way they can sit on a chair.
-
If ever possible, do business with the top man or woman and stick to that level.
Never fall in trap of behaving familiarly with your counterpart’s employees.
Swapping jokes with the junior engineer means that he will be your contact
from there on.
-
Similarly, realise there is a thin line between friendliness and familiarity. Do not
cross it, particularly not with junior employees. Not so long ago a foreign
visitor was accompanied to the pyramids by a nice young English speaking
engineer, who used the occasion to complain about his work and salary,
fishing for a job. The foreign guest had no job to give away, but frustrated in
not moving forward fast enough, he was all understanding and commiseration.
This ended up, of course, in a black and white version, with his host. Similarly,
do not assume that an Egyptian who is not vocal in English does not
understand a word. The company driver who kindly takes a guest back to the
hotel understands enough when you summarise meeting his boss on your
mobile to your boss.
199
Besh Mohandes Tarek is Senior Engineer Tarek. Dr Mohamed Mahmoud Abdel Kader will be called
Doktor Mohamed or Doktor Abdel Kader, depending on the social setting and the age difference.
nd
Remember that in 9 out of 10 cases the word Abdel comes with a 2 word following. Abdel is almost
never used in isolation. Haj is an honorary title often used for older men who have made the
pilgrimage to Mecca.
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8.
Concepts for action
June 2011 saw a very successful Egyptian-Dutch Water Week in Cairo. Nearly 300
participants discussed the future of water in Egypt, the policies, the hurdles, the
technologies. Important was the strong presence of the Egyptian private sector. The
challenge now is to keep the momentum going200 and to turn all the good
intentions in real business.
Here, after 90 pages of analysis and opinion, we list, in no particular order, some
practical ideas that can be realised quickly without a call for big budget. The
thinking here is to provide a continuity of Dutch presence in Egypt, to ensure that
the Water Week was no “flash in the pan” and that information continues to flow in
both directions.
In the long run, action must come from those who have most to gain from a strong
market position in Egypt: the Dutch private sector. Larger companies and
institutions may choose to go it alone, but it will be obvious that joint action will
yield better results. Companies can choose to make an effort on an ad-hoc basis,
like being present at the next Water Week , to join hands with other Dutch
companies for a campaign or joint marketing or may decide that a permanent
private sector presence is required in Egypt: a Cairo based organisation that works
exclusively for those Dutch companies that wish this and pay for the service.
It is not clear at this day to what extent the substantial services and goodwill
provided by EKN (with a team of 9 people) and APP can be continued in the years to
come. What must be clear though, is that an Embassy must serve all Dutch
companies that ask for help, putting pressure on available resources and that there
must be limits to the extent to which EKN can promote individual interests on
either the Dutch or the Egyptian side.
Marketing is a tough job which requires constant presence, a clear focus on
markets and segments and a realistic budget. Fragmentation; be it in execution or
in the way the Egyptian customer perceives the Dutch offering, is a losing
proposition. Unity makes strength and Dutch companies, often small by global
standards, need all the help they can give themselves.
Flying the flag in Cairo is important and it will be worthwhile to compare the merits
of the current presence against a PPS, an. NBSO or a pure private initiative.
Most action ideas below are based on providing a continuum after the Dutch
Egyptian Water Week and should be seen against that background. Several can be
put in effect by EKN, NWP or by a private dedicated organisation.
200
NWP lists IWW Amsterdam in November as the next follow-up event. A straw poll conducted
during the Water week in Cairo indicated that Egyptian attendance to this overseas event may be
limited.
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Events and networking
-
Make the Dutch Egyptian Water Week in the format of last June an annual
event.
-
Organise monthly half-day events focused around a single technology or
branch of the water sector; presenting just 2 or 3 Dutch companies. Take
these events to the Governorates and New Towns, particularly if industry
is the target.
-
Broaden the current connections with MWRI and MALR to include the
younger generation of Egyptian civil servants.
-
Guest lectures at the local universities by visiting (sales) technical
specialists from Dutch companies / knowledge institutes.201
-
Masterclass on a single technical topic that cuts across industries and GoE
organisations. Such classes are meant to be highly technical and focus
exclusively on “local experts”.
-
Presence of the Dutch Water Sector at shows and events of industries that
use large amounts of water (agriculture, food processing, natural stone,
industry, etc. Such a presence can be modest en aims to reinforces market
understanding that the Dutch have “water answers”
-
Establish a Dutch University alumni202 organisation and build a network of
business ambassadors. A “join” button on the EKN website.
-
Promote and organise internships with Dutch companies and student
exchanges.
-
Donate old equipment to universities and schools as “learning models”.203
Sales and marketing, production
201
-
Assist smaller Dutch companies in complementary, non competing product
and service ranges to coordinate their sales efforts, share efforts,
information.
-
Encourage Dutch water companies to join forces with other exporters of
industry specific technology204 and offer the end customer a more
complete solution – water pre and post treatment included- is a classic
example of a win-win model through synergy
-
Consider and act on the cost advantages of local manufacturing and
assembly. Help Dutch companies assess the risks and gains towards real
action.
-
Lodging with EKN of target specific company and product brochures.
Providing Embassy staff with short focused briefs on what the company
wants to offer Egypt. Admittedly, this usually takes place when a Dutch
company rep visits the Embassy, but the process in not structured.
Dutch company staff with good tech knowledge , in Egypt for business, can donate an evening.
With just a few weeks notice, a rewarding guest lecture or workshop is easy to organise.
202
Between IHE-Unesco, WUR, Delft, Maastricht B-school and many other schools; Egyptian alumni
must number over 1000
203
Old does not mean junk. An obsolete pump or valve will not sell anymore, but a “cut-open” unit is a
great help in education and displays the brand name continuously
204
Mentioned above, slaughterhouses, glasshouses, industrial plants etc.
94 | P a g e
-
Extend the EKN website with shortcut links to websites of companies that
want to do business in Egypt.
-
Collecting and publishing business cases. These include both past
successes and new “it would be nice if” scenarios where a Dutch
organisation offers conceptual thinking and invites Egyptian parties to join
at the execution level. This can function well with the current NWP call for
business cases.
-
Join in some of the many Entrepreneurship Promotion events and offer
Dutch technology as the basis of a Business plan, competition or new
business.205
At Dutch government, Water Mondiaal and industry level
-
Enable and fund a transition solution where the private sector gradually
establishes (and funds) a Cairo based organisation that can provide a de
facto rep. office for participating Dutch companies, ensuring objective and
continuous information, non biased priority identification and high level
mediation in cases where local agents fail to entirely serve the Dutch
company’s interests. This will adequately answer wishes expressed in the
Dutch survey to help in negotiating sustainable win-win terms of
engagement and in matchmaking to strengthen the quality of the Dutch
participant(s) offering.
-
Pro-actively continue to “twin” waterschappen and water companies with
the ACs in each Governorate.
-
Review the potential of extending the “Innovatie” tax breaks described
above to water exports.
Whichever the initiative, some basic realities hold true. APP, EKN and Water
Mondiaal are government organisations and can be asked to support Dutch
business in Egypt. What they cannot be asked is to do the business in Egypt. Dutch
companies will have to work on their own intelligence and promotional efforts, set
aside rivalry and optimise “bang for the euro” by working together, showing the
Egyptian markets through action that the Dutch are here to stay.
205
Presently, two initiatives are reviewed. The Infrastructure Hackathon organised by the WorldBank
for action in Q4-2011 and a concept to organise a Business plan competition for small scale sanitation
projects based on the technology of different Dutch companies as part of the events under Global
Entrepreneurship Week , also in Q4
95 | P a g e
9.
96 | P a g e
Acronyms & translations
AC
Affiliate company (under HCWW)
AfDB
African Development Bank
APP
Advisory Project Panel
B2B
Business to business
BcM
Billion cubic meters
BOT
Built, operate, transfer
CAPWO
Cairo and Alexandria Potable water organisation
CBI
Centre for the Promotion of Imports from Developing countries
CMRI
Channel Maintenance Research Institute
CoRI
Coastal Research Institute
CSP
Concentrated Solar Power
EEAA
Egyptian Environmental Affairs Agency
EIB
European Investment Bank
EKN
Embassy of the Kingdom of the Netherlands
EMWIS
European Mediterranean water Information system
EPADP
Egyptian Public Authority for Drainage Projects
EU
European Union
EWRA
Egyptian Water Regulatory Authority
Feddan
0.42 ha or 4200 m²
Fellah
farmer (plur. fellahin)
FMO
Financierings Maatschappij voor Ontwikkelingslanden
G2G
Government to Government
GDP
Gross Domestic Product
GoE
Government of Egypt
HCWW
Holding company for Water and Wastewater
IIIMP
Integrated Irrigation Improvement and Management Project
IMC
Industrial Modernisation Centre
IMF
International Monetary Fund
ISSIP
Sanitation and Sewerage Infrastructure Project
IWSP
Improved Water and Wastewater Services Project
JICA
Japan International Cooperation Agency
JSF
Joint Strike Fighter
KfW
Kredit Anstalt fur WiederAufbau
Lc
Letter of Credit
Lcd
Liter per capita per day
MALR
Ministry of Agriculture and Land Reclamation
ME
Middle East
MED
Multi Effect Distillation
Mesqa
tertiary irrigation level, managed by individual farmers
MHUUD
Ministry of Housing, Utilities and Urban Development
MoHP
Ministry of Health and Population
MSEA
Ministry of State of the Environment
MSF
Multi Stage Flash
MWRI
Ministry of Water Resources and Irrigation
NGO
Non Government Organisation
NOPWASD National Organization For Potable Water and Sewage
NWP
Netherlands Water Partnership
NWRC
National Water Research Centre
NWRP
National Water Resource Plan
ODA
Overseas development assistance
OOC
Occidental Oriental Consult
PESP
Programma Economische Samenwerking Projecten (defunct)
PPP
Public Private Partnership
PPPCU
Public Private Partnership Central Unit
PPS
Publiek Private Samenwerking ( PPP in Dutch)
PSI
Private Sector Investment programme
RO
Reverse osmosis
SME
Small Medium Enterprise
SPA
Shore Protection Authority
SWRO
Salt Water Reverse Osmosis
UNDP
United Nations Development Programme
UPEHC
Union of Producers and Exporters of Horticultural Crops
VAR
Value added reseller
W&WW
Water and wastewater
WMES
Water Mondiaal Egypt Study
WPRR
Water Policy and Regulatory Reform
WUA
Water User Association
WWTP
Waste water treatment plant
97 | P a g e
10.
Environmental legislation
Maximum effluent concentrations set by law (all subject to a valid license)
Law 48’82
Decree 8’83
Allowable discharge to
fresh water
Allowable discharge to
brackish surface water
Allowable discharge to
public sewer
Ph
7-8.5
6-9
6-10
TDS
500
2000
2000 mg/l
Temp
5°C above normal
35°C
40°C
BOD
6≥
60ppm
400 ppm
COD
10 ≥
80ppm (dichromate)
700ppm (dichromate)
40ppm (permanganate)
400ppm (permanganate)
10ppm
100ppm
Oil grease
98 | P a g e
Law 93 ’62
Decree 9’89
0.1 ≥
11.
Selected organisations in Egypt
The icons below serve to help find water specialised government agencies,
consultants, contractors or businesses. However, in view of the sheer volume of
names and the dynamic nature of business, the absence of an icon does not
indicate that the company does not do this kind of work.
The organisation has Dutch connections
The organisation is involved in general contracting work
The organisation has a specialisation in W&WW
The organisation has a specialisation in coastal protection
The organisation has a specialisation in Agriculture & irrigation
The organisation has a specialisation in aquaculture
The organisation has a specialisation in pumps and valves
The organisation serves the home-appliances market
Numbers and email addresses are correct at the time of print, but in Egypt such
details can change quickly.
Many professionals use web-mail addresses (hotmail, yahoo) next or instead of
their employer’s domain address, as these tend to be reliable.
Phone numbers are displayed as follows:
+ Country code =20, Area code = (0)**, space, number
Telephone numbers are always 7-digit, except Cairo (+202) which has now 8-digits.
Some websites and documents still display the old 7-digit numbers. Usually, adding
a pre-fix (2, 3 or 4) makes a working number.
99 | P a g e
Mobile phones use codes +2010, 11, 12, 14, 16, 17, 18, 18 and 150, 151, 152
As per 6 October 2011, all mobile phone operators are adding a digit to these
prefixes:
100 | P a g e
11.1
Professional business advisors
EKN Embassy Kingdom of the
Netherlands
Zamalek, Cairo
+202 2739 5500
http://www.hollandembassy.org.eg/
Dr.Ir. Hans van der Beek
Counsellor Office of the Ministry of
Economic Affairs, Agriculture and
Innovation
[email protected]
Dr.Tarek Morad
Dty Head Economic & Development
Coop
[email protected]
Abdalla Adlan Public Accountants
Mr.Mahmoud Adlan
Zamalek, Cairo
Public Accountant
+202 2735 5903
[email protected]
http://www.abdallaadlan.com/
Melba Group Legal Advisors
Mr.Mauritius Wijffels
Mohandeseen, Cairo
Chairman, Advocaat
+2016 835 4646
[email protected]
www.melba-legal
Occidental Oriental Consult
Eric Zoetmulder MA MBA
Downtown, Cairo
Consultant
+2010 7818 593
[email protected]
Den Haag
Egbert Ottevanger MSc.
+316 5321 9965
Consultant
www.oo-consult.com
[email protected]
Shalakany Law Office
Mr.Aly Khaled EL Shalakany
Zamalek, Cairo
Senior Associate
+202 2728 8888
[email protected]
www.shalakany.com
Zaki Hashem Partners
Mr.Loay El Shawarby
Downtown, Cairo
Attorney at Law
+202 2393 3766
[email protected]
www.hashemlaw.com/
101 | P a g e
11.2 Egyptian government, Water related (semi-) government
organisations
MWRI Ministry of Water Resources and
Irrigation
Imbaba, Giza
+202 3544 9447
http://www.mwri.gov.eg/En/contactus.htm
HE Dr.Hussein El Atfy
Minister
Dr.Mohamed Abdel-Motaleb
Head of the Planning Sector
[email protected]
+202 3544 9456
Dr.Tarek Kotb
Project Director IIIMP
[email protected]
+202 3544 9489
MWRI EPADP Egyptian Public
Auth.Drainage Projects
Giza, Giza
Dr.Hussam El‐Din S. Fahmy
Chairman
[email protected]
+202 3573 8039
MWRI RGBS Reservoirs and Grand Barages
Sector
Imbaba, Giza
Dr.Ibrahim Farrag Abd El Khalek
Head of RGBS
[email protected]
+202 3544 9552
MWRI SPA Shore Protection Authority
Eng.Amaal Mohmed Ali
Shubra, Cairo
Chairman
[email protected]
+202 4444 3406
NWRC National Water Research Center
Prof. Dr.Shaden Abdel Gawad
Shubra, Cairo
Chairperson,
http://www.nwrc-egypt.org/nwrc/
[email protected]
+202 4444 3533
NWRC CMRI Channel Maintenance
Research Institute
Elqanatir El Khairiya, Qalyubia
Dr.Tarek ELSamman
Director
[email protected]
+202 42189596
NWRC CORI Coastal Research Institute
Dr.Ibrahim Elshennawy
El-shalalat, Alexandria
Head
[email protected]
+203 484 4615
NWRC DRI Drainage Research Institute
Dr.Alaa AbdelMotaleb
Elqanatir El Khairiya, Qalyubia
Head
[email protected]
+202 4218 9841
102 | P a g e
NWRC ECRI Environment and Climate
Research Inst.
Elqanatir El Khairiya, Qalyubia
Dr.Ahmed Fahmy
Head
[email protected]
+202 4218 2070
NWRC HRI Hydraulics Research Institute
Prof.Fathy EL Gammal
Elqanatir El Khairiya, Qalyubia
Head
[email protected]
+202 4218 8268
NWRC NRI Nile Research Institute
Dr.Medhat Aziz
Elqanatir El Khairiya, Qalyubia
Head
[email protected]
+202 4218 4229
NWRC RIGW Research Institute
Groundwater
Elqanatir El Khairiya, Qalyubia
Prof. Dr.Nahed el Arabi
Director
[email protected]
+202 4218 2117
NWRC WRRI Water Resources Research
Institute
Elqanatir El Khairiya, Qalyubia
Ms.Asmaa Medhat Yousif Kamel
Research Engineer
[email protected]
+202 4218 9437
MHUUD Ministry of Housing Utilities and
Urban Devpt
Down Town, Cairo
+202 27934499
Eng.Mohamed el Alfy
Deputy Minister of Housing for
International Cooperation and Head of
the Egyptian Water Regulatory
Authority
www.moh.gov.eg/en/en_design/Default_en.a
spx
[email protected]
MHUUD EWRA Egyptian Water &
Mr.Mohamed A. Abdelghany
Wastewater Regulatory Agency
Down Town, Cairo
+202 2920 1748
www.ewra.gov.eg
Environmental IT Engineer
[email protected]
Dr.Mohamed Hasan Mostafa
Head of Technical Regulations
[email protected]
CAPWO Cairo & Alexandria Potable Water
Org.
Downtown, Cairo
Eng. Zeinab Mounir
Projects Sector Head
[email protected]
+202 2579 9481
NOPWASD Nat’l Authority Potable Water
& Sewage
Eng.Samia Saleh
Mohandeseen, Giza
Vice President for Planning and
Projects
+202 3345 3507
Eng.Mahmoud Mokhtar
[email protected]
Potable Water Projects Head
Eng.Ezzat Saleh
Design Manager
103 | P a g e
HCWW Holding Company for Water and
Wastewater
Rod-elfarag, Cairo
+202 2458 3590
http://www.hcww.com.eg/En/Default.aspx
Eng.Mamdouh Raslan
Deputy Chairman
[email protected]
Dr.Ahmed Moawad
Head Technical Planning Sector
[email protected]
Assiout Water & Waste Water Co.
Mr.Adel Ashour El Mahdi
Assiout, Assiout
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=23
[email protected]
Aswan Potable water and waste
water Co.
Eng.Ezzat El Sayad
Aswan, Aswan
+2097 230 6246
+2018 800 0070
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=14
Beheira water & Drainage company
Eng.Safwat Rageh
Beheira, Beheira
CEO
www.bwadc.com.eg
[email protected]
+2045 333 2672
Beni Suef water & waste water Co.
Beni Suef, Beni Suef
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=13
Eng.Mohamed Mohamed Abou
El Khair
Chairman
[email protected]
+2082 232 7239
Damietta Potable water and waste
water Co.
Eng.El Sayed Mahmoud
Abdallah Rabee
Damietta, Damietta
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=7
+2057 223 4572
Daqahlia Water & waste water Co.
Eng.Ahmed Amin Hassan
Abdein
Mansoura, Dakhlia
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=9
Chairman
[email protected]
+2050 221 9531
Fayoum Drinking water & sewage
water co.
Eng.Mahmoud Abu Zeid
Baghos, Fayoum
[email protected]
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=11
+2084 630 3312
Gharbya Potable water and waste
water Co.
Eng.Mohamed Osman
Tanta, Gharbeya
[email protected]
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=6
+2040 341 8616
104 | P a g e
Chairman
Chairman
Giza water & waste water Co.
Eng.Amro Ahmed Wahsh
Giza, Giza
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=17
[email protected]
Greater Cairo for water Company
Eng.Moh.Ahmed AbdEl Rahman
Abdelati
Cairo, Cairo
http://www.gcwc.com.eg/main/Index_lg_en.js
p
+202 3542 4761
Chairman
[email protected]
+2010 180 3687
Greater Cairo Sanitary Drainage
Company
Eng.Mohamed Ahmed Abd El
Rahman Abdelati
Down Town, Cairo
Chairman
http://www.gcwc.com.eg/main/Index_lg_en.js
p
[email protected];projects.cwc@
hotmail.com
+202 2574 3025
Kafr El Shaikh water & waste water
Co.
Mr.Mohamed Fouad Abd El
Rahman
Kafr el Sheikh, Kafr El Shaikh
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=5
[email protected]
Luxor water & waste water Co.
Eng.Khaled Hussein Nasr
Hussein
Luxor, Luxor
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=18
+2047 321 1084
Chairman
[email protected]
+2095 228 4141
Matrouh Potable water and waste
water Co.
GeneralYousry Henry Azer
Matrouh, Matrouh
+2046 494 2227
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=21
Menia water & waste water Co.
El Miniya, Miniya
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=12
Eng.Radwan Fathy Ibrahim
Khalifa
Chairman
[email protected]
+2086 237 9862
Menoufya Potable water and waste
water Co.
GeneralAyman Abd El-Kader
Menofeya, Menofeya
[email protected]
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=19
+2048 226 9385
Chairman
105 | P a g e
North and South Sinai Potable water
and waste water Co.
Dr.Ibrahim Khaled Gabr
Ismailia, Ismailia
+2064 375 1317
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=20
Qena Potable water and waste water
company
Eng.Mahmoud Zaki Mahmoud
Assaad
Qena, Qena
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=16
+2096 522 6410
Red Sea Potable water and waste
water company
Eng.Nageh Ibrahim
RedSea, Red Sea
+2065 355 8798
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=24
Sharqia water & waste water Co.
Zagazig, Sharkeya
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=10
Eng.Mohamed Moustafa
Soultan
Chairman
[email protected]
+2055 230 2532
Sohag water & waste water Co.
Mr.Ezzat Ibrahim El Sayyad
Sohag, Sohaq
Chairman
http://www.hcww.com.eg/ar/Companies/Sub
sidiaries.aspx?ID=22
[email protected]
11.3
+2093 230 1290
Government – Agriculture, Environment, Finance
MALR Ministry of Agriculture
HE Dr.Ayman Farid Abou Hadid
Dokki, Cairo
Minister
www.agr-egypt.gov.eg
Prof. Dr.Mohsen Elbatran
Head of Economic Affairs Sector
[email protected]
ARDC Agricultural Research and Dvpt.
Council
Dokki, Giza
A. Aboul Naga
Senior Advisor ARDC
[email protected]
www.agr-egypt.gov.eg
MALR EALIP Exec Auth. Land Improvement
Projects
Prof.Mohamed Samir M. Abo
Soliman
Dokki, Giza
Chairman
www.agr-egypt.gov.eg
[email protected]
+202 3761 3993
106 | P a g e
SWERI Soil Water & Environment Research
Inst.
Dr.Hamdy Khalifa
[email protected]
Dokki, Giza
+202 3572 0608
http://www.arc.sci.eg/InstsLabs/ResDetails.as
px?OrgId=1&lang=en&ResID=70980
EEAA Egyptian Environmental Affairs
Agency
Maadi, Cairo
Prof.Moustafa M Fouda
Director Nature Conservation Sector, Dty
Minister
http://www.eeaa.gov.eg/English/main/about.
asp
[email protected]
MoF PPP Central unit
Eng.Atter Hannoura
Nasr City, Cairo
Director
http://www.pppcentralunit.mof.gov.eg/pppcu
site/content/home/default
[email protected]
11.4
+202 2525 6452
+202 23421283
International Organisations
APP Egyptian Dutch Advisory Project Panel
Water Management
Delta Barrage, El Qanatir, Qalyubia
http://www.app-wm.org/Default.aspx
Dr.Samia El Guindy
Director
[email protected]
+202 4218 3326
AWC Arab Water Council
Mr.Mahmoud Abu Zeid
Nasr City, Cairo
President
http://www.arabwatercouncil.org/
[email protected]
+202 4024 3079
CEDARE Center for Environment and
Development for the Arab Region and Europe
Prof. Dr.Khaled Abu Zeid
Heliopolis, Cairo
Regional Water Resources Program
Manager
http://www3.cedare.int/
[email protected]
+202 2451 3921
EU Delegation of the European Union
to Egypt
Ms.Ahlam Farouk
Mohandeseen, Giza
[email protected]
http://eeas.europa.eu/delegations/egypt
+202 3749 4680
EU EMWIS European Mediterranean Water
Dr.Hesham Mostafa
Information system
Cairo, Cairo
http://www.emwis.org/
Program Manager Tech & Voc Education
Coordinator NFP for EMWIS
[email protected]
+202 3544 9480
107 | P a g e
FAO
Mr.Mohamed el Ansary
Dokki, Giza
Asst. FAO Representative
www.fao.org
[email protected]
+202 3331 6000
GTZ German Technical Cooperation
Dr.Joachim Lehmann
Imbaba, Giza
Programme Director Water Resources
Mgt Reform
www.gtz.de
[email protected]
+202 3545 6794
Mr.Paul G. Weber
Irrigation Agronomist
[email protected]
+202 3335 3349
North South Consultants Exchange
Dr.Magda Ghonem
Zamalek, Cairo
Program Manager
http://www.nsce-inter.com/En/index.aspx
[email protected]
+202 2735 1045
North South Consultants Exchange
Ms.Silvia Ramses
Zamalek, Cairo
Business Development Manager
http://www.nsce-inter.com/En/index.aspx
[email protected]
+202 2735 1045
UNDP
Eng.Mohamed Bayoumi
Cairo, Cairo
Environment Specialist
www.undp.org
[email protected]
+202 2578 4840
WHO World Health Organization
Dr.Susan Watts
Nasr City, Cairo
Social Scientist
[email protected]
+202 2276 5560
CH2MHILL (Chemonics int, USAID
Egypt)
Mr.David Osgood
5th District, New Cairo, Cairo
[email protected]
www.wprregypt.com
+202 2929 7868
WPRR Water Policy and Regulatory Reform
project - USAID
Mr.Alan Bright
Country Manager
5th District, New Cairo, Cairo
USAID Water & Wastewater Sector
Support Program
+202 2929 7868
[email protected]
www.wprregypt.com
+202 2929 7868
108 | P a g e
11.5
Financial Institutions and multilateral donors
AfDB African Development Bank,
Egypt
Mr.Tarek Ammar
Heliopolis, Cairo
[email protected]
+202 2256 3790
DrYasser Elwan
www.afdb.org
Private Sector Specialist
Senior Water Engineer
[email protected]
Citadel Capital
Mr.Ahmed El Sharkawy
Garden City, Cairo
Principal
+202 2791 4440
[email protected]
http://www.citadelcapital.com/
EEAA Eg. Environmental Affairs
Agency EPAP
Mr.Philip Jago
Maadi, Cairo
[email protected]
Team leader
+202 2526 1419
http://industry.eeaa.gov.eg/
EIB European Investment Bank
Mrs.Jane Macpherson
Dokki, Cairo
Head Cairo regional office
+202 3336 6583
[email protected]
www.eib.org
IFC International Finance Corporation
Mrs.Nada Shousha
Cairo, Cairo
Principal Country Officer
+202 2461 9140
[email protected]
http://www.ifc.org/ifcext/mena.nsf/Content/E
gypt
KfW
Mr. Detlef Gielow
Zamalek, Cairo
Programme Manager Water and Waste
Water Sector
+202 2736 9525
http://www.kfw.de
[email protected]
NSGB
Ms. Mina Maged
Downtown and Mohandesseen, Cairo
Supervisor – Corporate Finance
+202 27707084
[email protected]
www. socgen.com
World Bank
Mr.Mr. Hany El Saadani
Boulak, Cairo
Water Resources Engineer
+202 2574 1670
[email protected]
http://data.worldbank.org/country/egyptarab-republic
109 | P a g e
11.6
Knowledge Institutes
Ain Shams University
Mr.Amr Mossad Abdel Maksoud
Abbasia, Cairo
Ass. Lecturer
http://agr.shams.edu.eg/
[email protected]
Prof Dr.Yasser E. Arafa
Associate Prof. of Agriculture Eng.
[email protected]
Mr.Peter Riad
Associate Lecturer- Irrigation &
Hydraulics Dept
[email protected]
Ain Shams University, Faculty of
Engineering
Dr.Ahmed Refaat
Abbasia, Cairo
[email protected]
Sanitary Engineering
http://eng.shams.edu.eg/
AUC Desert Development Center
Mr.Hassan M. Husseiny
New Cairo, Cairo
Irrigation Manager
http://www.aucegypt.edu/research/ddc/Page
s/ddchome.aspx
[email protected]
+202 2613 9929
Ms.Tina Jaskolski
Research Coordinator
[email protected]
+2012 733 5294
Desert Research Center
Prof.Ibrahim Nasr
Cairo, Cairo
President
http://www.aucegypt.edu/research/ddc/Page
s/ddchome.aspxn
[email protected]
ETRACE Agriculture & Agro-Industries
Mr.Mohamed Nabil
Technology Ctr
Mohandessin, Cairo
+2012 733 5294
[email protected]
+202 3748 4142
http://www.etrace-eg.org/
EWP Egyptian Water Partnership
Prof. Dr.Khaled Abu Zeid
Heliopolis, Cairo,
Managing Director
http://www.egyptianwaterpartnership.org/ind
ex.aspx
[email protected]
rg
+202 2451 3921
GIZ International Services
Ms.Florentine Visser
Heliopolis, Cairo
MED-ENEC Key Expert Low Energy
Building & Urban Planning
+202 2418 1578
www.med-enec.eu
[email protected]
+202 2418 1578
110 | P a g e
National Institut of Oceanography and
Fisheries
Mr.Fekry Ashour Mourad
Researcher
Garden City, Cairo
+202 2792 1341
http://www.niof.sci.eg/
[email protected]
Prof. Dr.Mohamed Attia
Shreadah
President
[email protected]
Nil Basin Discourse - Egypt
MrEssam Nada
Helwan, Cairo
National Programme Coordinator Egypt
http://www.nilebasindiscourse.org/
[email protected]
NRC National Research Center; Housing and
Prof. Dr.Maha Moustafa El
Shafei
Building
Dokki, Giza
Director of Sanitary and Environmental
Engineering Iinst
[email protected]
+202 3762 9204
NRC National Research Centre
Prof. Dr.Fatma El Gohary
Dokki, Giza
Professor of Water Pollution Research
[email protected]
+202 3335 1573
RCTWS Regional Centre for Training and
Water Studies
6th October City, 6th October City
http://www.rctws.com/Index.html
Regional Water Demand Initiative,
Mid East & North Africa Office (WADImena)
Giza, Giza
Chairperson
[email protected]
+202 3833 2691
Hammou Laamrani
Project Coordinator,
[email protected]
http://publicwebsite.idrc.ca/EN/Regions/Midd
le_East_and_North_Africa/Pages/default.aspx
11.7
Dr.Maha Mohsen Tawfik
+202 3336 7051
Consultants and consulting engineers
AAW Dr. Ahmed Abdel Warith Consulting Engineers
Eng.Yehia Gamal M Moussa
Dokki, Cairo
[email protected]
Vice President Techical Affairs
+202 3761 7737
https://www.aaw.com.eg/
111 | P a g e
ACE Engineering Consultants
Moharram Bakhoum
Eng.Bahaa Afif
Dokki, Cairo
[email protected]
Project Manager
+202 3337 7120
http://www.ace-consultants.com/
Active Brains Consulting Group
(ABCG)
Dr.Sherif Abd El-Baki
Dokki, Giza
[email protected]
Managing Director
+202 3749 2778
www.activebrains.net
Al Amar Consulting Group
Ms.Shaimaa A. Al Zayat
New Maadi, Cairo
Business Development Manager
+202 2517 7670
[email protected]
http://www.alamargroup.com/index.php
Aqua Egypt Chemical Engineering
Eng.Mostafa Hedayah
Zamalek, Cairo
General Manager
+202 2736 3319
[email protected]
CEC El Saie Engineering Consultants
Dr.Yehia El Saie
Mansheit El Bakry, Cairo
General Manager
+202 2257 9533
[email protected]
http://www.elsaieengineering.com/fixed.php?id=9
Chemonics Egypt-Ahmed Gaber &
Partners
Dr.Ahmed Gaber, Chairman
Dokki, Cairo
+202 3760 0764
http://www.chemonicsegypt.com/
Eng.Ghassan F. Nakad
[email protected]
Teamleader USAID W&WW Program
[email protected]
+202 3336 0918
Consulting Office for Environmental
& Civil Engineering
Eng.Gamal Taher
Nasr City, Cairo
[email protected]
Director
+202 2260 5401
CTB Consulting Trading Bureau
Mr.Wassef Naguib Wassef
Heliopolis, cairo
President
+202 2291 1330
[email protected]
http://www.ctbegypt.com/
Dar Al-Handasah
Mr.Ahmed Said Hassaballah
Mohandessin, Giza
Senior Infrastructure Engineer
+202 3344 9680
[email protected]
http://www.dargroup.com
112 | P a g e
Darwish Consulting Engineers
Eng.Mohamed Raouf Darwish
Heliopolis, Cairo
CEO
+202 2638 2209
[email protected]
http://www.dce-ltd.com/cms/index.php
Delft Environment
Dr.Moustafa Samir Moussa
Cairo, Cairo
Environmental Consultant
+2010 7333 465
[email protected]
http://www.delft-environment.net/index.html
ECG Engineering Consulting Group
Nasr City, Cairo
Eng.Ahmed Mohamed
Gamgoum
http://www.ecgsa.com/
Proposal Manager, Bus Dev. Division
[email protected]
+202 2274 4740
Dr.Tarek Ismail Sabry
Consultant
[email protected]
+202 2670 1041
EcoConServ - Environmental
Solutions (ECS)
Dr.Tarek Genena
Zamalek, Cairo
[email protected]
President
+202 2735 9078
www.ecoconserv.com
ECORD
Dr.Radwan Mostafa Kamal
El Asafra Kebly, Alexandria
General Manager
+203 324 0587
[email protected]
http://www.ecord1.com/En/services.html
Euroconsult Mott MacDonald
Mr.Wicher Boissevain
Imbaba, Cairo
IIIMP
+202 3543 3945
[email protected]
www.ecbmb.nl
EWW Egyptian Water Works
Eng.Ahmed Fahmy
Zamalek, Cairo
Sales Manager
+202 2736 4121
[email protected]
Future Consulting
Eng.Ahmad Abu-Deif
Cairo, Cairo
Exec. Direc.& D.M
+202 3336 5013
[email protected]
http://www.futureconsult-eg.com/
GIG Consultancy, Green Industrial
Gateway,
Eng.Mustafa Ibrahim Afify
Cairo, Cairo
[email protected]
Owner
+202 2417 8360
www.gig-consult.com
113 | P a g e
GP General Process
Eng.Hatem Hussein
6th October City, Cairo
PM
+202 3830 4081
[email protected]
www.gpwatertreatment.com
Green Group
Eng.Mahmoud Badr
Giza, Cairo
Technical Director
+202 3302 1487
[email protected]
www.green-group.info
Kamel Consultants & Research
Dr.Basel Ahmed Kamel
Downtown, Cairo
Principal consultant
+202 2393 1969
[email protected]
Misr Consulting
Eng.Mohamed Refaat
Haram, Giza
Projects Head
+202 3385 1462
[email protected]
http://www.mce.eg.com/
Ossama Abdel Ghaffar & Associates
Mr.Ossama Abdel Ghaffar
Alexandria, Alexandria
President
+203 574 1281
[email protected]
Rehab for Projects & Trade
Dr.Moustapha El Shazli
Nasr City, Cairo
Project Manager
+202 2261 2596
[email protected]
Royal Haskoning Group/Egypt
Mr.Herrie Heckman
Fayoum, Fayoum
Team Leader
+2084 6302 064
[email protected]
www.royalhaskoning.com
Sabry Corp- nano technology
consultants
Dr.Mohamed Abdel Mottaleb
Heliopolis, Cairo
+202 2414 6493
[email protected]
SEECO
Dr.Medhat Saleh
Mohandessin, Giza
Managing Director
+202 3304 2082
[email protected]
System Technique
Eng.Ahmed Saleh
Mohandessin, Cairo
Cairo & Alex Branch Manager
+202 3303 6935
[email protected]
Chairman
www.systemtechnique.com
Talaat-Imam
Eng.Hane'a Ismail Ibrahim
Mohandessin, Giza
Head of Design
+202 3346 1888
[email protected]
http://talaatimam.a2zdecor.com/en/Default.aspx
114 | P a g e
Utilities Consulting engineers
Eng.Mostafa Ashmawy
Mohandeseen, Giza
General Manager
+202 3344 2272
[email protected]
11.8
Contractors
Agritech Egypt for Engineering &
Trading
Eng.Nabil Sharaf
Hadayek El Qobba, Cairo
[email protected]
Owner
+202 2487 1056
Al Eman Engineering Co
Eng.Ahmed Ismail
Mansoura, Mansoura
Partner
+2010 280 8466
[email protected]
www.al-emanco.com
Amy Land Modern Irrigation Systems
& Agriculture Systems
Eng.Ayman Nassem
6th October, 6th Of October City
[email protected]
Owner
+2010 231 7789
Aqua Maint Water Technology &
Environment
Mr.Mohamed Akram
Cleopatra Al Soghra, Alexandria
[email protected]
Accountant
+203 522 3889
Aqua Misa Trading & Water
Treatment
Eng.Ibrahim Ali
Sidi Beshr Kebly, Alexandria
[email protected]
Owner
+2012 164 3866
Arab Contracting Drilling (A.C.D.C.)
Eng.Mohamed Gamal Hano
Heliopolis, Cairo
Vice Chairman
+202 2620 0048
[email protected]
http://www.omegaeg.net/introduction.htm
115 | P a g e
Arab Contractors
Eng.Ibrahim Mahlab, Chairman
Cairo, Cairo
[email protected]
www.arabcont.com
Mr.Morsi AbdelHamid
Advisor to the Manager
Electromechanical Div.
[email protected], +202
2403 6784
Mr.Ahmed Mohamed Ahmed
Hussein
Director General, Electromechanical
Affairs Div.
[email protected], +202
2263 7732
Mr.Samir Mohamed Mahmoud
Head Sector and Dty Manager Mech &
Elec. Dep.
[email protected] +202
3817 5959
Arab German Company for Waste
and Environmental Technology
(AGET)
Eng.Mohamed M. Mabrouk.
Chairman
[email protected]
Gharbia, Tanta
+2040 329 8690
www.mabroukegypt.com
Canal Harbour & Great Projects
Eng.Hamed Abouel Fottoh
Ismailia, Ismailia
Chairman
+2064 3396525
[email protected]
www.chp-eg.com
Comet for Trade & Engineering
Works
Eng.Ashraf Kamel
Almaza, Cairo
[email protected]
CEO Deputy
+202 2417 5042
www.cometegy.com
Eastern Engineering & Trading
Eng.Said Abd El Mohsen
Dokki, Cairo
[email protected]
+203 338 5647
Egyptian Arab Contracting
Eng.Soliman Abu Basha
Haram, Cairo
Chairman
+202 3583 6211
[email protected]
Eng.Hesham El Zayat
Civil Engineer
[email protected]
116 | P a g e
Egyptian Basic Structure
Mr.Salah Khalil
Mohandessin, Cairo
Accountant
+202 3345 2002
[email protected]
Egyptian for Operation &
Management
Eng.Reda El-Fransawy
Maadi, Cairo
[email protected]
Owner
+202 2520 3077
Egyptian Wells Drilling Services
MajorHamdy Hassan
Mohandessin, Cairo
CEO
+202 3347 6664
[email protected]
El Talkhawy Star Water Treatment &
Boiler
Eng.Ashraf El Talkhawy
10th of Ramadan, Sharkeya
[email protected]
Owner
+2015 354 477
www.eltalkhawygroup.com
Engineering Contracting & Mechanic
Constr.
Mr.Ossama Abdallah
Dokki, Giza
+202 3760 2034
[email protected];[email protected]
om.eg
www.trydon.com.eg
Mrs.Nahed Hasanein
General Manager
Office Manager
[email protected]
Engineering Modern Operations
Eng.Ahmed Mostafa
Nasr City, Cairo
Office Manager
+202 2261 2118
[email protected]
www.emocoegypt.com
Eurodrip Egypt S.A.E
Eng.Maged Morcos
Sadat City, Menoufeya
General Manager
+2048 260 1202
[email protected]
http://www.eurodrip.gr/Default.aspx
Fine Peak
Nasr City, Cairo
Eng.Mohamed Abdullah
Abdelrahman
+202 2270 2315
General Manager
http://www.finepeak.com/contacts.html
[email protected];info@finepea
k.com
Future Water Treatment
Kafr Abdou, Alexandria
Eng.Islam Mohamed Abo
Salama
+203 542 5699
Owner
[email protected]
117 | P a g e
GEAK Gemka Engineering &
Contracting
Eng.Gamal Abd El-Nasr
Helwan, Cairo
[email protected]
Owner
+202 2550 0870
www.gemkagroup.com
Grl. Co. Land Reclamation and
Reconstruction
Eng.Mokhtar Morgan
Dar El Salam, Cairo
[email protected]
Chairman
+202 2320 3430
http://www.gclr.com.eg/EN/Contact/default.a
sp
General Electric Company
Dr.Mohamed Heikal
Heliopolis, Cairo
General Manager
+202 2414 2204
[email protected]
General for Engineering &
Contracting
Dr.Mofeed Hazmy
Nasr City, Cairo
[email protected]
Owner
+202 2287 4971
Hassan Allam & Sons
Eng.Ahmed Kafory
Heliopolis, Cairo
Head of Business Development
+202 2266 6917
[email protected]
http://www.allamsons.com/contact.htm
Hassan Allam Nasr
Eng.Abdel Ghany El Baz
Abbasya, Cairo
Head of Projects Sector
+202 2685 8063
Mr.Montaser Zahran
http://www.ngcc-allam.com.eg/
Head of Project Sector Eng
[email protected]
Hawary Investment & Development
Eng.Mohmed El-Hawary
Haram, Giza
Owner
+202 3779 5831
[email protected]
www.hawwarydrill.com
Horse Engineering Works Alex (AMA)
Eng.Mohamed Raffat
Mohandessin, Giza
Technical Engineer
+202 3762 2170
[email protected]
Hydrogeen Land Scape & Irrigation
Networks
Eng.Fakhry Younan
Heliopolis, Cairo
[email protected]
+202 2267 6166
www.hydrogrp.com
118 | P a g e
Owner
ING Kreis
Eng.Mahmoud Salah
Nasr City, Cairo
Project Manager
+202 2262 5996
[email protected]
Inter Group
Eng.Shehab Ryad
Dokki, Cairo
Construction Manager
+202 3749 7891
[email protected]
Int'l Agricultural Trade &
Development
Eng.Mahmoud Wagieh
Haram, Giza
[email protected]
Sales Manager
+202 3382 0088
Int'l Contracting & Trading
Eng.Wael Abo El Wafaa
Heliopolis, Cairo
Financial Manager
+202 2290 8856
[email protected]
Iten for Electrostatic Water & Soil
Conditioning
Eng.Mona Abo El Magd
Obour, Cairo
[email protected]
Sales Manager
+202 4610 1050
www.iteneg.com
Modern Tech Water & Sewage
Treatment
Mr.Sherif
Agouza, Giza
[email protected]
Accountant
+202 3303 4501
www.motwaset.com
Moukhtar Ibrahim - SEC
Eng.Shehata abu Senna
Mohandessin, Giza
Head of Project Sector
+202 33471529
[email protected]
http://www.moukhtar.com/
Newtco Water Treatment
Eng.Ehab Shalaby
Kafr el Sheikh, Kafr el Sheikh
General Manager
+2047 251 2824
[email protected]
Noor Trading & Contracting
Nasr City, Cairo
Eng.Abd El Lateef Abd El
Hameed
+202 2261 0890
Technical Office Engineer
www.elnoor.com.eg
[email protected]
Orascom Construction Industries
Eng.Hussein Marei
Shubra, Cairo
General Counsel
+202 2461 1111
[email protected]
http://www.orascomci.com/index.php?id=con
tact
Mr.Sherif Sharobeem
Deputy Manager of Business
Development
[email protected]
119 | P a g e
Orasqualia Orascom Construction
Industries
Eng.Khaled El Degwy
New Cairo, Cairo
[email protected]
www.orascomci.com
+202 2461 1036
Projects Dvpt Agriculture & Land
Reclamation
Mr.Ramy Mohamed
Maadi, Cairo
[email protected]
Concession Director
Accountant
+202 2525 6692
www.prodecegypt.com
Pure Tech For Water Treatment
Technology
Eng.Ali Hassan Hassouna
Heliopolis, Cairo
[email protected]
CEO
+202 2266 8291
Ridgewood
Eng.Zaki Y.Girgis
Heliopolis, Cairo
Chairman
+202 2268 0026
[email protected]
www.ridgewoodegypt.com
Saad Hanna Sons Trade &
Contracting
Eng.Amir Aniees
Heliopolis, Cairo
[email protected]
Commercial Director
+202 2633 5109
www.shsco.net
SAC for Industrial System S.A.E
Eng.Wael Samy Amin
Down Town, Cairo
Technical Director
+202 2588 1082
[email protected]
www.sac-systems.net
Samcrete
Eng.Yasser Zohny
Haram, Giza
Study Sector Head
+202 3384 8484
[email protected]
http://www.samcrete.com/
Techno Land
Mr.Wagieh Fawzy
Haram, Cairo
General Manager
+202 3586 5962
[email protected]
Universal Agencies
Eng.Hany Said
Mohandessin, Giza
Accountant
+202 3761 6230
[email protected]
Veolia Water
Eng.Hussain Samy
Maadi, Cairo
Commercial Director
+202 2378 6532
[email protected]
www.veoliawaterst.com
120 | P a g e
Wataneya Modern Irrigation System
Eng.Khaled Morsy
Wadi El Natroun, Beheira
Owner
+2045 3550 530
[email protected]
Water Services
Ms.Youmna Hossam
Manial, Cairo
Management Assistant
+202 2362 4253
[email protected]
www.idandwt.com
Water Works Technology &
Contractors
Mr.Ahmed Sobhy
Haram, Giza
[email protected]
Financial Manager Deputy
+202 3742 9945
Wazzan Engineering & Trading
Ms.Gihan Philip
Hadayek el Kobba, Cairo
Office Manager
+202 2453 4502
[email protected]
11.9
Manufacturers of Equipment
Al Hashemiah Int'l Co.
Eng.Abd Alhalim Abd Alkader
Mansoura, Dakhlia
Managing Director
www.al-hashemiah.com
[email protected]
+2050 223 3618
AOI - Arab Organization for
Industrialization- Aircraft Factory
Major Eng.Ali Abdel Ghany
Baheeg
Helwan, Cairo
Chairman
http://www.aoi.com.eg/aoiarab/aoi/aircraft_
web/index.html
[email protected]
+202 2556 0114
Ms.Abeer Kamel Abdel Rahman
Manager of Research Divison - Design
Sector
[email protected]
+202 2548 0130
Arab Contractors , Workshop
Mr.Mohamed Allam Mohamed
Shubra, Cairo
Vice President for Shubra Mechanical
Workshop
www.arabcont.com
[email protected]
+202 4475 8025
Future Pipe Industries (S.A.E.)
Eng.Saad Elkhadem
MaaDI, Cairo
Managing Director
http://www.futurepipe.com
[email protected]
+202 25285880
121 | P a g e
Foundation Agriculture Technology
Eng.Yasser Taha
Sadat City, Menoufeya
Owner
http://tag2day.com/default/index.php
[email protected]
+2011 2711 020
Grundfos Egypt
Mr.Ehab Eshak
Sheraton, Cairo
Dty. General Manager
www.grundfos.com.eg
[email protected]
+202 2696 5676
Hyma Plastic
Eng.Samy Fahmy
Nasr City, Cairo
[email protected]
www.hyma-plastic.com
+202 2401 3949
Waterman Industries of Egypt (WIE)
Eng.Mohamed Ashmawy
Giza, Cairo
Executive Manager
www.waterman-industries.com
[email protected]
+202 3386 6163
11.10 Agricultural producers and large farms
Al Ahram Beverages Company Heineken
Mr.Habib George
El Obour City, Cairo
[email protected]
+202 4614 1206
Mr.Henk van Klompenburg
www.alahrambeverages.com
Agriculture Manager
Supply Chain Director
hvanklompenburg@alahrambeverages.
com
AL-HAMZA GROUP OF COMPANIES
Mr.Magdy Hamza
Mohandesseen, Giza
Managing Director
+202 3761 1730
[email protected]
http://www.alhamzagroup.net/
BELCO
Mr.Mohsen El Beltagy
Zamalek, Cairo
General Manager
+202 2735 7213
[email protected]
http://www.belco.com.eg/
Mr.Mohamed Gad
QA , R&D Manager
[email protected]
122 | P a g e
BioEgypt
Dr.Mahmoud Abbas Zaki
Sadat City, Menoufeya
Chairman
+2048 260 1521
[email protected]
http://www.bioegypt.com/eng_docs/front_eng.asp
Chamber of Food Industries - CFI
Mr.Yasser Mansour
Cairo, Cairo
Technical Officer
+202 2574 8627
[email protected]
http://www.egycfi.net/newFCIEN/
CI-Agri Pick Fresh
MsShahira Fouad
Manshiet Elbakrey, Cairo
[email protected]
+2012 316 5425
http://www.ci-agri.com/
Dar Elgouda for Development &
Projects
Mr.Mohamed Gouda Elsayed
Fayoum, Fayoum
[email protected]
Chairman
+2084 633 8383
Egyptian German Company for
Agricultural Production
Mr.Aly Muhamed El Rafie Toba
Sharkia, Sharkia
[email protected]
Planning Manager
+2055 914 4006
http://www.egygerman.com/main.htm
Farm Frites - Egypt
Mr.Walid El Hennawy
10th of Ramadan City, Cairo
Managing Director
+2015 411 431
[email protected]
www.farmfrites.com
Fish Basket - Multi Trade Group
Eng.Mostafa Allam
Kafr ElSheikh, Kafr ElSheikh
Engineering Department Director
+202 2690 4263
[email protected]
Fish Farming Training and Research
Centre
Eng.Ismail Radwan
Kafr el Sheikh, Kafr el Sheikh
[email protected]
Director
+2047 913 5636
Fresh Fruit Farms
Mr.Sherif El Naggary
Dokki, Giza
Managing Director
+202 3761 9995
[email protected]
MABA Potato farms & Agricultural
Consultants
Mr.Mokhtar Abou Basha
6th Of October, 6th Of October
[email protected]
Chairman
+202 3835 5544
http://www.mabaeg.com/product_potatos.html
123 | P a g e
Makro Egypt Noubareya farms
Mr.Stephane Maurin
Maadi, Cairo
Purchasing and Merchandising Food
Director
+202 2768 8240
www.makro.com.eg
[email protected]
New Nile Co
Mr.Tamer Nassar
Maadi, Cairo
Managing Director
+203 480 0655
[email protected]
www.newnileco.com
Sekem (Isis brand)
Mr.Helmy Abou Eleish
El-Horreya,, Cairo
[email protected]
+202 26564140
www.sekem.com
The Fish Producers and Exporter
Association
Mr.Salah Taher
Fayoum, Fayoum
[email protected]
Board member
+2010 5384 215
UPEHC
Dr.Assam Shaltout
Dokki, Giza
Chairman
+202 3337 2402
[email protected]
http://www.upehc.org/
Mrs.Afaf El-Saghir
Director, Export Service Dept. & Intl
Linkage
[email protected]
11.11 Egyptian companies in water equipment business, agents
A.H. Moderna Industrial & Export
Modern Irrigation System &
Agricultural
Haram, Cairo
Eng.Ehab Karam
General Manager
[email protected]
+202 3586 9758
www.freewebs.com/modernaegypt
ACG Egypt Air Compressors Group
Akmal Taha
10th of Ramadan, Sharkeya
Owner
www.acgegypt.web.com
[email protected]
+2015 361 834
124 | P a g e
Advanced Water Treatment
Mr.Said Mohamed
Nasr City, Cairo
Sales Manager
+202 2402 0395
[email protected]
+202 2402 0395
Agrico Trade & Import
Eng.Magdy Ramzy Souwiha
Haram, Cairo
President
+202 3583 3940
[email protected]
+202 3583 3940
Ahmed Daoud & Co. Engineering &
Trade Agencies
Eng.Mohamed Ahmed Daoud
Down Town, Cairo
[email protected]
http://www.ahmeddaoud.com/index2.html
http://www.nijhuis.com/
+202 2392 1550
Chairman
Mr.Adel Ibrahim Elias
Managing Director
[email protected]
+202 2392 1550
Al Farid Pump Co.
Mr.Ahmed Fathi Ahmed
Boulak, Cairo
Head of Pump Department
http://www.al-farid.com/
[email protected]
+202 2205 6267
Mr.Mohamed Soliman
Gowailly
Pumps Dept Manager
[email protected]
+202 2575 1544
Al Raed Jet Masters
Eng.Hazem Shawky
El Haram, Giza
Board Member, Commercial
Manager
http://www.alraed.com.eg/
[email protected]
+202 3976 7005
Alfa Beta
Mr.Shady Mohamed
Nasr City, Cairo
Teamleader
www.alphabetagroup.us
[email protected]
+202 2275 8514
Alfa Plus
Ms.Aya Ahmed
Nasr City, Cairo
Office Manager
[email protected]
+202 2671 7530
125 | P a g e
Allweiler-Farid Pumps
Eng.Haithem Saber
Cairo, Cairo
Sales Manager
10th Ramadan City
[email protected]
http://www.allweilerfarid.com/
+2015 360 425
Mr.Samer El Beshouty - MBA
Marketing Manager
[email protected]
+202 2439 1817
Ament, Emad El Din Taymour & Co.
Eng.Ahmed Tawfik
Dokki, Giza
Vice Chairman - Environment, Water
& Wastewater Treatment Projects
www.ament-egypt.com
[email protected]
Eng.Ayman Yacout
Marketing Director
[email protected]
+202 3760 2904
Anwar Keddis Babawy Sons
Eng.Wael Anwar Keddis
Down Town, Cairo
Owner
[email protected]
+202 2590 1981
Aqua Cairo Water Treatment Tech
Eng.Ammar Ismail
Shorouk City, Cairo
General Manager
[email protected]
+202 2687 0811
Aqua Fine Water Treatment Systems
Eng.Hamed ElDesouky
Abbasseya, Cairo
General Manager
[email protected]
+202 2486 3594
Aqua Nile
Eng.Refaat Abu Elela
Dokki, Giza
Owner & Chairman
http://www.aquanileg.com/
[email protected]
+202 3762 5617
Aqua Sana for Water Treatment
Technology
Mr.Mohamed Metwally
Heliopolis, Cairo
[email protected]
Purchasing Manager
+202 2290 3896
Aqua Trust For Water Treatment
Eng.Faiza Abu Zeid
Nasr City, Cairo
General Manager
http://www.aquatrust.netfirms.com/
[email protected]
+202 2270 2341
126 | P a g e
Arab Contractors Mechanical & Electrical
Engineering
Heliopolis, Cairo
www.arabcoeg.com
Eng.Atef Hosny Tadros
Managing Director
[email protected]
+202 2415 5388
Arab Water Treatment & Bottling,
Aqua Tap
Mr.Helmy
Heliopolis, Cairo
[email protected]
www.aquatap.com
+202 2414 4004
Arab Trade
Eng.Moaemen Kamel
Mohandessin, Cairo
Owner
www.waterarab.com
[email protected]
Technical and Adminstative Manager
+202 3304 8870
Arabia Dripping Irrigation Technology
Eng.Mohamed Zakaria
Haram, Giza
Owner
www.adritec.com
[email protected]
+202 3387 9311
Arabian Solar Energy & Technology
Co (ASET)
Eng.Ahmed Shalabi
Cairo, Cairo
[email protected]
www.asetegypt.com
+202 2392 9744
Aydon Consultants Ltd
MrHaitham Diab
Heliopolis, Cairo
CEO
www.aydon-consultants.com
[email protected]
Owner
+202 2291 2972
Baramos Engineering & Trading
Eng.Edward Shawky
Nasr City, Cairo
Owner
http://www.homburg-holland.com/
[email protected]
+202-2275 4871
Baron Trading Co.
Garden City, Cairo
http://www.landustrie.nl/
www.aerzen.nl
Mr.Youssef Said Soliman
Director
[email protected]
+202 2792 0100
CEG Commercial Engineering Group
Ltd.
Eng.Ayman EL-Banna
Nasr City, Cairo
[email protected]
+202 2272 9769
+202 2272 9769
Chema-Star for trading &
Distribution
Dr.Ali Abu-Hussien
El Sheikh Zayed, 6th Of October
[email protected]
www.chemastar.com
+202 3850 2820
Sales Manager
Director
127 | P a g e
Chemix Scientific & Industrial
Services
Eng.Osama Samir
Amriya, Alexandria
[email protected]
www.chemix.com.eg
+203 484 7802
Consukorra for Trade Agencies &
Technical Consultation
Eng.Mohamed Ayman Korra
Down Town, Cairo
[email protected]
www.consukorra.com
+202.2593 0001
Owner's Son
President
Eng.Adel Lateef
Sector Executive Manager
[email protected]
+202 2591 0903
Delta Egypt Trade & Contractings
Eng.Mohamed Abd El Moaty
El Qalaa, Cairo
CEO
http://www.delta-egypt.com/
[email protected]
+202 25072980
DIG Development International
Group Ltd
Mr.Tarek Hegazy
Cairo, Cairo
[email protected]
www.dig-world.com
+202 2403 9396
Managing Director
www.vanleeuwen.nl
www.ameron-fpg.nl
EEA Egyptian Engineering Agencies
Eng.Ekrami El Khamry MBA
Down Town, Cairo
Pumps and Boilers Div Manager
www.dp-pumps.com
[email protected];[email protected]
www.eea-egypt.net
+202 2591 3277
Eng.Medhat Hamed
Head of Pump Systems
[email protected]
+202 2591 6282
EEIS Engineering Establishment For
Industrial Services
Eng.Yasser Awad
Maadi, Cairo
[email protected]
General Manager
+202 2702 8578
EETCO Egyptian Engineering &
Trading-Mohamed El Deghidi & Co.
Eng.Osama Tawfeek
Down Town, Cairo
[email protected]
Sales Manager
+202 25757636
128 | P a g e
EGY-Holland Import & Export
Mr.Saleh Abul Saud
Heliopolis, Cairo
Managing Director
[email protected]
+202.2294 9160
Egyptian Arab Pumps Co. Al Farid
Pumps (member Ahmed Daoud
Group )
El Sahel, Cairo
Eng.Mohamed El-Rokh
Sales Director
[email protected]
+202 2205 6267
http://www.al-farid.com/home.aspx
Egyptian Engineering Co.
Eng.Tarek Ibrahim
Manial, Cairo
General Manager
http://www.i.adelgroup.com/cu.htm
[email protected]
+202 2362 0285
Egyptian Engineering Services
Eng.Ahmed Gad
Mohandessin, Giza
Owner
[email protected]
+202 3749 2960
Egyptian for Agencies & Industry
Ms.Ahlam Yousry
Down Town, Cairo
Office Manager
[email protected]
+202 2592 1199
Egyptian Supplies & Trade Co.
Eng.Hanna El Maqdes
Nasr City, Cairo
General Manager
http://www.egstco.net/
[email protected]
+202 2274 2437
Egyptian Trading Enterprise
Ms.Eman
Nasr City, Cairo
Office Manager
[email protected]
+202 2417 7494
El Amana Co. Chlorination & Dosing
Systems
Eng.Ahmed Soliman Hamza
Mohandessin, Giza
[email protected]
http://www.elamanaco.com/
+202 3304 1762
El Farid for Manufacturing &
Marketing Engineering Equipment;
Eng.Mohamed Mostafa El
Rookh
Shubra, Cairo
Sales Manager
Head of Technical Dept
[email protected]
+202 2205 6269
Ensol , Engineering Solutions Group
Eng.Soliman Aly Emara
Maadi, Cairo
Chairman
www.ensol.eg.com
[email protected]
+202 2526 9880
129 | P a g e
Etco Trading, Engineering &
Commercial Agencies
Eng.Mohamed Fathy
Daher, Cairo
[email protected]
Sales Manager
+202 2590 0915
Eximco for Int'l Trading
Eng.Nader Mohamed Youssef
Mohandessin, Giza
Executive Manager
[email protected]
+202 3338 3570
Fahim Ragab Sons Pumps Industry
Eng.Assem Fahim Ragab
Shoubra El Khaymah,, Cairo
Vice Chairman
www.fahimragabsons.com
[email protected]
+202 4444 1460
Farouk Kamel Boulos
Mr.Farouk Kamel Boulos
- Aerzen
Chairman
- Akerboom Marine
[email protected]
- Asselberg Nachenius
+203 543 8779
- Hubert Stavoren
- ITS
- Jongia
- Kemper en van Twist
- Polva
- Romacon
- Tricom
Roushdy, Alexandria
Fouad Mahmoud Younes &
Associates Consulting
Mr.Fouad Younes
Zamalek, Cairo
[email protected]
Managing Director
+202 2736 6097
Globe Well water Treatment &
environmental Technology
Mr.Sherif Al-Madani
Nasr City, Cairo
[email protected]
www.globewellegypt.com
Mr.Ossama Salah ElDin
General Manager
Deputy Chairman
[email protected]
+202 24051290
Golden Trade
Ms.Sheren Gad
Nasr City, Cairo
Sales Manager
www.goldentradeco.com
[email protected]
+202 2272 4979
130 | P a g e
Green for Modern Agriculture
6th October, 6th Of October City
Eng.Abd El Rahman Abd El
Tawab
Sales Manager
[email protected]
+202 3836 9320
Handaseya Water Services
Eng.Ahmed Abd El-Gaeed
6th October, 6th Of October City
Owner
[email protected]
+202 3836 1379
Hayat Manufacturing & Development
Ms.Nadira Anwar
Ramleh, Alexandria
Head of Follow up Dept.
www.mansourgroup.com
[email protected]
om
+203 505 1600
Houseman Egypt For Water
Treatment
Mr.Ahmed Amin
Maadi, Cairo
[email protected];
http://housemanegypt.com/site/products.php
+202 2359 7233
Hydrotech Engineering & Technical
Services
Eng.Ahmed Mostafa
Heliopolis, Cairo
[email protected]
http://www.hydrotech-egypt.com/
+202 2268 6200
Hydrotek For Trade & Supplies
Ms.Nermeen
Heliopolis, Cairo
Executive Secretary
www.hydrotekegypt.net
[email protected]
General Manager
Sales Representative
+202 2268 6250
Hy-Tech Aqua Design
Ms.Mena
Nasr City, Cairo
Executive Secretary
www.hytechaquade.com
[email protected]
+202 2273 2714
Image T.R.V Group
Eng.Yasser El-Ady
Heliopolis, Cairo
Owner
www.imagetrvgroup.com
[email protected]
+202 2620 1258
Ingersoll Dresser Pump Services
Ms.Hagar
Heliopolis, Cairo
Executive Secretary
www.flowserve.com
[email protected]
+202 2291 9238
Intech International Environmental
Technologies Co.
Eng.Hazem Kamal
Heliopolis, Cairo
[email protected]
Chairman
+202 2418 3813
131 | P a g e
Integral Engineering & Trade
Mr.Yousry Moussa
Nasr City, Cairo
General Manager
[email protected]
+202 2270 9106
Int’l Desalination & Water Treatment
L.L.C.
Omar El Maraghy
Nasr City, Cairo
[email protected]
http://www.idandwt.com/Home.html
+2012 174 4183
Int'l Co. For Contracting & Water
Treatment
Ms.Shaimaa Mohamed
Haram, Giza
[email protected]
www.icwatert.com
+202 3383 3795
Int'l Consultants for Agency & Trade
Ms.Noha Ameen
Dokki, Cairo
Executive Secretary
www.icat.com.eg
[email protected]
Managing Director
Office Manager
+202 3749 5533
ITI Water - Int'l Trade & Investment
& Water Treatment
Eng.Fawzi Mostafa
Nasr City, Cairo
[email protected]
www.itiwater.com
+202 2262 5659
ITS Integrated Technical Services
Group
Mrs.Noha Essam
Dokki, Giza
[email protected]
http://www.itsgroup-co.com/products.html
+202 3337 8374
IWTE Int'l for Water Technology &
Environment
Ms.Rabaa Basiouny
6th October, 6th Of October City
[email protected]
www.aqualifechimie.com
+202 3832 3787
Kheir Group, Ezzat Kheir & co.
Eng.Hatem Kheir
Nasr City, Cairo
General Manager
www.kheirgroup.com
[email protected]
Owner
Customer Service Dept.
Office Manager
+202 2405 0618
Labbad for Marine Equipment &
Supplies
Mrs.Zeina Hamza
Smouha, Alexandria
[email protected]
www.ellabbad.com
+203 425 1820
M.E.I.T.CO. Middle East Int’l Trading
Co.
Mr.Ali Fikry Mohamed
Cairo, Cairo
[email protected]
http://www.mastenbroek.com/
+202 2575 8851
http://en.shakaintco.com/herder-en.html
132 | P a g e
Office Manager
[email protected]
Masria For Electrical & Mechanical
Workings
Eng.Mahmoud Saad
6th October, 6th Of October City
[email protected]
www.ewmcairo.com
+202 2405 4990
METITO Water Treatment SAE
Eng.Alaa Gobba
Haram, Giza
Business Devpt Manager
www.metito.com
[email protected]
Sales Engineer
Mr.Yasser Salman
Senior Executive Plant Sales Engineer
[email protected]
+202 3536 8278
MidWater - Middle East Water &
Wastewater Technology
Eng.Samir Hanafy
Cairo, Cairo
[email protected]
www.midwatertech.com
+202 2517 1566
Mymsa Lab equipment
Ms.Hossna Said
Maadi, Cairo
Office Manager
http://www.mymsaeg.com/PL/StaticPages/Home.aspx
[email protected]
Naqaa For Water Treatment Systems
Eng.Khaled Hendawy
Damanhour, Beheira
Owner
Sales & Proposals Mgr
+202 25261888
[email protected]
+2016 6264 433
Nesco National engineering Services
Eng.Mohamed Hesham
New Maadi, Cairo
Marketing Manager
http://www.nesco-egypt.com
[email protected]
+202 2704 8740
Nijhuis Water Technology Egypt – ltd
Mrs.Naglaa Haidar
Giza, Giza
General Manager
+202 3336 7235
[email protected]
www.nijhuis-water.nl
+202 3336 7235
Nozzle Water Treatment
Mr.Abdallah Ahmed Maher
Heliopolis, Cairo
Chemical Engineer
http://www.facebook.com/pages/NozzleWater-TreatmentCo/191715670876340?sk=photos#!/pages/No
zzle-Water-TreatmentCo/191715670876340?sk=info
[email protected]
Pacific Water Technologies
Eng.Ahmed Sharawy
Mokattam, Cairo
[email protected]
+202 2241 3225
+2010 1516 628
133 | P a g e
Plant Systems Development
Cooperation
Mr.A. Hakiem El Wagieh
Nasr City, Cairo
[email protected]
www.dacom.com
+202 2267 9260
Pure-Pro Water Corp - Sprankelen
Group
Mr.Martin van Voorthuizen
Sharm El Sheikh,, South Sinai
+2011 0898 089
Managing Director
[email protected]
http://www.sprankelen-group.com/
Red Sea Pipes Industry & Its Fitting
Eng.Essam Abd El Raheem
6th October, 6th Of October City
Sales Manager
[email protected]
+2010 1753 341
SAW For Trade
Eng.Ahmed Amin
Dokki, Cairo
General Manager
[email protected]
+202 3760 4995
Scientific International Co.
Mr.Maged
El Haram, Giza
Chairman
http://www.lifecheme.com/
[email protected]
+202 3771 5862
SCIS Scientific Center for Industrial
Services
Ms.Mai Magdy
Ramleh, Alexandria
[email protected]
www.scisegypt.com
+203 5853 934
SFCegypt
Mr.Montaser Zahran
Nasr City, Cairo
[email protected]
Office Manager
+202 2418 5541
Shamaa For Contracts & Water
Treatment
Eng.Alaa ElDin Shafeeq
Saray El Koba, Cairo
[email protected]
Projects Manager
+202 2452 4099
Shark Engineering & Agencies
Eng.Ashraf Mansour
Down Town, Cairo
Sales Hall Manager
www.elshark.net
[email protected]
+202 2589 1736
Sons of Farid Hassanen & Co.
Eng.Khaled Marei
Boulak, Cairo
Sales Manager
www.sonfarid.com
[email protected]
+202 2575 1544
134 | P a g e
Systems & Technology
Eng.Mohamed El Sharkawy
Dokki, Cairo
General Manager
www.sat-eng.com
[email protected]
+202 3335 3664
TAM For Desalination (Tam company
for water desalination)
Ms.Randa Mohamed
Zamalek , Cairo
[email protected]
http://www.tamoilfield.com/contact.html
+202 2736 4529
Target Water Treatment Specialists
Eng.Hossam Mosaed
Smouha, Alexandria
Sales Representative
www.targetwater.com
[email protected]
Office Manager
+203 4249 688
Techno Install
Eng.Hany Kamal
Nasr City, Cairo
General Manager
+202 2261 6347
[email protected]
+202 2261 6347
TEG Tiba Engineering
Eng.Mostafa Khedr
Nasr City, Cairo
Sales manager
www.tibaeng.com
[email protected]
+202 2270 7067
World Engineering Trading
Eng.Mohamed El Ogeil
Nasr City, Cairo
Executive Manager
[email protected];
+202 2402 0251
WWWS Egypt
Eng.Mostafa Fadlalla
Nasr City, Cairo
General Manager
www.wwbt.net
[email protected]
+202 2405 0973
ZYMAG Co
Dr.Mohamed Abdel Gelil
Azarita, Alexandria
Chairman
http://www.norit-ac.com/english/
[email protected]
+203 426 0240
135 | P a g e
11.12 Home appliances
Aqua Chiara Egypt for Water &
Environmental Treatment
Technology
Nasr City, Cairo
Mr.Mohamed Nagah
IT Manager
[email protected]
+202 2260 7413
www.aquachiaraegypt.com
Aqua Loui
Eng.Sherif Mabrouk
Benha, Qaliubeya
Sales Manager
+2013 322 1971
[email protected]
+2013 322 1971
Aqua Pure Alfa Trading & Agencies
Ms.Mai Khalil
Tanta,, Gharbeya
Office Manager
[email protected]
+2040 9115 351
Future Int'l Mohamed Tohamy
Eng.Mohamed Abd El Salam
Heliopolis, Cairo
Sales Manager
http://www.purewater-egypt.com
[email protected]
+202 2415 8667
Gabtic Engineering & Supplies
Ms.Nada Abd El Reheem
Garden City, Cairo
Office Manager
www.gabtic.com
[email protected]
+202 2794 8270
Nile Int'l (Entenile)
Eng.Ahmed Hossam
Heliopolis, Cairo
Technical Engineer
+202 2620 5230http://entenile.com/
[email protected]
+202 2620 5230
Nile Water Systems
Mr.Niels Hojfeldt
El gouna, Red Sea
Managing Director
http://www.nile-water.com/
[email protected]
+2065 358 0280
Soteer Group
Ms.Kresteen Wagieh
Garden City, Cairo
CEO Secretary
http://www.soteer-group.com
[email protected]
+202 26637400
Water City Technology
Eng.Saber Tawfik
Haram, Cairo
Owner
www.watercity-eg.com
[email protected]
+202 3570 2477
136 | P a g e
Watermust Co
Eng.Mustafa El saied
Mustafa Kamel Side, Alexandria
Technical Manager
www.watermust.com
[email protected]
+203 5228 552
137 | P a g e