For years the West has exported environmentally polluting industries to the less developed world. At last initiatives are underway to halt the trend On any given day, Helwan and Shubra -- to take just two industrialised zones of Greater Cairo -- will be covered by a thick layer of pollution daily spewed by cement factories and metal foundries. The evidence, Mahmoud Bakr reports, is clearly visible to all -- industrial units continue to flaunt environmental laws with seeming impunity. "This is a practice which is under check now," argues environmental specialist Mustafa Kamal Tolba. As part of those checks the Federation of Egyptian Industries (FEI), in cooperation with the Environmental Support Programme (ESP) -- funded by the Danish aid agency (DANIDA) -- are implementing a project aimed to ensure that industry complies with environmental laws by introducing cleaner production technologies. The project encourages industrial ventures to recycle and to use environmentally-friendly technology and raw materials. The project also aims to eliminate unlicensed "basement" operations. Mahmoud Fouad El-Guindi, director of the Environmental Commitment Bureau (ECB), says that "cleaner technology involves the elimination of pollutants in the production process and the enhancement of productivity." Accordingly the ECB has appointed three coordinators to provide environmental help to four industrial sectors -- textiles (humid treatment), food and beverages (milk and oil products), engineering industries (metal work), and metallurgical industries (foundries) -- in the project's first stage. "The ECB promotes cleaner production and environmental management in over 120 industrial firms, supplying them with consultants, training and soft loans. A fund has been created to guarantee sustainable income for the ECB and factories committed to cleaner production are provided with a soft loan of up to LE100,000 to finance cleaner production methods and equipment," says El-Guindi. LE3 million is being used to provide five to10 factories with loans in each of the four sectors. The loans are to be repaid within four years, with a one-year grace period. FEI chief Abdel-Moneim Bekheit says that KR69 million has been allocated to the project to be used as revolving loans to supply industry with environmentally appropriate equipment. "Engineering industries constitute a leading sector in the Egyptian economy, with a total capital of LE25 billion and a work force of 250,000 people. This is why the FEI is taking a special interest in the engineering industries sector and providing it with environmental assistance," noted Bekheit, who points out that the introduction of new, more environmentally-friendly technology reduces waste and increases productivity. Factories adopting cleaner technologies tend to use less energy, water, and raw materials, have higher safety standards, and are generally more efficient. Head of the FEI Chamber of Engineering Industries Nabil Farid Hassanein confirms that the chamber has been acting in coordination with the ECB to improve services offered to engineering industries. "These services include financial and technical assistance, environmental surveys and advice on the purchase and implementation of clean technology. Environmental surveys have been conducted in 80 factories and these are receiving advice and training on cleaner and safer production methods." As for food industries, Bekheit underlines the fact that "the first data centre for food quality in Egypt was created with finance from the Spanish aid agency. The aim is to eliminate basement industries, which threaten public health and fail to pay taxes and duties." "It is better for regulatory bodies to monitor quality and safety standards in the production process than in the final products," argues Yosri Tenawi, head of the FEI Chamber of Food Industries. Kafr Al-Sheikh dairy product factory owner Ahmed Mohamed El-Ghazi says that a major problem facing the industry is rudimentary manufacturing. "For example, wooden tables and galvanised zinc basins are used to process rumi and white cheese. This method does not involve pasteurisation and the products may be unsafe for human use," he explains. Obviously technology minimising human contact with food is safer, he adds. While it may be possible to encourage large firms to adhere to environmentally sound practices, regulating the informal sector remains a challenge. Sami El-Maghrabi, a dairy producer from Beheira, points out that while regulatory bodies regularly inspect licensed factories, basement production which poses substantial health and environmental hazards remains unchecked. And these basement producers, he charges, sometimes refill the packaging of major brand name producers. According to Tolba the real problem is "the proliferation of informal sector industries. Almost 70 per cent of food stuffs are produced in stairwells and basements." "About 75 per cent of Egyptian industry is classified as basement projects," says El-Guindi. "These are mostly unlicensed and tend to ignore environmental regulations." By 2005, El-Guindi continues, when GATT goes into effect domestic products will be in competition with foreign products and will have to observe higher environmental standards. By Mahmoud Bakr
