Egypt's Holding Co. for Maritime and Land Transport (HCMLT) signed on Wednesday an agreement and El Wehda Industrial Development Company to establish a joint venture to run the shipyard and ship recycling facility project. This facility, the first of its kind in the Arab world and Africa, will be capable of handling vessels up to 400 metres in length and 40,000 tons in weight. It will offer a range of services, including ship construction, repair, and recycling. It will not only dismantle ships but also construct new ones and perform repairs. Moreover, the facility will be built on 2 million square metres at the western area of Damietta Port. This initiative will serve as a critical hub for recycling scrap, providing raw materials for the steel industry and reducing Egypt's dependency on foreign imports. The agreement aligns with President Abdel Fattah El-Sisi's vision for the "New Republic" that fosters greater collaboration with the private sector to implement major infrastructure projects that enhance economic growth and create jobs. The facility will meet the highest international standards, incorporating practices from the Hong Kong Convention, Basel Convention, and the European Union's ship recycling regulations. Kamel Al-Wazir, Deputy Prime Minister for Industry and Development and Minister of Transport, highlighted the project's significance in securing raw materials for the steel industry—an essential sector for Egypt's economic stability. The new facility is projected to produce 1.5 million tons of ship-generated scrap annually within five years, covering 66 per cent of the country's steel production needs. Deputy Minister Al-Wazir noted that the project would generate around 4,000 direct and indirect jobs, providing a significant economic boost to the region. The facility's construction and operations will employ the latest technologies to ensure environmentally friendly practices, making Egypt a leader in sustainable ship recycling in the Arab world and Africa. Attribution: The Egyptian Cabinet statement Subediting: Y.Yasser
