Basel Rahmy, the CEO of the Micro, Small and Medium Enterprises Development Agency (MSMEDA), has reaffirmed the agency's commitment to international collaboration to enhance the productivity and competitiveness of Egypt's industrial and production-focused SMEs. This effort, facilitated through partnerships with global development agencies, aims to create a more attractive investment environment, empower local industries, generate sustainable employment for youth, and boost project competitiveness both locally and internationally. Rahmy's statements came as MSMEDA concluded the first phase of a joint technical cooperation programme with the Japan International Cooperation Agency (JICA) to develop select industrial projects in Egypt's Minya and Alexandria. This initiative is part of a larger project to enhance the competitiveness of SMEs through targeted business development services. According to Rahmy, Prime Minister Mostafa Madbouly has emphasized the importance of collaborating with international experts to improve Egypt's industrial landscape. By incorporating advanced technological and technical expertise, Egypt aims to strengthen the productivity and quality of local industries, expanding their potential to enter global markets. MSMEDA's financing and non-financing support services, combined with enhanced industrial complexes, also help meet local market demands and reduce reliance on imports.
The programme, implemented with JICA's support, specifically aims to improve the productivity of food industry projects in Minya and plastic manufacturing at the Margham industrial complex in Alexandria. Utilizing Japan's "Kaizen" approach—a methodology focused on continuous productivity and quality improvement—the initiative has led to reduced operating costs, improved project profitability, and enhanced competitiveness. Phase one involved hands-on collaboration with Japanese experts who conducted on-site visits to factories in both governorates, providing technical consultations and practical solutions to enhance productivity and implement more efficient operating systems. Raafat Abbas, MSMEDA's Deputy Executive Director, said that the collaboration includes training personnel within SMEDA and partner organizations to implement Kaizen across various governorates, ensuring that Egyptian SME developers gain valuable, sustainable expertise. JICA President Kato Ken praised the initiative, highlighting the significant benefits brought by the Kaizen methodology, which resulted in tangible improvements for participating SMEs. He expressed JICA's enthusiasm for the upcoming second phase, which will focus on providing additional support to help businesses sustain and expand their operations. MSMEDA and JICA officials, alongside representatives from the Japanese Embassy and JICA headquarters in Japan, recently held a meeting to review phase one outcomes and plan future cooperation. This meeting also marked the celebration of 70 years of Egyptian-Japanese cooperation. To conclude phase one, two workshops were held in Alexandria and Minya, attended by JICA Egypt-Yemen Chief, Minya Governor Emad Kadwani, Alexandria Development Director Mohamed Salah, Japanese Embassy First Secretary Takaki Yamamoto, parliamentarians, development partners, and participating business owners. These workshops showcased phase one achievements, including productivity increases of up to 25%, optimized production space utilization by up to 40%, reduced waste, and energy efficiency improvements—all contributing to reduced costs and higher profitability for the participating SMEs.
