Minister of Industry Tarek Kabil will soon issue a decision of rationing import with respect to some goods and products within the limits of international obligations, he said Wednesday.
They decided to put more support to Egyptian products according to a previously issued law on the preference of Egyptian products. A committee headed by himself was formed for this purpose, he said in a press statement after the Cabinet meeting Thursday.
There will be a preference for Egyptian industries in which the percentage of the local component is 40% or more. The first Committee on Government Procurement meetings will be held mid-November to review the ministries’ contracts and apply the law to them.
The Cabinet also emphasised in its meeting on Wednesday evening that the local product protection law must be activated and its preference in all government procurement and contracts. It will then contribute to the promotion and development of the industry since this has direct impact on the reduction of import rates.
Kabil said exports support increased in the current state budget, reaching EGP 3.7bn, to support producers, which will then lead to increasing exports.
The fund is worth EGP 400m and paid a month ago. EGP 300m will be paid this month, bringing the total arrears to EGP 700m.