Egypt’s Industry Minister Khaled Hashem has discussed plans by European growing media producer Kekkilä-BVB to establish a factory in Egypt in partnership with local agri-tech company Agri Venture, as the government seeks to expand agricultural manufacturing and water-efficient farming technologies.
The proposed facility is planned for the Suez Canal Economic Zone (SCZone) and will produce alternative growing media used in precision agriculture, including for the cultivation of blueberries, mushrooms and other export-oriented crops.
The locally manufactured growing media will also be used in conventional agriculture and land reclamation projects to accelerate the enrichment of desert soils, help prevent soil-borne diseases and support more sustainable farming practices.
The project is expected to help reduce Egypt’s reliance on imported growing media, which accounts for around 30% of the cost of precision agriculture, while positioning Egypt as a potential production and export hub for these products to European, African and Arab markets.
During a meeting with Willy Tinella, CEO of Kekkilä-BVB, Hashem described the localization of alternative growing media production as a strategic option to support the expansion of modern and protected agriculture and increase value added from agricultural manufacturing.
Hashem said agricultural manufacturing technologies are among the ministry’s priorities, particularly in terms of linking research and innovation with industrial output, reducing agricultural production costs and narrowing the import gap through locally produced alternatives to imported growing media.
He also highlighted the importance of expanding domestic manufacturing of containers and equipment for soilless farming and hydroponics, citing rising domestic and global demand for water-efficient agricultural systems.
The minister said the government is seeking to promote technologies that reduce water consumption in agriculture while increasing the availability of raw materials needed for agricultural processing, a sector that contributes significantly to Egypt’s exports.
Hashem further proposed that Agri Venture explore participation in the ministry’s Productive Village Initiative, which aims to support balanced industrial development by building on the economic advantages of individual villages and regions.
Under the initiative, small industrial workshops and complexes, preferential financing and technical support would be provided to small investors, while efforts would be made to connect small workshops with medium and large factories to strengthen local supply chains.
Hashem said Agri Venture could potentially establish precision agriculture projects in villages known for producing medicinal and aromatic plants and export-oriented crops.
Tinella said Kekkilä-BVB is among the world’s major producers of alternative growing media and specialises in technological solutions for both conventional and precision agriculture, particularly farming systems designed to reduce water consumption.
The company exports its products to international markets and views Egypt as a potential gateway to African and Arab markets, he added.
Agri Venture, meanwhile, described itself as an Egyptian agricultural technology company specialising in modern farming and the production of high-value crops. Its operations include blueberry production using precision agriculture and hydroponic technologies to achieve higher yields while improving the efficiency of water and agricultural resources.
The company said it is Egypt’s largest blueberry producer by production volume and exports its products to major international markets, including the UK, Europe, Southeast Asia and Gulf Cooperation Council countries.
