Eight international logistics corridors launched as Egypt activates UN road transport pact

Daily News Egypt
5 Min Read

Egypt signed a guarantee agreement under the United Nations TIR Convention to reduce road transport costs by up to 40 per cent and transit times by 80 per cent, alongside announcing the implementation of eight international logistics corridors designed to link Europe, the Gulf, and Africa.

The agreement between the Egyptian Customs Authority and the General Federation of Egyptian Chambers of Commerce activates a presidential decree approving Egypt’s accession to the international customs treaty.

The signing ceremony was attended by Minister of Finance Ahmed Kouchouk, Minister of Transport Kamel El-Wazir, Minister of Investment and Foreign Trade Mohamed Farid, International Road Transport Union (IRU) Secretary General Umberto de Pretto, and Arab Academy for Science, Technology and Maritime Transport President Ismail Abdel Ghaffar.

Minister of Transport Kamel El-Wazir stated that Egypt is shifting from building isolated roads and railways to creating integrated developmental logistics corridors linking the Red and Mediterranean seas and the Suez Canal to dry ports, industrial, agricultural, and mining zones.

El-Wazir outlined the eight corridors: Arish/Taba, Sokhna/Alexandria, Safaga/Qena/Abu Tartour, Cairo/Alexandria, Tanta/Mansoura/Damietta, Gargoub/Sallum, Cairo/Aswan/Abu Simbel, and the Bernice/Aswan/East Oweinat/Kufra/N’Djamena corridor. The latter, he noted, is strategic for connecting the Red Sea with Libya, Chad, and Central Africa, supported by the development of the Egypt-Chad road via Libya.

To facilitate trade between Europe and the Gulf, El-Wazir detailed two main Arab trade corridors. The Northern Arab Trade Corridor links Europe to the Levant—including Jordan, Iraq, and Syria—via the Arish/Taba route and the Arab Bridge Maritime Company fleet. The Southern Arab Trade Corridor connects Europe to Saudi Arabia and the wider Gulf via Safaga port to NEOM (formerly Duba) using Egyptian national fleets. These routes integrate with the India-Middle East-Europe Economic Corridor (IMEC), China’s Belt and Road Initiative, and the Iraq-Turkey Development Road.

El-Wazir added that Egypt has jumped 100 places to rank 18th globally in road quality, citing the creation of a separate concrete truck lane on the Western Desert Upper Egypt road and the ongoing concrete paving of the Aswan-Bernice road. He noted the state spent 3 billion Egyptian pounds developing the Sallum land port to boost Egyptian-Libyan trade, whilst highlighting a Ro-Ro shipping line between Damietta and Trieste, Italy, which serves as a bridge for goods moving between Europe and Saudi Arabia.

The transport minister concluded by thanking ministry workers and transport authorities, noting that the high-speed electric train will reach Abu Simbel for the first time to serve various sectors, including tourism.

Minister of Investment and Foreign Trade Mohamed Farid said activating the TIR system will reduce road transport costs by 25 to 40 per cent and cut the time required for goods to cross borders by up to 80 per cent. Following directives from President Abdel Fattah al-Sisi to turn Egypt into a global logistics hub, Farid noted his ministry is coordinating with the finance ministry and customs to develop a digital risk management system balancing trade facilitation with regulatory compliance.

Minister of Finance Ahmed Kouchouk revealed that transit trade has grown by 40 per cent since March. He directed the establishment of an executive department within the Customs Authority to ensure the proper application of the TIR system. Under the government’s second package of tax facilities, Kouchouk confirmed there is no value-added tax on transit goods and their associated services.

Head of the Customs Authority Ahmed Amoui explained that the TIR agreement, established under the UN and managed by the IRU, is the only global customs transit system allowing goods to cross international borders without intermediate inspections. He affirmed the authority is expanding international agreements and digital transformation to balance trade facilitation with protecting public treasury rights.

Ahmed El-Wakil, Head of the General Federation of Egyptian Chambers of Commerce, stated the agreement grants Egyptian transport companies greater access to regional and international markets, lowering supply chain costs and supporting exports.

 

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