Britannia Radio

Sunday, November 08, 2009

China confidential

 

Chinese Company Makes Clothing in Egypt

AFP reports:

With cheap labour, investment incentives and unrestricted exports, one Chinese textile group has turned to Egypt as an ideal location to produce its ready-made garments, beating stiff competition at home.

The Chinese-owned Nile Textile Group has set up shop in the Port Said free zone, overlooking the north entrance of the Suez Canal, and developed an industrial estate now hiring 600 workers, 20 percent of which are Chinese and the rest Egyptian.

Cheap raw materials and favourable export conditions have given the company easy access to foreign markets.

It's a bargain for the Nile Textile Group, which imports 60 percent of its basic products tax free and then sends them outside Egypt, mainly to the United States.

Most of their cut-price clothes are now labelled "Made in Egypt" rather than "Made in China".

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