Egypt is set to establish the first national company for the railway industries

The Suez Canal Economic Zone has announced that the authority signed the contract of the new established company (NERIC) for the railway industries in East Port-Said.“The contract was signed between The Suez Canal Economic Zone (SCZone), The Sovereign Fund of Egypt, and the private sector, represented in Samcrete For Investments Company, Hassan Allam Holding, Orascom Construction, and CONNECT Professional Services, which will aim to localize the railway industries in Egypt to meet its needs and export for local and regional market” Yehia Zaki Chairman of Suez Canal Economic Zone announced in a press release, Today.

“The company’s investments are expected to reach $10 billion in the coming ten years, and the project’s estimated investment cost reach $240 million, for the two-phase venture which will be located in East Port -Said Industrial Zone over an area of 300,000 square meters”. Zaki added

According to Zaki, the company’s production capacity is predicted to be 300 locomotives annually, The contract comes in light of the directives of the political leadership to localize the production of locomotives in Egypt.

SCZone Chairman said also that the establishment of the company comes with the aim of manufacturing, maintaining, replacing, and renewing railcars to settle that industry in Egypt.