While we’re on subsidies, the Export Subsidies Fund has adopted a seven-point strategy to govern the disbursement of export subsidies this year, said Industry and Trade Minister Tarek Kabil. “The higher up you are on the value chain, the greater the export subsidy,” said Kabil. Export markets and maritime routes will also be a factor in subsidy eligibility, with the Russia-Black Sea, the European Union (by way of Italy), Kenya-Tanzania, West Africa (by way of Cote D’Ivoire) routes getting preferential treatment. Subsidies will also be granted to companies participating in trade shows abroad, he added. Exporters to Africa will receive a 2% top-up on top of the base subsidy, with the fund covering 50% of expenses, while exports to Russia, China, Latin America, and other “new” markets will see their base subsidies rise 50%.

Exporters based in Upper Egypt and border regions will see subsidies rise up to 50% to encourage their development. SMEs will receive a 2% increase in subsidy, with the fund also covering 60% of costs of obtaining quality certification, and 80% of the cost of participating in trade fairs. Preference will be given to companies that have quality certifications or whose exports are growing. The new policy was received well by industry leaders and a number of association heads, Al Borsa reports.