The Minister of State for Military Production Mohamed Saeed El-Assar and the Minister of Communications and Information Technology Amr Talaat have witnessed the signing of a Memorandum of Understanding (MoU) between Helwan Engineering Industries (Factory 99), Post For Investment (PFI) and Brix company for project management, at the Military Production Ministry General Bureau.
The aim is to establish a factory for retreading and recycling used truck and heavy equipment tires. The Chairman of Egypt National Post Organization (ENPO) Essam El-Saghir attended the signing ceremony.
El-Assar highlighted the significance of this project that will provide great added value to Egypt, through retreading damaged tires.
Tires are retreaded by replacing damaged functioning parts or filling external cracks with new substances using the original tire rubber, according to international standards, without burning or damaging them during the recycling process. This helps double the project’s economic return, benefits the national economy, contributes to supporting and localizing tire industry in Egypt and reduces by 75% the solid waste from tires, which directly affects the environment.
For his part, the ICT Minister stated that ENPO is an esteemed organization that has earned citizens’ trust. It is currently undergoing huge development for reformulating its role, to serve as an active partner in achieving social and economic development, added Talaat.
The ICT Minister also said that through PFI, ENPO seeks to manage and harness investments, in the best way, to benefit the Egypt economy and contribute to implementing ENPO development plans. He underlined the importance of establishing partnerships between the public and the private sectors in investment projects, to stimulate economic growth.
El-Saghir said that the factory is the first of its kind for retreading and recycling used truck and heavy equipment tires in Egypt and Africa. It targets recycling 75% of the used tires, damaged on annual basis in Egypt, thus saving huge amounts of money spent on importing new truck tires and reducing the pollution resulting from disposing of millions of tires randomly.
Recycling used truck tires is one of the largest modern industries that many major industrial countries head for to grow local industry and reduce reliance on import, El-Saghir added.
Furthermore, Brix CEO Ramy Shoman expressed confidence in the success of cooperation between the Ministry of Military Production, PFI of ENPO and his company. He commended the government efforts in supporting collaboration with the private sector to promote local industry and localize many imported industries, one of which is tires, with an annual import budget exceeding 550 million dollars.
