A group of Chinese companies will invest USD 7 billion to establish a 1 million feddan integrated farming zone in the New Valley Governorate, Asharq Business reported yesterday. The project will be implemented in collaboration with both the public and private sectors in Egypt.

The details:

The project will see cultivation of several strategic crops, primarily wheat, with the aim of reducing imports, enhancing reliance on local production, and conserving foreign currency.

The coalition will also cultivate corn, fruits, and high-value aromatic and medicinal plants, in addition to greenhouses, nurseries, palm trees, and crops with higher productivity that use limited water. The produce will be geared for export, especially to Europe, Egypt’s agriculture minister told the news outlet. 

 Plans also involve advanced agricultural research facilities and an industrial complex for manufacturing agricultural products.

In line with state targets:

The Egyptian government set a target in 2015 to farm 1.5 million acres in various governorates, especially in Upper Egypt, the South Valley, and Sinai.

Egypt is one of the largest wheat importers in the world, typically importing up to 12 million tons annually and the new project will help reduce those levels and boost FX reserves.