El Araby Group plans $480 mln expansion in Egypt home appliances sector

Ahram Online , Wednesday 4 Mar 2026

Egypt's El Araby Group plans $480 million in expansions in the country’s home appliances industry over the next five years in Quesna city, Menoufiya governorate, the Ministry of Industry said in a statement on Wednesday.

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The group aims to enhance the home appliance manufacturing sector, increase exports, and promote localization, with the goal of raising the local content in its products to 90 percent.

El Araby will use its research and development centres to collaborate with the government’s committee of local and international scientists to advance industrial development through scientific research.

The committee, a joint initiative by the Ministries of Industry and Higher Education and Scientific Research, works with the private sector and Egypt’s Industrial Modernization Centre (IMC) to strengthen the local industrial sector.

It also connects university and research centre findings with industrial applications, including expanding the use of artificial intelligence (AI) and other technologies.

Founded in 1964, El Araby Group is one of Egypt’s largest family-owned conglomerates, specializing in localized manufacturing, marketing, and distribution of consumer electronics and home appliances. Its products cover more than 43 categories from international brands such as Sony, Sharp, and Toshiba.

These expansion plans align with the government’s efforts to boost competitiveness, increase production, and address structural challenges in the manufacturing sector as part of its National Industrial Strategy, currently under review.

The strategy is being prepared in coordination with the Federation of Egyptian Industries (FEI) to adopt sustainable measures supporting production and investment.

Egypt’s industrial sector is one of five priority sectors in the country’s economic development narrative. The government has been promoting industrial localization by establishing manufacturing complexes and encouraging international firms and investors to expand operations. The sector’s contribution to GDP is targeted to rise from 14 percent to 20 percent by 2030.

These initiatives aim to reduce imports, achieve an annual foreign direct investment target of $24.6 billion, reach total exports of $145 billion by 2030, a 7.5 percent increase, and raise non-oil exports by 15–20 percent each year.

Egypt’s home appliance market reached $3.9 billion in 2025 and is expected to reach $4.1 billion in 2026 and $5.1 billion by 2031, according to the cabinet’s Information and Decision Support Centre, citing Mordor Intelligence data.

The market has a compound annual growth rate (CAGR) of 4.51 percent, with refrigerators leading sector growth through investments by international firms such as Turkey’s Beko, Germany’s Bosch, and China’s Haier.

 

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