A report titled Egypt Food Processing Market Scan, prepared by AGX Consultant and commissioned by the Agricultural Office at the embassy of the Kingdom of the Netherlands in Cairo, highlighted the sector’s growing strategic importance within Egypt’s industrial and food security agenda.
The study said Egypt’s total food market was valued at between $173 billion and $178 billion in 2025, supported by a population exceeding 110 million and rising domestic demand for processed and packaged food products.
Processed food exports reached about $6.1 billion in 2024, marking a 21 percent annual increase and reflecting strong global demand for Egyptian horticultural and processed food products.
Agriculture remains a key pillar of the economy, accounting for about 11 percent of gross domestic product and employing around 40 percent of the workforce; the wider food industry contributes about 14 percent of the country’s exports.
The report noted that Egypt is positioned as a major regional hub for agrifood production and trade, serving markets across the Middle East, Africa, and Europe through established export corridors and port infrastructure.
However, the study identified several structural inefficiencies in the food processing value chain that limit productivity and value addition. Post-harvest losses in fruits, vegetables, and grains are estimated at 15–25 percent, rising to as much as 50 percent for some perishable products.
These losses are partly driven by a shortage of cold-chain capacity, estimated at two to three million tons, as well as limited modern processing infrastructure and low levels of automation across factories.
The report also found that only about 40 percent of perishable agricultural output in Egypt is currently processed, leaving significant room for expansion in agro-industrial activities.
Food safety compliance remains another challenge, with only around 30–35 percent of processors meeting international standards such as ISO 22000.
Despite these constraints, the study said the sector offers major opportunities for investment in cold-chain infrastructure, food safety systems, advanced processing technologies, and digital traceability solutions.
Under Egypt’s Vision 2030 development strategy, the government aims to increase the share of agricultural output that is processed to around 40 percent while expanding agro-industrial exports to $15 billion annually.
The report also highlighted specific growth potential in high-value segments, such as frozen fruits and vegetables, citrus juice concentrates, plant-based food products, and modern logistics systems.
According to the study, stronger investment in processing capacity, storage infrastructure, and technology adoption could help Egypt reduce post-harvest losses, enhance food security, and boost export competitiveness over the coming decade.
“A strong, versatile, and resilient value chain needs a diversified food-processing sector. Efficiency in sorting, grading, and packing increases market value and opens new markets, while processing, like freezing and juicing, creates new opportunities and logistics channels. Egypt’s growing agricultural production in all sectors needs to be matched with expansion in food processing. This study identifies specific opportunities,” Omar Abdellatif, agricultural advisor at the embassy of the Kingdom of the Netherlands in Cairo, told Ahram Online.
He added that the Netherlands has a long history in food processing.
“As one of the largest logistical hubs, with leading knowledge institutes and a well-developed technical supply sector, we see much potential for collaboration. As the Dutch Embassy, we look forward to bringing partners together and learning from each other to design tools and technologies that are specific and effective in the Egyptian context,” said Tycho Vermeulen, agricultural counsellor to Egypt and Jordan at the Netherlands embassy, according to Abdellatif.
Going forward, Abdellatif expects the study to stimulate business and investment opportunities for Dutch companies to support Egyptian growth.
“Egypt is proving to be a strategic and stable market in the region. We believe this will support the expansion of the Egyptian market to reach both African and European markets. To further this goal, we plan to organize a Dutch Pavilion during Food Africa this year, inviting Dutch companies interested in exploring this market to join us,” he explained.
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