Strategic Geographic Location

Strategic Geographic Location

Strategic Geographic Location

Strategic location of Egypt has contributed to making it a major hub for Global Trade Traffic, as Egypt is considered ideal choice for accessing global markets in Europe, Middle East, African continent, and India, along with presence of Suez Canal, which is considered most important maritime corridor in world linking East and West.

Suez Canal

Suez Canal contributes significantly to Egyptian economy, playing an important role in increasing national income through tolls collected in exchange for vessels transiting canal. More than 12% of global maritime cargo fleet transits through it annually. Suez Canal saves considerable distance, time, and shipping costs for vessels transiting through it from East to West or vice versa, particularly following implementation of New Suez Canal project.​​

 

Cairo –– Cape Town Highway

Egypt, within framework of efforts to enhance endeavors of continental nations to achieve Sustainable Development Goals and raise standard of living for African citizens, alongside increasing rates of Inter-African trade and investment flows, has worked to connect north of African continent with its south via several projects implemented concurrently. Cairo – Cape Town Highway stands at forefront of these projects, passing through a number of countries in central and eastern African continent, starting from Egypt and passing through Sudan, Ethiopia, Kenya, Tanzania, Zambia, Zimbabwe, Gabon, and terminating in South Africa. This route constitutes longest overland road in Africa with a total length of 10,288 km, traversing Egyptian territories over a length of 1,155 km west of Nile, and this distance within Egypt was executed across 4 phases, and was completed in 2024. Cairo – Cape Town Highway represents internally and locally an important longitudinal transport axis within national roads project, aimed at maximizing utilization of new National Roads Project network spanning 7,000 km. The highway will contribute to increasing volume of trade exchange between Egypt and countries of Africa, achieving unity and connectivity between nations of north and south of Africa.

 

Sokhna-Dekheila Axis

Within framework of executing specific strategy for Egypt to become global trade and logistics Hub, implementation has commenced on a new axis linking Red and Mediterranean seas, serving as largest logistics corridor to service global trade traffic between East and West. Egypt is working to transform Sokhna and Dekheila ports into pivotal transit hubs connecting Red and Mediterranean seas, thereby contributing to increasing share of Egypt in global transit trade market and assisting in opening new markets for Egyptian exports.​​

 
 
 
 
/
 
 
Egypt also possesses capacity to access major primary markets through a group of bilateral and multilateral trade agreements with nations of Europe, Middle East, and Africa, aiming at expanding scope of Egyptian exports to achieve an increase in national income by opening more global markets, promoting Egyptian products abroad, and attracting more foreign investments. Most important of these agreements include the following:
  •  Greater Arab Free Trade Area Agreement (GAFTA)
  •  Egypt-EU Association Agreement– Agreement
  •  Egypt-UK Association Agreement​
  •  Arab-Mediterranean Free Trade Agreement–(Agadir Agreement)​
  •  Free Trade Agreement with European Free Trade Association Countries (EFTA)​
  •  ​​African Continental Free Trade Area Agreement (AfCFTA)
  •  Common Market for Eastern and Southern Africa Agreement " (COMESA)"​
  •  Tripartite Free Trade Area Agreement – (TFTA)​
  •  Free Trade Agreement between Egypt and Mercosur