How to Set Up a Factory in Egypt: A Step-by-Step Guide

Egypt has long been a hub for trade and industry. Today, it offers international manufacturers a strategic gateway to Africa, the Middle East, and Europe, with competitive costs and access to over 100 million consumers. 

But before you can start producing, there is a clear journey to follow.

If you are an international or local brand looking to set up shop in Egypt, here is what the process looks like step by step.

Step 1: Define Your Manufacturing Needs

The first step is understanding your own operation:

• Industry focus: What sector are you in (for example, food, textiles, pharmaceuticals, or automotive)?

• Products: What goods will you produce?

• Facility type: Do you need a fully customized factory, or would a ready-made solution like Bosla ready-made units be sufficient?

• Scale: How much land and storage will you require?

This clarity will guide all other decisions, including land size, cost, location, and licensing requirements.

Step 2: Secure Industrial Land in Egypt

There are two main ways to acquire industrial land in Egypt.

Option A: Through a Developer (e.g., Polaris Parks)

Much like purchasing an apartment inside a gated community, working with an industrial developer like Polaris Parks is more expensive but far more efficient. 

Developers provide:

• Streamlined licensing support 

• Maintenance and utilities management

• Security and complaint handling

• Dedicated client relations to solve issues quickly

  
  

This route reduces complexity and ensures smoother operations, particularly valuable for international investors new to the Egyptian market.

Option B: Through the Egyptian Government

The government allocates industrial land through official offerings. While this path is cheaper, it is longer and requires extensive paperwork at both the company and personal levels. Expect to provide:

• Feasibility studies 

• Market research

• Bank and financial information

• Proof of industry experience

• I-Score and risk assessments

Step 3: Factor in Global Sustainability Standards

For international companies, compliance with global ESG expectations is non-negotiable. Many industries, such as pharmaceuticals, food production, and chemicals require green surroundings and certified environmental practices before licenses are issued.

This is where industrial developers stand out. For example, Polaris Parks does not accept non-environmentally friendly manufacturers. This ensures that tenants operate in line with green standards, waste recycling, and efficient resource use. The ecosystem makes it easier for international brands to meet global supply chain requirements.

Step 4: Design and Construct Your Factory

1. Create your factory design

2. Select and source building materials

3. Apply for a construction license

4. Contract an approved constructor to execute the build

   
   

Step 5: Install Machinery and Utilities

Next comes the operational backbone:

• Install production equipment

• Connect utilities, including electricity, water, and gas

• Set up waste treatment and safety systems

  
  

Step 6: Obtain Operational Licenses

Before you can officially produce, several approvals are required:

• Civil Defence

• Environmental licenses

• Health and safety certifications

Only once these are cleared can you apply for the operation license, which authorizes your factory to begin production.

Why International Brands Prefer Developers Like Polaris Parks

For global companies, speed to market and compliance are critical. Working with a developer minimizes bureaucracy, accelerates licensing, and ensures that your factory is built within an environment that already meets international standards.

At Polaris Parks, our role extends beyond land allocation. We provide a complete ecosystem of services designed to help international manufacturers enter Egypt smoothly, operate efficiently, and scale sustainably.

FAQs About Setting Up a Factory in Egypt

How long does it take to set up a factory in Egypt?

It depends on your route. With a developer, timelines are significantly shorter since licensing and infrastructure are supported. With government land, approvals can take months.

Can I rent instead of buy?

Yes. Investors can either purchase land to build on or rent a ready-made unit like Bosla, depending on their needs.

What industries benefit most from Egypt’s industrial parks?

Textiles, food and beverages, pharmaceuticals, automotive, chemicals, and FMCG manufacturing are among the most active.

What sustainability requirements should I expect?

Green certifications, efficient resource usage, and waste management are increasingly standard, particularly in export-driven industries.

Final Word

Setting up a factory in Egypt is a structured but achievable process for international manufacturers. From defining your needs to securing land, building, and finally licensing, every step requires careful planning.

With the right partner, however, the journey becomes faster, simpler, and more aligned with international standards. Polaris Parks is that partner, supporting investors with not just land but a sustainable, well-managed industrial ecosystem built for long-term success.