The Egyptian Drug Authority reported that the country produced 4 billion medicine packs in 2024, with total pharmaceutical sales amounting to EGP 277 billion. This output reflects a significant increase in local manufacturing capabilities, supported by 172 pharmaceutical factories and 800 production lines across the nation. The government's focus on localizing pharmaceutical manufacturing, particularly in advanced drugs, has been pivotal in achieving this growth.
International collaborations have played a crucial role in bolstering Egypt's pharmaceutical industry. In February 2025, the EDA engaged in discussions with Switzerland-based generic drugmaker Sandoz to expand oncology drug production in Egypt. This move aligns with Egypt's strategy to achieve greater pharmaceutical self-sufficiency and strengthen its position as a key hub for international drugmakers in the Middle East and North Africa region.
Further emphasizing Egypt's commitment to enhancing its pharmaceutical sector, a consortium named Arab API, comprising the Suez Canal Economic Zone, EPICO, and the Arab Company for Pharmaceutical Industries and Medical Appliances , signed an agreement in December 2024 to develop a pharmaceutical raw materials manufacturing facility. The facility, to be built over 96,000 square meters in Ain Sokhna's industrial zone, represents a $120 million investment aimed at reducing dependence on imported raw materials.
Despite these advancements, Egypt's pharmaceutical industry has faced challenges due to macroeconomic factors. The devaluation of the Egyptian pound and trade disruptions in the Red Sea have led to increased operating costs and medicine shortages. To mitigate these issues, the government approved EGP 7 billion in subsidized loans for pharmaceutical companies in August 2024, offering financing at lower interest rates to help streamline production and secure necessary imports. Additionally, the EDA approved price increases for over 1,600 medicines to help manufacturers cope with rising costs.
Egypt's pharmaceutical export sector is also experiencing significant growth. The Senate projected that pharmaceutical exports could reach $5 billion by 2030, up from $964 million in 2022, covering pharmaceutical drugs, medical supplies, and cosmetics. This projection underscores Egypt's potential to become a major exporter in the pharmaceutical industry, leveraging its robust manufacturing infrastructure and strategic geographic location.
The government's proactive approach to establishing pharmaceutical trade agreements across Africa further solidifies Egypt's role as a key exporter. In August 2023, Egypt celebrated its first export of locally manufactured pharmaceuticals to Zimbabwe. Subsequent agreements with countries like Libya and discussions with Uganda and Côte d’Ivoire aim to streamline the approval process for Egypt-made pharmaceutical products, expanding Egypt’s market reach within Africa.
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