Sherif Essam Hegazi, the owner of Egypt based Elakhal Mills Co., that has speeded up the investments in recent years states that their new investment objective is storage silos and adds: “Our goal is to realize a big project of a large wheat storage silo. Because Egyptian market needs huge wheat storage silos.”
Egypt is one the leading wheat importers. For this reason, every single development in Egypt has an important influence on wheat market. This high import and utilization rate of wheat speed up the investments of mills in the country. ElAkhal Mills Co. which is one of the important flour mills in the country stands out with the investments that they have made in recent years and that they are planning to make. Stating that Egypt has very strong mills, The owner of ElAkhal Mills Co., Sherif Essam Hegazi indicates that however the prices are low because it is necessary to carry out exportations in intensive competence environment.
Hegazi, giving information about his investments too, states that they installed a new mill having 200 tons capacity per day and that their primary goal is to construct a grain silo on future dates. We are having the details about ElAkhal Mills Co. and milling industry in Egypt from Hegazi.
Mr. Hegazi, first of all, can you introduce your company ElAkhal Mills, could you give us some information on your facility, capacity and technologies you used?
Our company ElAkhal Mills Co. was founded in 1970 as a family business for flour milling industry. In 1998, we built up a new mill with 160 ton/day in 6th of October City with Buhler machine and we sold it in 2004. In 2002, we renewed our old mill with Turkish machine with the production capacity of 140 ton/day and made a new line of maze mill. In 2006, we built up a new mill operating with the capacity of 220 ton/day and a storage silo with 15.000 tons of capacity in Gamasa Industrial Zone. In 2013, we bought a mill with production capacity of 100 ton/day and now we are installing a new mill with the capacity of 200 ton/day in 15 May Industrial Zone
What can you say about your product variety and the position of your company in Egyptian market? Which properties of your company distinguish you from your rivals?
We have two mills and 82 percent of flour produced in one of these mills is sold to the government. But, 72 percent of the flour produced in other mills is sold in the market. This is a very small percentage for the market but we hope to be bigger in the future.
Are there any other fields you give service besides flour production? If there are other fields you working on or other products, could you give information also about them?
We have a workshop for making some milling machines, spare parts and fluting roller mills.
We also have a share in a pasta factory. We hope to produce animal feed and biscuits in the future.
Are you working only for Egyptian market in the flour milling industry? Are there any export activities or do you have any goals for export?
Yes, we work only for Egyptian market. But we hope to export in the future.
As ElAkhal Mills, what is your future goal for the investment and market objective?
Our goal is to make a big project for a wheat storage silo. Because Egyptian market needs huge wheat storage silos.
We know that Egypt is one of the leading wheat importers. What is the position of Egypt in the world in terms of milling industry?
Egypt now has mills to make Egyptian market more powerful. So the reason for the low price despite the quality is to realize export and to compete with the other markets.
What do you think about the future development of your country especially in terms of flour industry?
The government will go to the direction of wheat flour for pasta and pasta industry instead of rice in order to save water.
Could you give some information also on the flour industry in your country and the consumption habits of your people? In which products is flour used in general and how is it consumed?
The flour industry in Egypt costs the government very high amounts. Because this industry requires wheat and machinery import. So the government should encourage wheat planting more. Also, the government should make more investments in milling machinery production. We hope to set up a factory for producing milling machines and all spare parts and provide all necessary supplies.