Modon to build industrial zone near Egypt’s Ras El Hekma

A joint venture between Abu Dhabi-listed Modon Holding and Egypt’s Elsewedy Industrial Development is planning to build a new industrial zone near the $35-billion Ras El Hekma megaproject.

The two companies have signed a letter of intent for the project, state-run news agency Wam reported.

The 10 million sq m new industrial zone, located south of the Alexandria-Matrouh highway and opposite the Ras El Hekma site, will initially focus on attracting investors and manufacturers for building materials.

The joint venture between Modon, backed by state-owned Abu Dhabi Developmental Holding Company (ADQ), and Elsewedy Industrial follows a series of partnerships established to boost development in Ras El Hekma.

Egypt’s Elsewedy Electric and 3S Ready Mix Concrete, in addition to the UAE’s RAK Ceramics and Hitech Concrete, a subsidiary of the UAE’s Trojan Construction Group, will set up bases in the upcoming industrial zone, the news agency said.

The expansion will also position Ras El Hekma as an industrial hub, the statement said.

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Over the next decade, the industrial zone is expected to generate more than 20,000 new jobs.

On completion, Ras El Hekma will span 171 million sq m and will house up to two million people.

ADQ appointed Modon as the master developer for the development in 2024.

The Ras El Hekma development is forecast to contribute $25 billion annually to Egypt’s GDP and create 750,000 jobs both directly and indirectly.