Al Nebras for Real Estate and General Contracting, Agricultural and Animal Development, and Tourism has been present in the Egyptian market for 20 years and invests in several different sectors, most notably real estate and agriculture.
Said Salem Said Al Souden, chairperson of Al Nebras, said in an interview with Daily News Egypt that the company plans to inject approximately AED 1.5bn into the local market through the implementation of investment projects in the sectors of real estate, construction, agriculture, livestock, and tourism development until 2018.
What is the current company’s business in Egypt?
The company plans to create 10,000 housing units on an area of 16 acres (8 acres in each of Beni Suef and Minya governorates). We obtained permission and approval for the land and construction will begin before the end of August. The residential unit price is expected to range between EGP 300,000 and EGP 350,000 for 110 metres per unit.
The company allocates 40% of its profits to launch service projects for low-income people in the Egyptian market through projects which launch farms or housing units with low interest rates. Through this they hope to provide equal access to housing at affordable prices for young people while creating jobs and reducing unemployment.
The company received a plot of land on an area of 2,000 acres in Beni Suef governorate to launch a farm and factories for dairy, sauces, juices, and other agricultural products.
Al Nebras provides 60 sq metre residential units for graduates and low-income young people. The unit is made up of a room and a reception, and the company is currently negotiating with Suez governorate to launch a fish farm.
The company will build about 200,000 to 300,000 residential units on an area of 70 acres.
What is the size of the company’s investments in the Egyptian market?
The company owns about 65 Egyptian and Arab companies in partnership with some investors in various countries and invests in all fields.
The company is focusing on the implementation of fish farms in Egypt during the current period because it’s an Arab national project, and most of the Arab countries are not eligible for the establishment of such a farm. Egypt has the potential for establishing the latest model of fish farms.
I did several visits to cotton factories located in Mahalla, and we intend to sign a partnership with these factories to resume their operations and improve their production. The company is currently prepared to negotiate with a number of factories for this purpose.
The company plans to increase its investments in Egypt even up to EGP 20bn, but it depends on facilities provided by the state and land permissions.
The company communicates with the Ministry of Local Development to obtain land and locate the areas most in need of service projects in the local market. The company encourages young people to launch their small- and medium-enterprises (SMEs) that serve the Egyptian economy.
What are the coming projects the company intends to launch?
We will launch several manufacturing and supply factories for sauces and olive oils, in addition to building a hospital, a school, and a supermarket in various governorates.
We have a farm in Assiut on 3,500 acres and will begin establishing factories for juices, dairy products, and fattening before the end of September to meet the needs of the market and export the surplus.
The company is studying the establishment of Teba Farm based on the cultivation of medicinal herbs. We received a 15,000 acre plot of land in Wadi El-Natrun to establish the farm.
The company plans to establish four factories for the production of animal products in governorates of Assiut, Aswan, Minya, and Beheira. We are currently preparing economic feasibility studies for these factories.
The most prominent industries, which occupy a majority of Al Nebras funds, are cotton and textile.
What is your opinion of investment in the real estate market?
The Egyptian market is attractive for investment in various fields; however, the obstacles faced by investors and businessmen appear regularly and slow down procedures for approvals and licenses for the implementation of the projects.
The state has to play a large role in giving facilities to investors through accelerating performance in all government departments to encourage investment in Egypt and to maximize the economic return.
What is your opinion regarding the US dollar crisis?
The Egyptian government’s plan to float the Egyptian pound, the goal of which is to attract capital from abroad, is very intelligent.
The real crisis is not the Central Bank of Egypt’s decisions, as some believe, but the black market traders who are manipulating the exchange rate.
I am optimistic that the Egyptian market will witness major development over the next two years. Al Nebras targets land portfolios of up to 70,000 acres in 2017. We already have 27 acres of them in Beni Suef, Minya, and Fayoum.
What is your opinion regarding the land bridge that will be established across the Tiran and Sanafir islands?
The bridge would be a treasure for Egypt in particular and the Arab region in general. It would attract more investment, which will contribute to greater economic return for Egypt.