The Holding Company for Maritime and Land Transport (HCMLT) and the Egyptian Railways Authority (ERA) have signed a cooperation protocol to establish a joint goods transportation company.
The HCMLT is affiliated to the Ministry of Public Enterprise Sector, and ERA is affiliated to the Ministry of Transport.
The new joint venture will see the two parties use various forms of transport to provide an integrated goods transport service. The company’s primary activity is to own assets and manage and operate transport services that combine the use of railways and road vehicles.
It aims to achieve the best service in terms of cost, speed and efficiency, with river and maritime transport expected to be added in the future.
Minister of Public Enterprise Sector Hisham Tawfik emphasised the benefits of combining the various means of land and railway transports in moving goods.
He noted that with the anticipated future integration of maritime or river transport into the company, the new system will provide high-quality services to manufacturers and traders.
This will also work under best international practices characterised by speed, efficiency and low cost.
Tawfik explained that the new company’s integration of road and railway transport methods will lead to a doubling in the volume of transport. The company’s management will be assigned to a specialised operator with international experience in managing the logistics of transporting goods using multiple modes.
He added that the operator will be selected based on a limited tender issued among major companies operating in this field. This will ensure the selected candidate will manage the company and transfer global operational expertise to its workers through a medium-term employment contract.