Egypt Oils and Fats Latest Update
41
VIEWS
by Zainuddin Hassan
Egypt’s market structure is fairly straight forward, where importers can be food processors, manufacturers, or agents/ distributors of thereof. Large companies prefer to source their food ingredients or products directly from abroad. They do this in order to obtain reasonable pricing, guaranteed continuous product flow, and for quality assurance purposes.

Agents and distributors play a critical role in the market structure, since Egypt’s food processing and manufacturing sectors are highly fragmented with many small and medium enterprises depending exclusively on the former for their imported ingredients due to the small quantities purchased; seek to refrain from risks associated with importing product directly; pay for their purchases in local currency; and do not maintain large inventories.

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