Egypt partners with Poland’s Feerum to localize grain silo manufacturing, boost food security

The company will be jointly owned by Samcrete Egypt, a leading domestic construction and industrial firm, and Feerum S.A., a Polish manufacturer specializing in grain storage and drying systems

EGYPT – Egypt, Africa’s largest cereal market, has taken a major step toward self-sufficiency in grain storage by approving the establishment of Feerum Egypt, a new joint-stock company that will locally manufacture grain storage silos.

The initiative, announced on November 6, 2025, by the Ministry of Supply and Foreign Trade, is part of the country’s broader strategy to strengthen national food security and industrial localization.

The company will be jointly owned by Samcrete Egypt, a leading domestic construction and industrial firm, and Feerum S.A., a Polish manufacturer specializing in grain storage and drying systems.

Under the agreement, Feerum Egypt will produce up to 80% of the silo components locally within three years, operating under a fixed-price contract denominated in Egyptian pounds.

The company aims to deliver equipment supporting a total storage capacity of 1.4 million tonnes, with plans to export surplus production to regional and global markets.

According to Sherif Farouk, Egypt’s Minister of Supply and Internal Trade, the project is a cornerstone of the government’s strategic storage system modernization plan, which seeks to minimize post-harvest losses and enhance food resilience amid global supply chain disruptions.

Localizing silo manufacturing is not just an industrial project, but a national food security project. It reflects the political leadership’s vision of making Egypt a regional grain storage hub, strengthening our capacity for self-sufficiency and long-term market stability,” he said.

The move follows an earlier government announcement in November 2024 allocating 34 billion Egyptian pounds (US$718 million) to finance the construction of new grain storage facilities by 2030.

The goal is to raise Egypt’s national storage capacity to 2.6 million tonnes, ensuring sufficient reserves to manage domestic consumption and stabilize grain prices.

According to FAO data, the country produced an average of 21.7 million tonnes of cereals annually between 2021 and 2023, while importing an average of 20.3 million tonnes, mainly wheat and maize, to meet consumption needs.

As both the largest producer and importer of cereals in Africa, Egypt’s reliance on global markets makes it particularly vulnerable to price shocks and supply disruptions, underscoring the importance of enhanced storage and processing infrastructure.

Recently, while speaking during the Global Alliance Against Hunger and Poverty meeting in Doha, Prime Minister Mostafa Madbouly announced that Egypt has unveiled an initiative to expand the country’s wheat and grain reserves to safeguard domestic needs amid global market uncertainties.

The project involves constructing about 50 new silos across 17 governorates, adding an additional 1.5 million tons of storage capacity. Once completed, Egypt’s total grain reserves will exceed 6 million tons, marking a major step toward stabilizing its supply chain for key staples.

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