Egypt's gold export poised to grow amid economic challenges: industry insiders

Photo taken on Dec. 17, 2024 shows gold jewelry at the 4th International Nebu Expo for Gold and Jewelry in Cairo, Egypt. Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports. (Xinhua/Ahmed Gomaa)

CAIRO, Dec. 17 (Xinhua) -- Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports.

Mamdouh Abdullah, board chairman of Kirmena Jewelry Company, said on the sidelines of the 4th International Nebu Expo for Gold and Jewelry, which concluded on Tuesday in Cairo, that the Egyptian government's decision to cancel valuation fees on gold jewelry exports in 2023 has helped facilitate gold exports, noting that there is still significant potential to further develop the gold industry.

"Gold is a great investment at all times as a hedge against inflation, especially during economic instability," said Mamdouh Abdullah, adding expanding gold exports could alleviate economic stagflation by increasing local employment and earning hard currency.

Official statistics show that Egypt's gold exports reached 2.17 billion U.S. dollars in the first nine months of 2024, up from 1.11 billion dollars during the same period of the previous year. The United Arab Emirates and Switzerland accounted for about 95 percent of Egypt's total gold exports.

Hany Milad, head of the Jewelry and Gold Division of the Federation of Egyptian Chambers of Commerce, attributed the increase in revenues from Egyptian gold exports, particularly raw gold, to the rise in global gold prices. This increase coincides with a relative decline in domestic demand for bullion.

Milad revealed that a national strategy on the gold industry is nearing finalization, aimed at increasing gold and jewelry exports by at least 15 percent annually from 2025 to 2030.

Following a significant advancement in the sector over the past year, which saw Egypt rise 40 places in the global ranking, from 94th in 2022 to 54th in 2023, the country is now setting its sights on becoming one of the world's leading gold exporters.

Milad predicts that with continued government support and strategic initiatives, Egypt could rank among the top 10 global gold exporters by 2027.

An exhibitor arranges gold jewelry at the 4th International Nebu Expo for Gold and Jewelry in Cairo, Egypt, on Dec. 17, 2024. Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports. (Xinhua/Ahmed Gomaa)

A man looks at gold jewelry at a booth during the 4th International Nebu Expo for Gold and Jewelry in Cairo, Egypt, on Dec. 17, 2024. Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports. (Xinhua/Ahmed Gomaa)

Photo taken on Dec. 17, 2024 shows gold jewelry at the 4th International Nebu Expo for Gold and Jewelry in Cairo, Egypt. Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports. (Xinhua/Ahmed Gomaa)

A woman takes photos of gold products at the 4th International Nebu Expo for Gold and Jewelry in Cairo, Egypt, on Dec. 17, 2024. Industry insiders from Egypt's gold export sector said there is still considerable potential to further develop the country's gold industry and predicted continued growth in gold exports. (Xinhua/Ahmed Gomaa)