Egypt targets local pharma production to slash imports

Egyptian pharmaceutical companies are reportedly planning to increase their production capacity to reduce annual imports of $3 billion.

The companies are due to add 20 new production lines this year by investing EGP4 billion ($80 million) to support local production, Ashraq Business, an Arabic financial portal, reported, citing Gamal El-Leithy, head of the pharmaceutical chamber at the Federation of Egyptian Industries.

The value of the market rose 40 percent year on year to EGP307 billion in 2024, he said, adding that the existing production line meets 91 percent of the local needs.

Pharma sales surged to EGP62 billion in the first two months of 2025, the report said.

The government will focus on localising specialised pharmaceutical industries, primarily oncology and immunodeficiency drugs, radioactive dyes and infant formula, El-Leithy said.

In March, prime minister Mostafa Madbouly reiterated government’s intention to localise the pharmaceutical industry, the official State Information Service reported.

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During a meeting with Madbouly, health minister Khaled Abdel Ghaffar said that the savings from localising pharmaceutical raw materials are estimated to hit $1 billion.

Additionally, the government aims to locally manufacture medical imaging devices, mainly ultrasound machines, X-ray equipment and surgical imaging tools, in collaboration with top global companies.

In 2023 The Sovereign Fund of Egypt (TSFE) and private equity firm B Investments announced the launch of EZ International, with the intention of expanding the country’s manufacturing capabilities and trade in the pharmaceutical sector.