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Industry Ministry grants relief package to support struggling factories

Businessmen Team news 03 January 2026 01:27 PM
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Industry Ministry grants relief package to support struggling factories

Ministry of Industry has announced a new package of incentives and extensions for struggling industrial projects that have missed their execution deadlines, officials said Saturday.

The measures, implemented through the Industrial Development Authority (IDA), are designed to support manufacturers and restart production cycles. The grace periods and fee waivers will remain in effect until April 30, 2026.

The ministry outlined three categories of relief based on the project's current completion status:

75% Completion or higher: Projects will receive a six-month extension to finalize construction and obtain licenses, with a 100% waiver on late fines.

50% to 75% Completion: Projects holding a building permit receive a 12-month extension, with late fines waived for the first six months only.

Under 50% Completion: Projects that have made minimal or no progress despite holding a permit receive an 18-month extension, with a fine waiver for the first six months.

While the government is offering a lifeline to investors, the ministry warned that standard administrative costs will still apply according to IDA regulations.

Failure to meet the new deadlines will result in the immediate withdrawal of the land. However, in cases where land has been slated for withdrawal but not yet re-allocated to a third party, the original investor may re-apply for the plot at the current market price.

The move comes as Cairo seeks to bolster its industrial sector and increase local production amid ongoing economic reforms.