feasibility study
Legal Constraints
The government regulations consist of 4 main decisions that have been taken by the government in 2003 to avoid any monopolistic actions that might occur in the steel industry, they are:
1. Reducing custom duties (tariffs) on imported steel to 5% down from 20%.
2. Totally exempting scrap used in the rebars and flat steel production process from all tariffs and maintaining the billets tariffs at 3%.
3. Eliminating all “anti-dumping duties “imposed on Egypt’s imports from certain countries.
4. The establishment of a new billet production plant with a total capacity of 1 million tonnes per annum in order to reduce the dependence on import billets.
On the other hand, Mr. Magdy Fahmy states that some furnaces have been ready for production for months but did not operate yet because of the delayed allowance of electric and water supplies from the government. All because of the major drawback constructed by the government that hinders progress and bureaucracy
References and Sources:
https://clutejournals.com/index.php/JBCS/article/download/4900/4993
https://www.flandersinvestmentandtrade.com/export/sites/trade/files/market_studies/2017%20-%20Steel%20industry.pdf
