Abu Dhabi’s Modon Holding has partnered with Egypt’s Elsewedy Industrial Development to develop a new industrial zone at Ras El Hekma, which is expected to generate 20,000 new jobs. This collaboration was formalized through a letter of intent (LOI) aimed at building and operating the industrial zone that will support the larger Ras El Hekma city megaproject.

The planned industrial zone will cover 10 million square meters and is strategically located south of the Alexandria-Matrouh Highway, directly opposite the Ras El Hekma site currently being developed by Modon. It will initially focus on attracting investors and manufacturers specializing in building materials, which are crucial for the timely and cost-effective construction of the megaproject. The zone is designed to enhance local supply chains and introduce sustainable materials, benefiting the overall development process.

Modon and Elsewedy Industrial Development, a leading developer of integrated industrial and logistics cities in Egypt, are actively seeking anchor partners and industrial investors. The goal is to prioritize collaborations with prominent Egyptian companies while also engaging international investors. Several companies, including Elsewedy Electric, 3S Ready Mix Concrete, RAK Ceramics, and Hitech Concrete, have already signed Memorandums of Understanding to provide essential construction materials and explore factory development opportunities within the new industrial zone.

Beyond the initial construction phase, the industrial zone aims to establish a sustainable industrial base that will promote continuous economic activity and significantly contribute to Egypt’s GDP. This strategic initiative is expected to strengthen Egypt’s position as a key trade and manufacturing hub, facilitating diversification into new sectors that support regional projects along Egypt’s North Coast and expand into key export markets, such as Libya and Europe.

The development of the Ras El Hekma industrial zone is projected to generate more than 20,000 jobs over the next decade, reinforcing its role as a catalyst for economic growth in the region. Jassem Mohamed Bu Ataba Al Zaabi, Chairman of Modon Holding, emphasized the significance of this collaboration, stating that working with Elsewedy Industrial Development reflects Modon’s commitment to partnering with both Egyptian and international firms for this transformative project.

Bill O’Regan, Group CEO of Modon Holding, noted that the partnership enhances their network of international collaborations and local expertise, which is vital for realizing the Ras El Hekma masterplan. Eng. Mohamed AlKammah, CEO of Elsewedy Industrial Development, expressed excitement about the project, highlighting its role in developing smart industrial cities that not only focus on infrastructure but also support the local economy through job creation and productive ventures.

Ras El Hekma, once completed, will span 170.8 million square meters and is envisioned as a sustainable, smart, and inclusive urban community capable of housing up to two million residents. In 2024, ADQ appointed Modon as the master developer for this ambitious project, marking a significant step in Modon’s international growth strategy.