INTRODUCTION OF THE AGRICULTURE INDUSTRY AND ITS ROLE IN THE ECONOMY:

INTRODUCTION: Egypt's arable area totals about 3.4 million hectares (8.4 million acres), about onequarter of which is land reclaimed from the desert. However, the reclaimed lands only add 7% to the total value of agricultural production. Even though only 3% of the land is arable, it is extremely productive and can be cropped two or even three times per year. Most land is cropped at least twice a year, but agricultural productivity is limited by salinity, which afflicts an estimated 35% of cultivated land, and drainage problems. ROLE IN THE ECONOMY: (EGYPT) GDP IN AGRICULTURE SECTOR: 2.9%(2006-07),Over All Gdp:7.2%(2006-07) GDP IN AGRICULTURE SECTOR: 2.6%(2007-08), Over All Gdp:4.7%(2007-08) GDP IN AGRICULTURE SECTOR: 2.4%(2008-09), Over All Gdp:5.1%(2008-09) GDP IN AGRICULTURE SECTOR: 2.4%(2009-10),Over All Gdp:1.00%(2009-10) GDP IN AGRICULTURE SECTOR: 13.5% (2010-11),Over All Gdp:1.8%(2010-11)

GDP IN AGRICULTURE SECTORE

1.00% 2.90% 2.60% 13.50% 2.40%

OVER ALL GDP

1.80%

2006-07 2006-07 2007-08 2008-09 2009-10 2010-11 2.40% 4.70% 5.10% 7.20% 2007-08 2008-09 2009-10 2010-11

1.

Structure, Functions and Business Activities of Agriculture Industry

STRUCTURE: Activity Support Needed Research Soil conservation Water harvesting Credit, including consumption credit Seed- Production, Distribution Seed certification Meteorological Information Mechanized equipment and instruments Land and water use Management Other inputs: fertilizer, Pesticides Production Plant protection, including quarantine Meteorological Information Irrigation (major and medium projects) Storage facilities Marketing & Infrastructure Export Support Support prices and purchase policy Agricultural produce Markets Who Should Provide? Initially government, Centre and State Panchayati raj institutions, cooperatives State, panchayati raj institutions, cooperatives Banks, incl. cooperative Banks Private, co-operatives State, private (incl. cooperatives Centre Private, co-operatives State, panchayati raj institutions, cooperatives Private, co-operatives Centre, State, Panchayati raj institutions, cooperatives, private Centre Centre (inter-state projects); State Private sector; cooperatives Centre, State, cooperatives, private Centre; State State / Co-operative Institutions

Pre-Production

FUNCTIONS:

Soil and Water Research:The search for ways to achieve sustainable agriculture and natural resource management requires changes in the traditional approach to problem solving. Researchers must cross the boundaries of their individual disciplines; they must broaden their perspective to see the merits of indigenous knowledge; and they must look to the farmer for help in defining a practical context for research. This change in vision is under way in various degrees throughout the research community. Two key indicators of deterioration in agricultural systems are declines in the quality of the soil and of the water. Poor management of either of these resources quickly leads to decreases in farm productivity. However the lack of any emphasis on extension of the resulting information continues to be the major problem for Egypt and the region associated with the use of the Nile waters. Crop Production Research:The worlds demand for food is enormous. The global demand for cereal grains over a 25-year period shows that the industrialized countries account for roughly 15% of this demand while developing countries account for 85%. The same is true for meat products. When it comes to roots and tubers, the demand in the most industrialized countries will account for less than 3% of production while in developing countries 85 to 95% will be used. And as new, urban lifestyles lead greater numbers of people to consume more fats and less fiber, more fast food and fewer home-cooked meals, developing countries face a double challenge widespread hunger on the one hand and rapid increases in obesity, diabetes, cardiovascular diseases and other dietrelated diseases on the other.

Horticultural Research Institute:Horticulture has a special role. The dependence on low- cash generating commodities for agriculture cannot generate enough income for rural inhabitants. Horticultural crops can be a salvation for such a situation. Another point here is related to the dependence on cereals as the main, and probably the sole constituent of diet. Malnutrition is expected due to the lack of vitamins and other food supplements. Horticultural crops provide the necessary supplements to assure a balanced diet for a healthy population. Horticulture also offers potentials for small value-adding activities that could help in generating income for rural areas and create opportunities. Urban and peri-urban farms already supply food to about 700 million city dwellers, one-quarter of the world's urban population. Urban agriculture involves using small plots such as vacant lots, gardens or roof tops in the city for growing crops and even for raising small livestock or milk cows. Agricultural Economics Research Institute:The studies of AERI will focus on local and international economic changes and methods of estimating the agricultural national income as well as the potential of access to the world markets of agricultural production and to open new markets and improve the marketing information system

BUSINESS (2010)

Population GDP per capita Agriculture Agriculture production

: : : :

8, 17, 13,517(July 2010) $5,000 13.5% of GDP Cotton, Rice, Corn, Wheat, Beans, Fruits, Vegetables, Cattle, Water, Buffalo, Sheep, Goats. Crude Oil and Petroleum Products, Textiles, Metal Products, Chemicals. Cotton,

Major Agriculture Exports:

Major Agriculture Imports:

Machinery and Equipment, Foodstuffs, Chemicals, Wood Products, Fuels

MAIN EXPORT PARTNERS (2010-2011):

9.00% 8.00% 7.00% 6.00% 5.00% 4.00% 3.00% 2.00% 1.00% 0.00% United Italy States Main export partners Spain India Saudi Syria France South Arabia Korea Series1

(2010-2011)

MAIN IMPORT PARTNERS (2010-2011):

12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% United States Main import partners Italy India Germany (2010-2011) China Turkey Series1

PRESENT POSITION AND TREND OF AGRICULTURE INDUSTRY:

Production and sales results: 1 Table grape exports grew from 1,200 tons in 2007, to 6,600 tons worth $22.2 million in 2010. Exports for 2012 are projected at 8,200 metric tons;

Fine green bean exports increased from virtually none prior to ATUT to an estimated 19,700 tons valued at more than $23 million in 2010-2011.

strawberry exports increased from a little more than 2,000 tons at $10.6 million in 2007-2008 to 5,600 tons worth $22.7 million in 2010 and to 6,300 metric tons in 2011.

OTHER AGRICULTURE PRODUCTS:

POLICIES AND NORMS OF EGYPT COUNTRY FOR AGRICULTURE INDUSTRY:

Governments must work with agriculture-based industry to minimize the difficulties of adjusting to increased competition when liberalization occurs. Globalization of the world economy is an established fact. Removal of trade barriers, increased foreign investment, and enhanced competition should be accepted with purpose, care and with ample safeguards, but accepted just the same. Since the 1980s, the Egyptian government has moved toward trade liberalization and a market economy especially through the agricultural economy. Agricultural reform began in 1986 with the Agricultural Production Credit Project followed by the Agricultural Policy Reform Program in 1996. The Agricultural Policy Program has helped the Government maintain progress on liberalizing agricultural markets and remove policy barriers to private sector participation in agriculture. The government has moved from being the major factor in all realms of economic activity to a role of providing the legal and regulatory framework necessary for the private sector and to the support of market driven trade and investment.

AGRICULTURAL LAND TAX.

This tax is levied on all land used for agricultural purposes and land which can be used for agricultural purposes irrespective of the method of irrigation, etc. The tax base is determined according to the rental value of the land that is estimated by the tax authority. The tax authority reviews the rental value every 10 years. The landlord is responsible for the tax liability and he/she is required to remit the estimated tax amount on an annual basis to the tax authority. The tax rate is 14% of land rental value.

DOCUMENTS REQUIRED EXPORT AND IMPORT IN EGYPT & INDIA

IMPORTER: Documents required by customs authorities are required to be submitted to enable them to (a) Check the goods (b) Decide value and classification of goods. (c) To ensure that the import is legally permitted. The documents that are essentially required are: (I) Invoice (ii) Packing List (iii) Bill of Lading / Delivery Order (iv) GATT declaration form duly filled in (v) Importers / CHAs declaration duly signed (vi) Import License or attested photocopy when clearance is under license (vii) Letter of Credit / Bank Draft wherever necessary (vii) Insurance memo or insurance policy (viii) Industrial License if required (ix) Certificate of country of origin, if preferential rate is claimed. (x) Technical literature. (xi) Test report in case of chemicals . EXPORTER: (a) Four copies of Commercial Invoice (b) Four copies of Packing List (c) Certificate of Origin or pre-shipment inspection where required (d) Insurance policy. (e) Letter of Credit (f) Declaration of Value (g) Excise ARE-1/ARE-2 form as applicable (h) GR / SDF form prescribed by RBI in duplicate (I) Letter showing BIN Number.

TARIFFS In 2004, the Egyptian government reduced the number of ad valorem tariff bands from 27 to 6 dismantled tariff inconsistencies, and rationalized national sub-headings above the six-digit level of the Harmonized System (HS). The government also

eliminated services fees and import surcharges ranging from 1 percent to 4 percent. The government reduced its 13,000 line tariff structure to less than 6,000 tariff lines. These and other changes have significantly reduced requests for customs arbitration over the past four years An agricultural product to Egypt in 2007 was $1.8 billion. In the 2007 tariff reduction, Egypt lowered four tariff lines to make them consistent with Egypts WTO bound tariff rates Foreign movies are subject to tariffs and sales tax of about 30 percent for the complete version of the movie and 12 to15 percent for the negative. CUSTOMS PROCEDURES: Egypt adopted the WTO customs valuation system in 2001. The system has not been fully implemented and thus importers sometimes face a confusing mix of the new (invoice-based) and old (reference price) valuation systems depending on the type of imports. The Ministry of Finance is trying to assist customs officials by translating and simplifying the WTO valuation system, which uses seven valuation methods The Ministry of Finance has committed to a comprehensive program to reform Egypt's customs administration, and a priority is to complete implementation of the WTO Customs Valuation Agreement. The Egyptian Government has established an Account Management System to streamline and facilitate the customs treatment of large importers. In addition, in 2005, the Egyptian government established in the ports of Alexandria, Suez and Damietta Model Customs and Tax Centers which offer simplified customs and tax procedures for importers. An additional center was inaugurated in Dekheila in

August2006 and another in Port Said in mid-November 2006. Plans are ongoing to open two additional model centers in El-Adebayo Port (Suez) and Cairo Airport's Cargo Village in 2007. The GOE has also established a Large Taxpayer Center to provide similar services for large sales and income tax payers
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STANDARDS, TESTING, LABELING AND CERTIFICATION

Standards are established by the Egyptian Organization for Standardization and Quality Control (EOS) in the Ministry of Trade and Industry. Verification of

compliance is the responsibility of agencies affiliated with various ministries, including the Ministry of Health, the Ministry of Agriculture and, for imported goods, GOIEC in the Ministry of Foreign Trade and Industry.

Egypt has increased efforts to bring mandatory regulations into conformity with international standards Of Egypt's 3,387 standards, 387 are Egyptian technical regulations or mandatory standards. Importers, however, report that despite having met international standards and/or displaying international marks, products often are subjected to standards testing upon arrival at the port. Product testing procedures are not uniform or transparent and inadequately-staffed and poorly-equipped laboratories often yield faulty test results and cause lengthy delays. Procedures are particularly cumbersome for products under the purview of the Ministry of Health.

PRODUCT TESTING

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GOVERNMENT SUPPORT:

Strengthening agricultural development is a critical element of economic development. USAIDs strategy in Egypt aims at increasing the competitiveness of the agriculture sector by investing in systems that will support the production of goods that contribute to increased market share in both domestic and international markets. USAID/Egypt works with numerous participants in agricultural development in Egypt with the following goals:

To promote policies those support the ability of farmers and other rural producers to improve their production. To provide sound legal framework within which businesses can operate; To integrate small and medium farmers into the export sector; To enable scientific development of new and more productive varieties; To improve agribusiness responsible for processing products and assuring timely flow of agriculture inputs to develop new and profitable markets. To provide schools and universities that prepare students for the skills needed in real life

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BENEFIT AFTER CHANGE THE AGRICULTURE POLICY:

Agricultural Exports and Rural Income (AERI):

AERI began in the last quarter of 2010. It builds on Egypts previous efforts and focuses on:

increasing agricultural incomes to stimulate rural off-farm employment, especially in Upper Egypt; improving the productivity and competitiveness of smallholders to achieve increased incomes, broadening horticultural development efforts to diversify crops and markets, enhancing the role of small growers as suppliers to exporters, integrating the fresh and processed segments of the industry, expanding the use of good agricultural practices in horticulture; improving the smallholder livestock sector as a means to increase agricultural incomes, especially for women who dominate this sector; and Bringing about world class research and training that is more responsive to private sector needs.

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PRESENT BARRIERS FOR AGRICULTURE: THE low purchasing power of a large section of the population, the extent of malnutrition, high population growth rate in the several States and a heavy dependence on the monsoons militate against any let up in the efforts for increasing food production in the country. Thus securing food and nutrition security for the people would continue to be a very important objective for the Government.

Labor Problems-a Societal Issue Low productivity of Egyptian labor compared with that of competitors. Cultural bias toward women working after marriage (Exists primarily at rural lower socio-economic levels)

Costly Transportation The costly transportation issue goes beyond the relatively simple, if unnecessarily costly, acquisition of additional refrigerated trucks. Egyptian law does not permit efficient use of non-Egyptian trucks, thereby increasing the cost and availability of refrigerated transportation. Roads are often rough, slowing down the speed or reducing the quality of shipments. Airports in Upper Egypt do not have cold storage facilities in which to hold perishable cargo awaiting shipment.

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STEP TAKEN BY EGYPT GOVERNMENT TO DECREASE THE PROBLEM: Irrigation plays a major role in a country the very livelihood of which depends upon a single river; 99.9% of the arable land is irrigated. Most ambitious of all the irrigation projects is that of the Aswan High Dam. A report published by the National Council for Production and Economic Affairs indicated that the dam was successful in controlling floodwaters and ensuring continuous water supplies, but that water consumption had been excessive and would have to be controlled. However, the level of water behind the High Dam and in Lake Nasser reached the highest level since the completion of the dam. Despite this unusual abundance of water supply, Egypt can only utilize 55.5 billion cu m (1.96 trillion cu ft) annually, according to the Nile Basin Agreement signed between Egypt and Sudan. Another spectacular project designed to address the water scarcity problem is the New Valley (the "second Nile"), aimed at development of the large artesian water supplies underlying the oases of the Western Desert. Total investment in agriculture and land reclamation for the government's Third Plan (was e16,963 million.)

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POLICIES AND NORMS OF INDIA FOR IMPORT AND EXPORT TO THE EGYPT:

Announcing a Foreign Trade Policy in this economic climate is indeed a daunting task. We cannot remain oblivious to declining demand in the developed world and we need to set in motion strategies and policy measures which will catalyze the growth of exports.

AGRICULTURE SECTOR:

To reduce transaction and handling costs, a single window system to facilitate export of perishable agricultural produce has been introduced. The system will

involve creation of multi-functional nodal agencies to be accredited by APEDA.

AGRICULTURE AND RELATED SECTORS

Basic customs duty reduced for certain agricultural equipment and their parts; Full exemption from basic customs duty for import of equipment for expansion or setting up of fertilizer projects up to March 31, 2015.

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THE FOREIGN TRADE POLICY:

To impart stability to the Policy regime, Duty Entitlement Passbook (DEPB) Scheme is extended beyond 31-12-2009 till 31.12.2010.

Interest subvention of 2% for pre-shipment credit for 7 specified sectors has been extended till 31.3.2010 in the Budget 2009-10.

Income Tax exemption to 100% EOUs and to STPI units under Section 10B and 10A of Income Tax Act has been extended for the financial year 2010-11 in the Budget 2009-10.

The adjustment assistance scheme initiated in December, 2008 to provide enhanced ECGC cover at 95%, to the adversely affected sectors, is continued till March, 2010.

INDIA EXPORT AGRICULTURE PRODUCT IN EGYPT: Egypt's Production, Imports and Total Consumption of Wheat and corn (thousand metric tons) Item 2004 2005 2006 Wheat Production Imports Imports from India Total Consumption 6130 6944 3547 12750 6300 6327 860 12800 6443 7295 3985 13300 Corn Production import Import from India Total consumption 6160 4905 4283 11200 6000 4848 2904 10900 5740 3743 3120 9200 5840 5398 3738 11300 5860 4300 3927 10300 5870 4800 4200 10600 7177 8150 1765 14200 8184 7700 1181 14800 8200 7000 1300 15600 2007 2008 2009

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BENEFIT TO INDIA BY POLICY:

Agriculture and industry has shown remarkable resilience and dynamism in contributing to a healthy growth in exports.

In the last five years our exports witnessed robust growth to reach a level of US$ 168 billion in 2009-10 from US$ 63 billion in 2004-05.

Our share of global merchandise trade was 0.83% in 2005; it rose to 1.45% in 2010 as per WTO estimates. Our share of global commercial services export was 1.4% in 2005; it rose to 2.8% in 2010. Indias total share in goods and services trade was 0.92% in 2005; it increased to 1.64% in 2010. On the employment front, studies have suggested that nearly 14 million jobs were created directly or indirectly as a result of augmented exports in the last five years.

Government use new policy of agriculture in India

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Stimulating foreign and domestic investments was the major priority for the Government of Egypt in 2009-2010 and total foreign investments in Egypt came in at EGP 3,062.5 million. The new Ministry of Investment, responsible for managing state owned companies, announced an initial list of companies to be privatized over the period 2007-2010 in the following sectors: spinning mill and cotton weaving, trade, food industries, housing, tourism and cinemas, maritime and river transport, and ten other companies in various sectors. For exporters interested in the Egyptian market, the main opportunities are in equipment, machinery and environmental services, information technology and telecommunications, pharmaceutical products and medical equipment, equipment for oil exploration, food processing, plastic industries, architecture and construction, agricultural machinery, packaging, franchising, retailing, electrical power systems, building materials, components and automotive spare parts In addition, Egypt wants to increase its exports of non-traditional products and to promote foreign investment in new branches like furniture manufacturing, leather transformation, agriculture industries, It is also expected that public-private partnerships will be actively sought in sectors such as transportation, telecommunications, agriculture and real estate development.

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Investing in Egypt 9 February 2007. While Egypt has no specific legislation governing foreign direct investment, most foreign investment takes place under the terms of Investment Guarantees and Incentives Law n8-1997, which defines incentives for investment in certain activities.

Agriculture, fishing and food processing industry 9 February 2007. Egypt is a major producer and consumer of agricultural products, an exporter but also a net food importer (more than $3 billion these past Few years). This strong dependency, particularly for the main.

Agriculture, fishing and food processing industry Egypt is a major producer and consumer of agricultural products, an exporter but also a net food importer (more than $3 billion these past few years). This strong dependency, particularly for the main basic food products, is a major problem for the Egyptian government, which targets food security and self-sufficiency in basic commodities while also increasing its export potential.

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Global Tenders from Egypt: Global Tenders, Tender notices, procurement news, project information, business opportunities, global tenders, international bids, and request for proposal (RFPs) export import trade leads from Egypt. Agriculture is also a large part of the Egyptian economy. The Nile River provides Egypt with some of the most fertile land in the Middle East. It produces food for consumption and export as well as cotton for domestic and foreign textile.

Tender Notice Type Tender Category Description Action Deadline View Tender Details

Tender Notice

Country :

Egypt

Agriculture and Related Services Supply of Sesame White is peeled Sudanese 12 May 2012 Ref. no.: 11162442

View Details

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Resume Postings for Agriculture Jobs in Egypt:

Posting Date Jan 19 2012

Job Wanted / Qualification Manager

Categories Agriculture Airport

Education: 1984-1990 Agricultural and Horticultural College The Netherlands. Diploma production flowers... Jan 01 2012 Agriculture im looking for long term employment as im retiring from my position of 26 years, and wish to continue to work, i have a bachelors in... Nov 05 2011 Agriculture Engineer

Agriculture

Agriculture

A qualified Agricultural Engineer with an exceptional track record of heading division of an organization seeking a challenging and... Mar 07 2012 Agronomist / Farm Manager/ Agriculture Business Development Manager I am writing for the position of Business Development Manager / Farm Manager / Agriculture Specialist being open at your organization at... Apr 19 2012
I am doing my best to work in my carrier as I am a genetically engineer but actually I have an experience in the field of entomology .rodent...

Agriculture

agricultural chemical engineer

Biotech Government Manufacturing Environment Oil Industry Food Processing Gas Industry Agriculture Lab/Laboratory Technician

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CONCLUSIONS AND SUGGESTIONS:

CONCLUSIONS: Major gaps still exist in our understanding of soil and water systems and processes, but more important are the gaps between what is known and what is applied. Agricultural productivity is limited by salinity, which afflicts an estimated 35% of cultivated land, and drainage problems. Successful agricultural production systems require a combination of biological and societal resources. This is a complex and dynamic mix of variables. In view of the evolutionary nature of agricultural systems, it is important that the setting of research priorities be an ongoing process. Research priorities must be reassessed and adjusted periodically to serve the problems at hand. A mechanism is needed for evaluating and reiterating priorities to keep them fresh, flexible, and responsive to current needs. An effective effort to build sustainability into our agricultural systems will require changes in the philosophy and operating procedures of development organizations. Program planners and implementers will need to be more responsive to the evolution of individual agricultural systems and to the broader aspirations, needs, and capabilities of the user populations.

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SUGGESTIONS: Governments must work with agriculture-based industry to minimize the difficulties of
adjusting to increased competition when liberalization occurs. Globalization of the world economy is an established fact.

Removal of trade barriers, increased foreign investment, and enhanced competition

should be accepted.

Product testing procedures are not uniform or transparent and inadequatelystaffed and poorly-equipped laboratories often yield faulty test results and cause lengthy delays. So this should be removed and lab should be well equipped. Govt. should take the steps to improve the productivity of the workers by give training or latest equipments to improve the productivity of them. Transportation cost should be reduce for the agricultural products by giving subsidies.

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BIBLIOGRAPHY: 1. Agriculture in Egypt .2001 2010. http://www.nationsencyclopedia.com/Egypt- AGRICULTURE.html 2. Agricultural Research Center, Mohamed Abdel- Hamid Khalifa ARC, Giza (Egypt) http://www.claes.sci.eg/arc/arc.htm 3. Agriculture-Led Export Business (ALEB) http://www.aleb.org 4. Agribusiness Linkages, Providing Technical Expertise to Develop Agribusinesses. 5. Egyptian Exporters Association. http://www.expolink.org/events.asp 6. International Executive Service Corps. (IESC) http://www.iesc.org/iescwebsite2.nsf 7. Egypt Strategic Plan FY 2000-2009, Cairo, Egypt. 8. http://www.investment.gov.eg 9. www.globaltenders.com/tenders-egypt.htm
10. www.learn4good.com/.../agriculture...agricultural/Egypt 11 www.fao.org/docs/eims/upload/210990/regional_WANA.pdf

12 http://weekly.ahram.org.eg/2007/856/ec1.htm
13 http://www.nationsencyclopedia.com/Africa/Egypt.html 14 http://www.biomassandbioenergy.nl/ricestraw.htm

15 Egyptian Agricultural Research Center http://www.claes.sci.eg/arc/arc.htm 16 http://www.google.co.in/imgres agriculture

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