Egypt trade with China to reach $10 bln in 3 years

By Cynthia Johnston

SHARM EL-SHEIKH, Egypt (Reuters) - Egypt's annual trade with China will grow to $10 billion within three years from $6 billion at present, Egypt's Trade Minister Rachid Mohamed Rachid said on Saturday.

"I am sure in the next three years we will get to $10 billion between China and Egypt," Rachid told Reuters in an interview on the sidelines of a China-Africa business conference, adding that the current trade volume was $6 billion.

That trade was weighed toward Chinese imports, but Rachid said that Egypt was hoping to focus more on exporting value-added products to China, including chemical products, construction materials and leather goods.

"Our exports from Egypt are quite limited. We are taking about $300 million," he said. "But we have a programme that we have agreed between the two ministers of trade of China and Egypt to support Egyptian exports to China. And that programme is also focusing on value-added products."

"I hope that within the next three years we can hopefully get to $1.5 billion in that respect," he said, without giving a comparison figure.

Rachid's remarks came at a business conference in which China will pledge to increase investment in and aid to African countries despite the effects of the global economic crisis, according to draft agreements to be signed at a summit in Egypt on Sunday.

Egypt was one of the first African countries to establish diplomatic relations with China after the Communist revolution in 1949, and now expects China to replace the United States as its top trade partner within the next six years.

"China is becoming more and more a major importer, and they are importing a lot of goods today. We would like to take part," he said.