Egypt is nearing completion of a €351 million ($404 million) medium density fiberboard (MDF) manufacturing project in in the northern part of the country, with commissioning and testing currently under way, according to project update provided by the Egyptian Petrochemicals Holding Company (ECHEM).

The project is being implemented by Egyptian Wood Technology Company (WOTECH) as part of a strategy to expand local industrial production using domestically available raw materials and agricultural residues.

The factory, located in the Idku Industrial Zone in Beheira governorate, produces medium-density fibreboard (MDF) from rice straw, which is a by-product of rice cultivation, and is usually burned.

The plant’s startup was originally targeted for the fourth quarter of 2025.

The facility is designed to produce about 205,000 cubic metres per year of MDF, which is widely used in furniture, construction and interior finishing industries.

The plant will use around 250,000 tonnes per year of rice straw as feedstock, sourced locally, supporting Egypt’s plan to reduce open-field burning of agricultural waste and thereby, reduce air pollution and CO2 emissions.

Construction completed

ECHEM said the project has reached the final stage of implementation. It said mechanical works have been completed, and the first MDF board has already been produced.

Commissioning and testing activities are currently under way ahead of full commercial operation.

In January 2025, UK’s Rolls-Royce said that it commissioned ten 20-cylinder mtu gas gensets with a total output of 25 megawatts (MW) to power WOTECH’s MDF plant. The project was delivered in partnership Engineering for Industries Co. (INDE) and the Egyptian Maintenance Company (EMC).  

(Writing by N Saeed; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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