The Suez Canal Economic Zone signed a memorandum of Understanding (MoU) with Brazil’s Port of Santos and Port of Itajaí, two of the biggest and most important ports in Brazil, AbdelKader Darwish, Vice Chairman of the zone said Wednesday.
Under the MoU, the ports will offer trainings and exchange of expertise. Meanwhile, during his visit to Brazil, Darwish met with a prominent apparel manufacturing company that captures 30 percent of the Brazilian market.
The company expressed its interest in establishing a factory in Egypt to export to Europe.
The company is set to visit the Suez Canal Economic Zone in a month.
Trade relations between Egypt and Brazil are expected to grow in light of the Mercosur agreement, which came into force last year.
The Mercosur agreement is a free trade agreement signed in 2010 by Egypt and the Mercosur bloc, compromising Argentina, Brazil, Uruguay, and Paraguay.
The implementation of the deal entails the immediate elimination of tariffs on a list of products for both sides, while a gradual reduction of customs duties will be applied to other products over the upcoming 10 years.
After this period, products will enjoy tariff-free movement among Mercosur countries and Egypt.
A Brazilian trade delegation will arrive in Cairo next week to discuss ways of boosting commercial relations between Egypt and Brazil, Head of the Cairo Chamber of Commerce (CC) Ibrahim al-Araby said on Tuesday.