Ministry of Economy and Industry
Contact the Trade Representative in Cairo, Egypt
Adelina Kioseva
Head of Department “Asia, Africa, America and Australia”
12 Knyaz Alexander I St.
Tel.: +359 2 940 7688
a.kioseva@mi.government.bg
Ivan Zahariev
Egypt Desk Officer
12 Knyaz Alexander I St.
Tel.: +359 2 940 7821
i.zahariev@mi.government.bg
I. Economic Relations between the Republic of Bulgaria and the Arab Republic of Egypt
II. Business Compass
III. Sectoral Analyses
I. Economic Relations between Bulgaria and the Arab Republic of Egypt
Trade Turnover (USD million)
Trade turnover in recent years has established Egypt as one of Bulgaria’s major trading partners in the Middle East and on the African continent.
| Year | Trade Turnover (USD mln) | Growth/Decline % | Exports | Growth/Decline % | Imports | Growth/Decline % | Balance |
|---|---|---|---|---|---|---|---|
| 2017 | 1156.6 | 63.5 | 528.0 | 69.7 | 628.6 | 58.7 | -100.6 |
| 2018 | 882.2 | -23.7 | 268.9 | -49.1 | 613.3 | -2.4 | -344.4 |
| 2019 | 1274.0 | 44.4 | 437.9 | 62.8 | 836.1 | 36.3 | -398.2 |
| 2020 | 582.8 | -54.3 | 189.0 | -56.8 | 393.8 | -52.9 | -204.8 |
| 2021 | 597.0 | 2.4 | 284.5 | 50.5 | 312.5 | -20.6 | -28.0 |
| 2022 | 938.3 | 57.2 | 677.9 | 138.3 | 260.4 | -16.7 | 417.4 |
| 2023 | 1200.9 | 28.0 | 819.7 | 20.9 | 381.2 | 46.4 | 438.5 |
| 2024 | 1716.8 | 57.7 | 714.8 | 1.3 | 1002.0 | 161.9 | -287.1 |
2. Leading Commodities in Bulgaria–Egypt Trade for 2022, 2023 and 2024
Leading Bulgarian Export Commodities to Egypt in 2024
| HS Code | Description | USD ‘000 | % |
|---|---|---|---|
| 2710 | Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70% or more of petroleum oils or oils obtained from bituminous minerals | 183,089 | 64.8 |
| 2836 | Carbonates; peroxocarbonates (percarbonates); commercial ammonium carbonate containing ammonium carbamate | 27,616 | 9.8 |
| 7403 | Refined copper and copper alloys, unwrought | 27,476 | 9.7 |
| 1001 | Wheat and meslin | 11,630 | 4.1 |
| 1512 | Sunflower-seed, safflower or cotton-seed oil and fractions thereof, whether or not refined, but not chemically modified | 8,921 | 3.2 |
| 4703 | Chemical wood pulp, soda or sulphate, other than dissolving grades | 3,325 | 1.2 |
| 8705 | Special-purpose motor vehicles (e.g. breakdown lorries, crane lorries, fire-fighting vehicles, concrete-mixer lorries) | 2,850 | 1.0 |
| 2507 | Kaolin and other kaolinic clays, whether or not calcined | 2,778 | 1.0 |
| 4804 | Uncoated kraft paper and paperboard, in rolls or sheets | 2,018 | 0.7 |
| 8481 | Taps, cocks, valves and similar appliances for pipes, boiler shells, tanks, vats or the like | 1,939 | 0.7 |
Leading Bulgarian Import Commodities from Egypt in 2024
| HS Code | Description | USD ‘000 | % |
|---|---|---|---|
| 2709 | Crude petroleum oils and oils obtained from bituminous minerals | 500,044 | 77.1 |
| 3102 | Mineral or chemical nitrogenous fertilisers | 22,868 | 3.5 |
| 3601 | Propellant powders | 22,849 | 3.5 |
| 2814 | Ammonia, anhydrous or in aqueous solution | 18,621 | 2.9 |
| 9301 | Military weapons, other than revolvers, pistols and arms of heading 9307 | 13,185 | 2.0 |
| 7213 | Hot-rolled wire rod of iron or non-alloy steel | 12,829 | 2.0 |
| 7214 | Bars and rods of iron or non-alloy steel, hot-worked | 12,562 | 1.9 |
| 3902 | Polymers of propylene or of other olefins, in primary forms | 5,217 | 0.8 |
| 7208 | Flat-rolled products of iron or non-alloy steel, hot-rolled | 4,315 | 0.7 |
| 7601 | Unwrought aluminium | 4,225 | 0.7 |
3. Investments
According to data from the Bulgarian National Bank (BNB) for 2023 (annual data), net foreign direct investment from Egypt in Bulgaria amounts to EUR 2.2 million.
Other
Joint Commission for Economic Cooperation
On 31 January – 1 February 2019, the First Session of the new Bulgarian–Egyptian Intergovernmental Joint Commission for Economic Cooperation was held in Sofia, with the participation of over 50 Bulgarian and more than 20 Egyptian representatives.
4.1 Priority Areas for Cooperation with Egypt
In view of the current state of Egypt’s economy (ongoing foreign currency crisis) and the unfavorable prospects for significant improvement in the medium term (taking into account the negative impact of the conflicts in Gaza and Sudan, the continuing crisis in Libya, and the deteriorating security environment in the Red Sea), Egypt seeks to reduce its trade imbalance. A number of non-tariff measures have been introduced to reduce imports (including those affecting Bulgarian companies), while the country pursues a policy of intensified technology transfer, acquisition of know-how, and maximization of local production. Within this context, the following areas for bilateral cooperation can be identified:
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Food Industry – export of cereals (wheat, corn, sunflower) and sunflower oil. These products are considered strategic and priority for Egypt (around half of imports are state-controlled) due to the widespread system of state subsidies.
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Automotive Industry – initial-stage cooperation between the Arab Organization for Industrialization and the Bulgarian company Sin Cars for joint production of electric vehicles.
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Agriculture and Livestock Breeding – cooperation in new technologies and modernization, particularly in livestock breeding; discussions are ongoing regarding vaccine shortages.
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Energy – since 2022, talks have been initiated on LNG supplies as part of energy diversification efforts, including a concept for joint fertilizer production in Bulgaria.
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IT and Outsourcing – expansion of Bulgarian companies’ operations in Egypt (e.g. Musala Soft, Fantastic Services), especially low value-added activities such as call centers.
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Military-Industrial Cooperation – potential revitalization of a project for installation of a production line by VMZ Sopot under a Memorandum of Understanding signed in 2021.
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Industrial and/or Free Zones – relocation of parts of Bulgarian production processes to Egypt to reduce costs and maintain export levels.
Legal Framework
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Agreement on Economic Cooperation establishing the Joint Commission for Economic Cooperation.
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Agreement between the Government of the Republic of Bulgaria and the Government of the Arab Republic of Egypt on Mutual Promotion and Protection of Investments (signed 15 March 1998, in force since 8 June 2000), harmonized with EU legislation through an Additional Protocol signed in April 2008.