Final Products

Medium Density Fiberboard (MDF)

Required Inputs

Mixed agricultural waste

Competing Products

Imported MDF and particles boards

Complexity – Type of Process

Manual, mechanical and thermal process

Technology

Crushing, grinding, gluing and pressing

Equipment and Material

Manual tools, agricultural waste crusher, press machine

Human Resources

Manual labor, technical operation, drivers

Competitive Advantage

Low priced product with acceptable quality in comparison with imported product

Barriers to Entry

Managing network of agricultural waste suppliers

Key Stakeholders

Local farmers to provide agricultural waste as raw material, local agricultural waste collectors, furniture factories and workshops

Special Regulations

NA

Risks and Mitigation Measures

Seasonality of agricultural waste affects the stability of supply levels and makes cash flow management very challenging. Logistics of getting the agricultural waste. Therefore, optimizing the location of the processing facility is key to decreasing transportation costs and guaranteeing the availability of various agricultural waste yearlong.

Revenue Stream

Sales of MDF boards

CAPEX

115M

Note: This CAPEX represents the indicative investment size, however, this investment opportunity can grow in implementation to a larger-sized investment.

Investment Size

Large (between 50-500M EGP)

Key Challenge

Meets the quality level requirements, secures constant supply in quantity and quality regardless of seasonality

Advantages

High demand for green wood in the international market, in addition to a competitive edge in quality and price locally

Location of Supply

Supply is mostly in Upper Egypt, Delta, and Ismailia

Preferred
operation
regions

Upper Egypt, Delta, and Ismailia