Is there an Egyptian cotton conspiracy?
Amid arguments chalking it up to global conspiracies and others to poor government management, Egypt’s cotton industry is on the decline, further crippling the country’s textile industry.
CAIRO — “There is a global conspiracy behind its disappearance.” This is a common justification reiterated by Egyptian industrialists and officials to explain the decline in the country's cotton economy. Egypt was previously a world leader in cotton production, its economy based upon this sector, with cotton bringing in foreign currency, as it was considered the most valuable cotton in the textile industry.
Despite the importance of this unique Egyptian crop, successive Egyptian governments have failed over the last 20 years to reform its production. Cities such as El-Mahalla el-Kubra and Kafr el-Dawwar depend entirely upon this sector, for which former President Gamal Abdel Nasser set up large textile factories that have now stopped operations, such as the Misr Beida Dyers and Misrayon & Polyester Fiber Co. This crisis threatens 1.2 million Egyptians and has led to losses of 1.8 billion Egyptian pounds ($235 million) in 2014.
Several unions, like the Textile and Weaving Union in Egypt, assert that there is a global conspiracy to ruin the Egyptian textile industry in order to benefit the imported clothes industry. Yet successive Egyptian governments’ policies have abandoned support for cotton farmers, while many countries, such as India and Turkey, provide up to 30% subsidies to this industry.
The Egyptian government currently aims to limit the cultivation of Egypt's extra-long staple cotton, which Egypt used to boast globally as the best type of cotton. To justify its decision, the Egyptian Ministry of Industry claims that the demand for this type of cotton has dropped and accounts for only 3-5% of the global market’s needs.
