Strategic Product Targeting for Industrial Transformation in Egypt: A Composite Index Methodology

16-09-2026
Author(s): Dr. Sahar Aboud, Principal Economist at ECES and Rama Said, Senior Economist at ECES
Publication Number: ECES-WP249-E

Abstract

Export diversification is essential for Egypt’s efforts to achieve sustainable growth and structural transformation. This study develops a Trade and Investment Composite Index (TICI) to identify high-potential export products by integrating five dimensions: export competitiveness, export dynamics, investment attractiveness, product complexity, and green complexity. The framework is applied to 1,058 products classified at the HS four-digit level under two alternative weighting scenarios. The proposed framework provides a practical tool for aligning export diversification with Egypt’s long-term industrial transformation objectives. The results show that the highest-ranked opportunities are concentrated in machinery, electrical equipment, advanced materials, and precision instruments— particularly products linked to electric grids, batteries, electric vehicles, renewable energy technologies, and green hydrogen value chains. The findings suggest that future export competitiveness will increasingly depend on technological capabilities and integration into green industries.