01/08/2001
Small and medium-sized industries are the basis on which the industries are built. The advancement of small industries represents the real support for larger industries. When small and medium sized industries grow, it is possible for the base of the industrial hierarchy to rise without suffering an imbalance. This is until it becomes qualified for building the competitive edge and export capacity, as well as high-tech basis and increasing the added value in the Egyptian industrial component. No industrial community can make progress without relying on an integrated base of small industries it interacts with. This includes the three levels of small industries; the production unit level and the relevant enhancement and development of the personnel’s industrial skills in the various specialties, the second level is the role they play after reaching a particular phase of maturity as a feeder industry for larger industries, or at the level of high-technology or export-oriented industrial communities, whereas what they export are in fact the added value. According to the indicators in a recent study by the International Labor Bureau, shipbuilders depend on small and medium-sized industries for providing 70% of its needs, while auto industries receive 75% of their resources from small and medium-sized industries. This rate decreases to 35% in the sectors of spilling and textile machines as these companies do not need such components. Although there are giant industries in the US such as auto and electronic industries, the added value brought by the small industries represents the highest rate of funds added to the national economy. This model also exists in many European countries where the economy relies on simple and feeder industries to the largest industries. (Available in Arabic – German in PDF)
Small and medium-sized industries are the basis on which the industries are built. The advancement of small industries represents the real support for larger industries. When small and medium sized industries grow, it is possible for the base of the industrial hierarchy to rise without suffering an imbalance. This is until it becomes qualified for building the competitive edge and export capacity, as well as high-tech basis and increasing the added value in the Egyptian industrial component. No industrial community can make progress without relying on an integrated base of small industries it interacts with. This includes the three levels of small industries; the production unit level and the relevant enhancement and development of the personnel’s industrial skills in the various specialties, the second level is the role they play after reaching a particular phase of maturity as a feeder industry for larger industries, or at the level of high-technology or export-oriented industrial communities, whereas what they export are in fact the added value. According to the indicators in a recent study by the International Labor Bureau, shipbuilders depend on small and medium-sized industries for providing 70% of its needs, while auto industries receive 75% of their resources from small and medium-sized industries. This rate decreases to 35% in the sectors of spilling and textile machines as these companies do not need such components. Although there are giant industries in the US such as auto and electronic industries, the added value brought by the small industries represents the highest rate of funds added to the national economy. This model also exists in many European countries where the economy relies on simple and feeder industries to the largest industries. Furthermore, in the developing countries we find that the small industries in a country like South Korea, which has recently witnessed an industrial boom, accounts for 35% of its total exports. In India the numbers includes 40% of the total productive industries, 45% of the gross industrial exports and 35% of India’s total exports. Due to these increases as a result of advancements of small industries, we would study and analyze the reality of the small industries in Egypt to focus on strengths and promote them to become more positive and efficiently work to get rid of all the negative aspects standing on their way. This shall eventually lead to laying down the first layer of hierarchy on which the stages of the Egyptian industry modernization system depends. The advancement of the small and medium-sized industries is one of the priorities for rearranging the Egyptian industrial sectors from within. It has also become necessary to overcome the problems and obstacles facing these industries. This shall be achieved by applying new systems that are in line with what was agreed upon in the first annual congress of the National Democratic Party that mechanisms and unconventional solutions should be reached to meet the requirements of the coming stage.