Egypt’s MSMEDA partners with online platforms to promote small businesses

Amazon Egypt and Nigerian online marketplace Jumia have joined the Medium Enterprise Development Agency (MSMEDA) to let young businesses market their products via their platforms.

This collaboration allows owners of SMEs to market and display their products for a reduced commission charge. It also allows businesses to store their products for a year for free.

In March, the agency signed a memorandum of understanding with Jumia to assist small and medium enterprises in their growth as a result of Covid-19 lockdowns.

To apply, proprietors of medium, small, and micro enterprises must be featured in a commercial registry and have a tax card.

All enterprises selling clothing, leather, furniture, food, electrical tools, medical and electronic devices are eligible for the scheme, the agency’s statement said.

The MSMEDA additionally provides training that will guide business owners through the registration process, elaborate on e-marketing mechanisms available, and help them choose relevant marketing channels for their business model.

Since its inception in 1991, the development has helped more than 19,000 project owners who participated in tenders worth more than EGP1bn.

In 2020, MSMEDA sought to provide EGP3bn in funding to 200,000 micro projects, according to Egyptian Minister of Trade and Industry Nevine Gamea.

In March, a report released by market intelligence firm Boost predicted that Egypt’s e-commerce sector will grow by at least 30 per cent this year, driven by a surge in younger shoppers and increasing disposable incomes among Egypt’s middle class.