SUMMARY

The recent period witnessed large scale political moves on both the regional and the international levels, in particular aiming to strengthen the economic relations between Egypt and other friendly countries. The government is making a lot of efforts to attract foreign investors in different economic fields. In 1996, the GDP grew by 3.5 %. The objective of the Government is to increase the growth rate of GNP to 5 % annually. Exports increased to US$ 4.5 billion and imports reached US $ 11 billion.

Since desert area covers 96 % of the total land area of the country, the maintenance and enhancement of the productivity of existing agricultural land and the increase in the area of land available for cultivation through desert reclamation are important development priorities for Egypt.

Agriculture plays a vital role in Egypt’s socio-economic development, providing employment to more than 40 % of the active labor force, contributing about 20 % of the Growth Domestic Product and accounting for about 30 % of the nation’s total exports. Most of food and field crops productions have increased and the gross agricultural products reached 30 % of state budget for 1996. Major innovations in the agricultural sector include Al Wadi Al Gadid Canal, Which will transfer water to the southern areas of Egypt in the New Valley from Lake Nasser behind Aswan Dam, and Al Salam Canal which would cross Suez Canal to North Sinai.

The government has prepared an environmental action plan that served as the basis for a comprehensive Environmental Law. The action programme emphasized the need to strengthen the institutional framework at the central government and provincial levels, and recommended extensive technical assistance and training to improve the capacity of the Egyptian Environmental Affairs Agency. The government has embarked on a programme to strengthen its institutional framework to improve natural resource management and to combat environmental degradation.

The environmental action plan also calls for policy reforms to create a milieu within which market forces can generate incentives for efficient utilisation of natural resources and protecting the environment. The plan recommends giving initial emphasis to the water and waste-water sectors, and problems of soil, land, and air pollution.

Area of forest plantations (i.e. shelterbelts, windbreaks, and strip plantings, woodlots, on-farm trees) is approximately 34,000 ha (0.03 % of the country area). Casuarinas, eucalyptus and acacia species dominate the plantations. Other species include tamrix, poplar, mulberry, Prsopsis spp, Dalbergia sissoo and Salix spp. Most of tree plantations in Egypt are irrigated windbreaks that receive water with the field crops they protect. Some of round-wood (i.e. industrial round-wood and fuel-wood and charcoal) is produced from forest plantations (2.4 m m3. in 1993). The country depends heavily on imported timber. A number of pulp and paper mills, composite board mills, plywood, and sawmills exist using local woods and a large amount of imported ones.

Private forests are very limited in Egypt and monetary incentives such as grant or loans for stablishing and maintaining private forests are not practised in Egypt. However, there are numerous private nurseries. There are also few private woodlots being established by some companies with private financial aid mostly for wood industries.