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“Al Andalous” invests in a new sustainable packaging line

Investor
Al Andalous for Pharmaceuticals
Location
6th of October City, Giza Governorate, Egypt
Investment
Energy-efficient Blistering and Cartoning lines
Investment Size
US$2,311,124
Financial results
Payback period 1.2 years
Energy savings
22 MWh/year (primary)
CO2 savings
4 tCO₂eq/year
Impact
Climate change mitigation
Donor
EBRD, EU, EIB and AFD

New blistering and cartoning line enables Al Andalous Pharmaceuticals to increase output and cut energy use by 30%.

Al Andalous for Pharmaceuticals, founded in 2007, is an Egyptian manufacturer of pharmaceutical products, specializing in the production of capsules and tablets. With a facility located in 6th of October City, the company serves both local and export markets, supplying high-quality and affordable medicines.

To address limitations in efficiency and productivity, Al Andalous for Pharmaceuticals invested in replacing its outdated blistering and cartoning production line with a modern, energy-efficient system. The new line, supplied by Uhlmann Group, a German manufacturer of pharmaceutical packaging equipment, offers increased productivity and significant reductions in energy consumption. The total investment amounted to US$2.3 million was secured under the GEFF Egypt programme.

The old blistering and cartoning line was technologically outdated, consuming higher levels of energy while operating at limited capacity. This inefficiency resulted in higher operational costs and restricted the company’s ability to scale production to meet rising market demand. By upgrading to Uhlmann’s advanced blistering and cartoning line, Al Andalous sought to modernize its production, achieving both greater efficiency and higher output. This enables the company to better serve both domestic and international markets while reducing its carbon footprint. The investment not only improves competitiveness but also demonstrates the company’s commitment to sustainability and alignment with global best practices in pharmaceutical manufacturing.

The investment has delivered multiple benefits:

  • Energy savings: 7 MWh of electricity saved annually, representing a 30% of the old technology consumption.
  • Environmental impact: 4 tonnes of CO₂ emissions avoided per year.
  • Productivity: increased by 50%, reaching 15 million cartons annually.
  • Financial performance: A payback period of just 1.16 years.
  • Employment: 14 permanent jobs created.

GEFF Egypt provided critical support to ensure the success of this project. Beyond financing, the programme offered technical guidance to confirm eligibility, assess efficiency gains, and validate the use of best available technology. The project also qualified for a 10% investment incentive (US$230,454) for exceeding the minimum energy saving requirement.

The Green Economy Financing Facility (GEFF), was developed by the European Bank for Reconstruction and Development (EBRD) and is financially supported by the EU, EIB and AFD.