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Ebn Khattab improves the efficiency of its milling lines to enhance competitiveness

Investor
Ebn Khattab for Mills
Location
Menoufia Governorate, Egypt
Investment
Energy-efficient milling line
Investment Size
US$ 3,042,364
Financial results
Payback 1 year
Energy savings
5,288 MWh per year
CO2 savings
2,380 tonnes per year
Impact
Energy efficiency, Increased production output, improved competitiveness
Donor
EU, EBRD SSF

Ebn Khattab invested in upgrading its milling lines to save operational costs and increase its competitiveness.

Khattab for Mills Co. is a producer of wheat products, including flour and bran. The company is considered a key player in the milling industry in Egypt, providing a variety of flour products for all types of usage and in accordance with international and European standards. Flour produced by Khattab is used in the production of pasta, bread and baked sweets, while bran is used as feed for livestock. The company sells 95% of its production locally with up to 85% sold to traders and distributors and 10% directed to industrial facilities that produce pasta and confectionary products. The remaining 5% of sales are directed towards export markets.

The company decided to upgrade the efficiency of its operations through replacing two old milling lines that are heavy consumers of electricity, with a new milling line of a higher efficiency in terms of energy and production output. The new line will allow Ebn Khattab to reduce energy expenses and operational hours while providing 30% increase in production.

The GEFF team evaluated the efficiency characteristics of the new production line and confirmed that its performance was in line with the best available technologies internationally. In addition to assessing the economic viability of the installation, the GEFF team also provided an assessment of the potential environmental benefits associated with the investment.

The US$ 3,042,364 investment helped reduce overall energy consumption by the equivalent of 5,288 MWh per year (23%). The company’s savings from energy expenses, in addition to the benefits of increased production will help enhance their profitability and competitiveness.

The reduction of greenhouse gases associated with this investment is estimated at 2,380 tonnes of CO2 per year, a valuable contribution to mitigating the negative impacts of climate change.

GEFF Egypt was developed by the European Bank for Reconstruction and Development (EBRD) and is supported by the European Union Neighbourhood Investment Facility.

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