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Enhancing the competitiveness of DNM Textile through investment in high performance technologies

Investor
DNM Textiles
Location
Damietta Governorate, Egypt
Investment
Energy-efficient production line
Investment Size
US$ 4,222,776
Financial results
Payback 1 year
Energy savings
18,989 MWh per year
CO2 savings
2,820 tonnes per year
Impact
Energy efficiency, Increased production output, improved competitiveness
Donor
EU, EBRD SSF

DNM Textile invested in improving its production cost efficiency to cope with the increasing energy prices.

DNM was established in 2011 in Damietta, Egypt. The company specialized in high-quality denim collections, offering a wide variety of colours, constructions and special textures in its fabrics. The company sells its products the world’s largest denim brands and retailers throughout the industry.

The company is known for its high standards of environmental practices, including ZLD (Zero Liquid Discharge) Water Treatment Plant and Energy Efficiency in its production facility. To increase its investments in high performance energy efficient technology, DNM invested in a new efficient production line that will help the company increase its production output and quality by 95%, while saving on electricity costs.

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$ 4,222,776 investment helped reduce overall energy consumption by the equivalent of 18,989 MWh per year (25.4%). The company’s reduction in their energy consumption alone without the benefits of increased production will help recover the investment in less than one years. This is in addition to the improved final product quality.

The reduction of greenhouse gases associated with this investment is estimated at 2,820 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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