Sustainability through efficiency: How DNM Textile’s $4 mill. investment enhanced production

DNM Textiles
Damietta Governorate, Egypt
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
Energy efficiency, Increased production output, improved competitiveness

The investment led to 25.4% energy savings, enhanced quality, and sustainability

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

DNM Textile, founded in 2011 and based in Damietta, Egypt, is a renowned manufacturer specialized in high-quality denim collections. With a commitment to environmental responsibility, the company has established itself as an industry leader by implementing a Zero Liquid Discharge (ZLD) water treatment and applying some energy-efficient practices throughout its production facility. DNM Textile supplies its denim products to some of the world’s largest brands and retailers.

To address the rising energy prices and further enhance production efficiency, DNM Textile made a strategic investment in a cutting-edge, energy-efficient production line. The new  line promised a remarkable 95% increase in production output and product quality while significantly reducing electricity operational costs. The decision is aligned with the company’s dedication to sustainable practices.

AS part of the benefits offered under the GEFF program, the GEFF Project Consultant helped DNM Textile in evaluating the technical, financial and environmental impacts of this investment, and further confirmed that its performance was in line with the best available technologies internationally.

This US$ 4,222,776 investment helped reduce overall energy consumption by the equivalent of 18,989 MWh per year, or 25.4% below their pre-investment consumption. The company’s reduction in energy consumption alone without the benefits of increased production will help recover the investment in less than one year. 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.