In short
- Under Law 15 of 2017, low-risk factories only notify the authorities, while higher-risk factories need approval before they are set up.
- Environmental approval depends on the project's impact: simplified assessments for lower-impact projects, a full assessment for high-impact ones.
- Once production starts, the factory must be entered in the Industrial Register within 30 days.
What this stage involves
The industrial licence. Law 15 of 2017 on facilitating industrial licences sets two routes. Factories in low-risk industries use the notification route: you notify the authority on the official forms, and IDA inspects within 90 days. Factories that pose a significant risk to security, health, safety or the environment need prior approval before they are set up. If an application is refused, the reasons must be sent to you within 14 days. Which route applies depends on your activity — confirm it with IDA for your exact processes, especially wet processes such as dyeing and finishing.
The building permit. You need a building permit before construction starts, and on IDA land it is due within 6 months of allocation (see Stage 5). In a free zone or SCZone, the zone authority handles the permits.
Environmental approval. Under Law 4 of 1994 on the Environment, the Egyptian Environmental Affairs Agency (EEAA) classifies each project by its likely impact. Projects with lower impact need a simplified assessment; projects with high impact need a full environmental impact assessment, including a public review. Wet processes such as dyeing, printing and finishing need particular attention to water and wastewater.
Civil defence and utilities. Fire-safety approval from civil defence is needed before operation. Apply early for power, water and gas connections and confirm the capacity your machines need.
Industrial Register. Within 30 days of starting production, register the factory in the Industrial Register. Registration is renewed every five years.
In a free zone, SCZone or under a Golden License, many of these approvals are handled through one authority — ask it which ones it covers.
Your checklist
Tick as you goWho you deal with
| Organisation | What they help with | Official site |
|---|---|---|
| Industrial Development Authority (IDA) | Industrial licence, inspection and the Industrial Register | ida.gov.eg |
| Egyptian Environmental Affairs Agency (EEAA) | Environmental classification and approval | eeaa.gov.eg |
| General Authority for Investment and Free Zones (GAFI) | Permits for projects inside free zones | gafi.gov.eg |
| General Authority for the Suez Canal Economic Zone | Permits for projects inside SCZone | sczone.eg |
| Civil defence and utility companies | Fire safety and power, water and gas connections | — |
How long it takes
Typical, not guaranteedCommon questions
Is a garment factory low-risk?
Cut-and-sew is usually lower-risk than wet processing such as dyeing and finishing, but the classification depends on the activity — confirm it with IDA.
Do the approvals change in a free zone or SCZone?
The zone authority handles most approvals for projects inside the zone; ask which ones it covers for you.
Can Egytex manage the permits?
Yes. The Setup and Licensing package coordinates permits with our partner engineers and lawyers.
Sources & review
- Sadany & Partners via Mondaq — Industrial registry and operating licenses in Egypt: Law No. 15 of 2017 (22 Jun 2026)
- Environmental Law Alliance Worldwide — EIA procedure in Egypt (Law 4 of 1994, amended by Law 9 of 2009)
- Ahram Online — Egypt's 1st industrial land offering (6-month building-permit milestone)
- DLA Piper — Investment considerations in the Suez Canal Economic Zone