The private sector investment spinning companies began to take a leading role in the exports of Egyptian cotton yarn which was dominant in the past by the Public sector spinning companies only. The Private investments in the Egyptian spinning sector was either through the governmental textile privatization program, leasing public sector spinning units or building newly spinning factories in the Free Zone areas. .
The European region has the major share for Egyptian cotton yarn exports since it has always had a share of more than 50%, as it have been the main region for the exports of Egyptian cotton lint. The main countries that import Egyptian cotton yarn in the EU region are Italy , Germany and Belgium respectively. The USA is the second main region and it represented more than 30% of Egyptian cotton yarn exports. .
The average yarn count of exported Egyptian cotton yarn to the EU region has increased from 31NE in 1990 to over 36NE in 2002, which proves that demand of EU countries and in particularly in Italy is towards higher count yarns. On the contrary the demand in the US region has shifted towards lower count Egyptian cotton yarn as it was 27NE in 1990 and it decreased to 17NE in 2002. .
The Egyptian yarn exports to the EU have tremendously dropped in the last four years, but the EU imports in the meantime have increased. The EU imports have increased in 2001 by 15% reaching 150,000 Tons and it continued its rapid rising by 27% in 2002 to reach 191,000 Tons, then in 2003 it increased by 23% to be 246,000 Tons.