Coca-Cola opens a new $31-million production facility near Cairo

It has a maximum output of 120,000 soft drink cans per hour and an annual capacity of 172-million litres of beverage. It will significantly boost the brand’s local operations in Egypt and enhance its export capability. 

Coca-Cola is represented in Egypt by a strategic bottling partner, Coca-Cola Hellenic, which operates in 28 countries – including emerging markets such as Egypt, Nigeria, Armenia, Belarus, Moldova and Montenegro. It is headquartered in Switzerland. 

The upgrade of production in Egypt comes at a time when US brands are being boycotted by local consumers due to the conflict in Gaza. Coca-Cola’s sales volumes are said to have declined markedly and competitors have moved in to fill the gap in the market. Pepsi is also under pressure. 

Coca-Cola has spent millions building demand for its products 

In a September 2024 report, news agency Reuters noted that: “Coca-Cola and rival PepsiCo spent hundreds of millions of dollars over decades building demand for their soft drinks in Muslim-majority countries including Egypt [and] Pakistan. 

“Now, both face a challenge from local sodas in those countries due to consumer boycotts that target the globe-straddling brands as symbols of America, and by extension Israel, at a time of war in Gaza. 

“In Egypt, sales of Coke have cratered this year, while local brand V7 exported three times as many bottles of its own cola in the Middle East and the wider region than last year.” 

Coca-Cola Hellenic’s factory covers 82,000 square metres. While most of the production is intended for domestic consumers, the Egyptian government is encouraging FMCG manufacturers to target export markets, particularly Gulf Cooperation Council (GCC) countries such as Saudi Arabia, the UAE and Bahrain.