KENYA – City Farm, a prominent Egyptian enterprise known for exporting frozen vegetables to the US, is embarking on an ambitious expansion plan starting with Kenya and extending into Europe.
This strategic move involves diversifying its product range and intensifying land reclamation efforts.
CEO Mahmoud Lamei unveiled City Farm’s plans to enter European markets by establishing representative offices in key countries such as Germany, Belgium, and the Netherlands.
Reflecting on the company’s substantial achievements in the American market, Lamei emphasized the goal of diversifying revenue streams and establishing a presence in additional foreign markets, particularly Europe.
City Farm strategically selected markets with significant Arab communities in Europe, including Germany, Belgium, and the Netherlands, for its initial expansion with plans for further European expansion after achieving predetermined sales targets.
Lamei expressed optimism that this growth initiative could potentially increase the company’s overall sales targets by approximately 30% from the projected USD 50 million for the current year.
He highlighted City Farm’s journey, starting in 2021 with product supply to the American market. Annual sales have steadily increased, reaching an impressive USD 50 million in the preceding year from USD 28 million in the inaugural year.
City Farm’s export catalogue includes a variety of Egyptian agricultural produce, serving states across the US, such as New York, New Jersey, Florida, Chicago, Texas, and Michigan. Products range from molokhia, okra, taro, spinach, and falafel to green beans, grape leaves, bottled juices, and peas.
Lamei noted that the company’s export capacity from Egypt stands at approximately 1,300 tons annually.
Efforts are underway to enhance this figure in alignment with government policies aimed at bolstering foreign currency reserves. City Farm’s total investments amount to USD 250 million, covering annual sales and transportation assets.
The company utilizes the ports of Alexandria and Damietta for shipping goods to the US, where they are received at the ports of New York, New Jersey, and Florida.
The US market holds significant importance for Egyptian food products, ranking as the second-largest importer of Egyptian manufactured foods in 2022, with imports valued at USD 4.2 billion.
Lamei expressed confidence that the increase in export volumes is due to the strategic exportation of surplus crops, particularly vegetables and fruits.
City Farm actively promotes its products in foreign markets and explores opportunities in African, East and South Asian regions, as well as select Latin American countries.
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