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Empa expands in Egypt

Regional distributor Empa has expanded its operations in Cairo to meet the growing demand from local assemblers for components.

Regional distributor Empa has expanded its operations in Cairo to meet the growing demand from local assemblers for components. Empa has appointed a country manager and also plans to open an in-country warehouse.

“Business this year in Egypt has grown significantly so we decided to go with further investment,” said Armagan Demir, VP sales and marketing at Empa. “At the end of July we employed a country manager, Ola Eldib, who has experience working with distributors in the Middle East. Now Empa is in the process of establishing a depot in Egypt to meet channel requirements. We are still using partners’ stocking points but we need to develop our own facilities.”

The Egyptian IT market has witnessed rapid growth recently, and Empa estimates that the overall market value will climb 30% during 2004. Empa’s Egyptian expansion also puts it in a strong position to operate as an authorised Intel distributor in the country. Aptec and Intel recently ended their distribution agreement in Egypt. Prior to joining Empa, Ola Eldib previously worked for Aptec.

“We see the Egyptian market’s turnover coming in at 500,000 PCs annually,” added Demir. “Of that number, 80% is local assembly. Customers go for more affordable products, assembled PCs and laptops, which is good for us. Growth is so high that we had to take the decision to commit more resources to Egypt.”

Empa is also expanding in Saudi Arabia, and plans to have a warehouse and office set up in the city of Khobar, based on the Persian Gulf, by the beginning of 2005. Empa already has operations and warehouses in two other cities, the Red Sea port of Jeddah and the capital Riyadh.

Empa is also expanding its vendor portfolio with a distribution deal with a major PC vendor in the pipeline. During GITEX, Empa plans to run an event for its regional resellers at the Fairmont Hotel, Dubai.

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