Oriental Weavers start expansion into CIS

Within the framework of the Middle East Investment Summit of Reuters agency it has been announced of the beginning of expansion of Egypt’s Oriental Weavers (ORWE), the world’s biggest machine-woven carpet maker, on the CIS area.

ORWE investor relations manager Haitham Abdel Moneim said that the firm expects improvement in profits in the second half against the first half of 2011 as raw material costs declined.

"65% of the firm’s production is exported. We expect a 12% growth in exports this year and this will reflect on our profits," Mr. Abdel Moneim said.

The firm, which exports to 130 countries, posted a 4.4% drop year-on-year, had net profit of up to $9.7 million for 2nd quarter. In the 1st quarter net profit slid 15%.

"I expect growth of 5-6% next year. We aim for expansions into new markets such as West Africa and countries like Kazakhstan and Uzbekistan. We see strong growth opportunities in those countries," he said.