From the start, and also following IMF pressure, Mubarak and his gov-
ernment had seen it as one of their most important tasks to reduce the
external trade balance deficit. Although the GATT agreement imposes pain-
ful limitations on the country’s economy, Egypt tries to increase its exports
of industrial as well as agrarian products, and to reduce its imports at the
same time. During recent years the quality of Egyptian industrial products
has improved considerably and many firms apply international quality stand-
ards, hoping to enhance their export chances. However, competition on
the international markets is tough, so that Egypt has to struggle hard to
compete.