A member of the ministerial committee restructuring Egypt’s subsidy system has said the Ministry of Supply plans to require ration retailers to either join the Carry On retail chain or transfer their trading licenses to a first- or second-degree relative; a claim the ministry has denied.
The Carry On project is part of a directive from “Egypt’s political leadership” to overhaul the country’s domestic trade and retail sector, according to the Cabinet. The Ministry of Supply and Internal Trade intends to consolidate all of its retail operations, including consumer complexes, Gamaiti outlets and licensed ration retailers, under the single Carry On brand.
The committee member, who spoke to Al Manassa on condition of anonymity, said the retail overhaul is linked to broader plans for the subsidy system, under which citizens would eventually be permitted to spend cash subsidy funds on services beyond food, while the pool of eligible beneficiaries is sharply reduced once new eligibility criteria take full effect.
The first three Carry On branches were inaugurated on September 29, 2025, by Bahaa El Ghannam, chief executive of the Future of Egypt (Mostaqbal Misr) Authority for Sustainable Development, alongside Supply and Internal Trade Minister Sherif Farouk and Cairo Governor Ibrahim Saber.
According to the source, the changes would sharply reduce business and revenue for roughly 90% of Egypt's approximately 32,000 ration retailers, with the impact concentrated in villages and sparsely populated areas. Many of these retailers, the source said, would eventually be unable to cover wages and operating costs — including rent, electricity and transport — and would be forced to close.
The source said the model could offer a path to commercial viability for retailers currently dependent almost entirely on ration card sales, but warned that the required investment and upgrades may be unaffordable for many smaller operators.
The alternative, transferring the store licence to a relative, would shift the cost of upgrades to that relative, though the source said the government is expected to provide financing to help cover the expense.
Ministry spokesman Ahmed Kamal rejected the account, telling Al Manassa that retailers would not be forced to join Carry On and disputing the characterisation of the plan as compulsory. He said the ministry is still drafting rules for converting ration outlets into Carry On franchises, and that its priority is to finalise those rules before announcing the model and opening the process to eligible applicants.
The retail overhaul comes as the government works to reduce the number of ration card beneficiaries to between 30 million and 40 million people, down from an average of 66 million currently, before new eligibility criteria take effect paving the way for a broader shift to a cash subsidy system planned for the current fiscal year, according to earlier statements by the same committee member to Al Manassa.
The source has previously said the new system is designed to give citizens greater flexibility to spend their subsidy allocations on goods or services they need, including electricity and natural gas bills, through smart cards or electronic wallets.
