So, the Egyptian Army Incorporated has produced a new freezer and is selling it in the domestic market. This, and similar commercial endeavors, has led some to believe that the army is positioning itself to compete with multinational corporations.
OK, let’s look at that. The army produces commercial goods in factories that are also, and primarily, producing or assembling military hardware. These factories exist under the auspices of US aid; aid which is essentially a subsidy for American weapons companies (it is cheaper to outsource assembly to Egypt for weapons the US buys for the country). Basically, the American government funnels money to the US defense industry via Egypt, and the defense companies boost their own profits from these deals by manufacturing, or assembling, the purchased weapons in Egypt’s military factories.
That is why the factories are there.
The army then utilizes these facilities to also produce consumer goods. Like the factory in Helwan that has produced this new freezer. It is a military production plant primarily for the manufacture of parts for landmines for major landmine manufacturers like General Electric. General Electric, of course, is better known for producing appliances, so you can begin to see how this works.
The Egyptian army cannot compete with multinationals; it is dependent on them. Multinationals allow the army to produce their own line of commercial goods, to create a class of loyal wealthy officers who can manage the country’s affairs in accordance with the interests of the global owners of capital.