ADDIS ABABA – The continuous flow of Foreign Direct Investment (FDI) in textile sector is making Ethiopia a hub of textile industry, says Ethiopian Investment Commission (EIC).
In an exclusive interview with The Ethiopian Herald Industrial Parks Division Deputy Commissioner Hanna Arayaselassie noted that Ethiopia has ample investment opportunities in the textile and garment sector.
Owing to government’s conducive investment friendly program, privileged policy such as the Africa Growth and Opportunity Act (AGOA), coupled with its climatic and soil condition suitable for the production of cotton and easily trainable workforce, the country has become preferred investment destinations for the textile and garment industry.
Ethiopia is producing garments labeled ‘Made-in-Ethiopia’ in various industry parks run by local and foreign investors. The produces are exported to various countries including the United Kingdom, United States and other European countries.
According to her, many renowned Chinese textile industries in Adama Industrial Park have gone operational while some are preparing to commence production. One of the textile firms, Sunshine Ethiopia Wool Textile PLC, is the first overseas production base of wool textile and garment. The company owns a total investment of about 350 million USD and annual capacity of producing 10 million meters of wool fabrics and 1.5 million sets of suits.
At its current stage the company has created jobs for about 2,000 people which is likely to reach 7,000 by the end of Phase I and 20,000 by the end of Phase II , Hanna said.
According to Bantiyihun Gesesse, Ethiopian Textile Industry Development Institute (ETIDI), Public Relations Directorate Director, Ethiopia’s textile and garments industry has a bright future owing to its market potential, youth generation willing to join the sector both in production and being the potential buyer of the products over and above government’s high commitment.
“The country has a large pool of easily trainable manpower. Land is available on a leasehold basis to attract foreign investment. The availability of vast international and regional market is also the other opportunity to develop the sector,” he noted.
These days, there are over 200 textile factories and a number of investors are ready to join the sector. The country, as well is keeping on attracting more investments and foreign capital which will help drive the country’s industrialization. The textile and garment industry has created over one hundred thousand job opportunities, he further elaborated.
The Ethiopian Herald, August 14/2019
BY MENGISTEAB TESHOME
