Ethiopia has confirmed that 2018 will be the year it positions itself as a major clothing manufacturing hub.

Already, heavyweight labels including Gap and H&M have commissioned small runs of garments in the country. However, the government is looking to a programme of tax breaks, loans and subsidies to entice the construction of several large factories in a move to spur the manufacturing sector, as reported by Africa Business Central.

The country has seen an impressive growth in foreign investment in its textile industry (from 4.5 billion birr in 2013/14 to 36.8 billion birr in 2016/17).

‘The challenge now is to bring the world’s biggest companies into the country,’ according to prime ministerial adviser Arkebe Oqubay. Among those expected to set up factories this year include PVH, the US company with brands such as Tommy Hilfiger and Calvin Klein; the China-based Jiangsu Sunshine Group (Giorgio Armani and Hugo Boss); and Velocity Apparelz Companies from Dubai (Zara, Levi’s, and Under Armour).

16 January 2018
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