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Is East Africa the next global clothing hub?

Published on August 27, 2015

East African countries, particularly Ethiopia and Kenya, could become leading clothing manufacturers if governments, employers and buyers pull together to improve business conditions, global consultancy McKinsey & Company said in a report.

Since 2013, buyers – among them H&M, Primark and Tesco — have been increasingly sourcing their clothing from East Africa, helped by the renewal of the African Growth and Opportunity Act (AGOA), which gives certain countries in sub-Saharan Africa duty-free access to the US market.

Apparel exports from Ethiopia, Kenya, Tanzania and Uganda amounted to a combined $337 million in 2013. McKinsey said that its researchers visited apparel factories in the region; interviewed stakeholders; analysed market data; and surveyed 40 chief purchasing officers (CPOs), representing a combined $70 billion in 2014 purchasing volume. Read more. Source | The Citizen