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