By Wisdom Mumera.
The Zimbabwe Investment Authority (ZIA) says Zimbabweans now own the majority of the companies in the textiles industry after a recent influx of indigenous clothing manufacturers
over the past few years.
However, only a small number – less than 10% manufacture for export despite the growing regional market and inroads in past years into new markets mainly in Europe.
The organisation said the sector has gone through a hard time and requires fresh capital.
“The textile industry has gone through a down period and requires investment in new technology which will enable it to compete with imports into the Southern African region from the Far East”
“Opportunities for investment on a joint venture basis into textile design abound, which will enable the industry to attract customers from a wider market base”, it said.
“Within the industry there is under-utilized capacity, which could be developed with external partners into more, specialized manufacture through an improved marketing strategy”, it added.
The clothing sector in Zimbabwe comprises of registered companies who are members of the Zimbabwe Clothing Council.
However the sector been hit hard by the regression in the economy of the country, compounded by the influx of cheap imports from other countries.
Zimbabwe’s textiles and clothing industry is still seriously weighed down by the pre-inclusive government challenges and operating below 10% capacity according to government statistics.
At its prime, the clothing and textile industry in Zimbabwe used to employ 24 000 people. The number has since declined to 4 000.
This perennial crisis has seen what used to be the country’s largest lint processor and largest textiles industry employer David Whitehead Textiles (DWT) being placed under liquidation.
ZIA notes that there is a great deal of opportunities to develop this side of the industry through investment in CMT work with a sound marketing base.
Other areas for pointed for investment would be direct investment of management and technical skills or the establishment of joint venture manufacturing and marketing operations.
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