Addis Ababa November 08/2017 Wuxi No.1 Cotton Mill, a Chinese Textile Company, has agreed to build integrated textile industry in Dire Dawa, according to the Ethiopian Investment Commission.
The company, with a weaving capacity of 26,000 tons of yarn and 30 million meters of gray fabrics per year, has agreed to invest in a large scale and integrated fabric mill and spinning plant.
The company is known for supplying leading global brands, where 75 percent of its products are mainly exported to Europe, America, Japan, Korea, and Southeast Asia.
During the signing ceremony, Abebe Abebayehu, Deputy Commissioner of EIC, said the investment will contribute a lot to the country’s vision of becoming manufacturing hub.
“This investment would contribute immensely to our government’s vision to build a sustainable, vertically integrated and export-oriented, apparel and textile manufacturing hub in Ethiopia. Indeed, our vision is to make Ethiopia the leading manufacturing hub in Africa.”
Wang Quan, Mayor of Wuxi City, for his part reiterated his administration’s commitment to support Chinese investment in Ethiopia.
In addition to creating direct employment opportunities and earning the country valuable foreign exchange from export, this investment is expected to create significant backward and forward linkages in the fast growing textile and garment industry of the country.
As the industry uses raw materials such as cotton from local sources to produce yarn, it will create a good opportunity for cotton suppliers and is expected to promote large scale cotton production in the country.
Through the industry, the company will bring a state-of-the art manufacturing technology, knowhow and excellence accumulated over a span of 100 years.