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Tinashe Makichi Business Reporter
Zimbabwe Clothing and textile manufacturers are targeting 100 percent capacity utilisation by 2020 following Government’s directive to ban all second-hand clothes on the local market.
Speaking on the sidelines of a tour of the company by the Office of the President and Cabinet yesterday, Zimbabwe Clothing Manufacturers’ Association chairman Mr Jeremy Youmans said clothing manufacturers welcome Government’s directive to ban second-hand clothing as this will provide a boon to their operations.
Government last week announced several austerity measures meant to resuscitate the economy which include new levies and taxes on imported groceries, fertiliser, and a ban on the importation of second-hand clothes.
“We welcome the stance taken by Government because the ban is going to create more opportunities for us as an industry. We have now set a 100 percent capacity utilisation benchmark in the next five years.
“The entire industry is currently operating at 45 percent capacity and obviously some companies face difficulties but we are always optimistic of reaching that milestone. We are calling for flexible labour laws as well for us to achieve our goal,” said Mr Youmans.
“Recapitalisation in the clothing and textile industry is not a big issue because most of our machinery is not expensive to re- place.”
Mr Youmans said the whole clothing industry requires about $5 million to replace old machinery and addressing working capital constraints. ZCMA represents more than 100 registered companies in the formal sector.
On exports, Mr Youmans said 10 companies within the industry are exporting and more markets are being scouted in the region. He said clothing and textile companies are exporting about 60 percent of their production.
The clothing and textile industry is targeting a 400 percent growth in employment figures to about 40 000 people by 2020 based on growth of exports and trading of quality products.
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