East African countries, particularly Ethiopia and Kenya, are fast emerging as leading clothing manufacturers. However, there governments, employers and buyers need to pull together and improve business conditions. Since 2013, buyers – among them H&M, Primark and Tesco — have been increasingly sourcing 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 for a combined $337 million in 2013. Bangladesh remains at the top of the list of future sourcing destinations, followed by Vietnam and India, but East Africa is clearly on the rise. Sub-Saharan Africa, East African countries—especially Ethiopia and Kenya, and to a lesser extent Uganda and Tanzania—are of interest to apparel buyers. Both Ethiopia and Kenya are taking steps to develop their domestic textile and garment industries.
However, if East Africa is to enjoy sustainable growth in garment manufacturing, governments should consider investing in infrastructure, supporting local entrepreneurs, diversifying free trade agreements and building market-oriented educational institutions. Suppliers will also need to upgrade their facilities and enter into long-term partnerships with buyers, while buyers will need to evaluate the region as a true strategic option rather than just a testing ground.