Kanoria has set up a new denim fabric plant in Ethiopia with an installed capacity of 10 million meters of fabric per year. The factory will employ 600 people and produce both yarn and denim for textile and garment factories.
The products will be sold in Ethiopia and African, Asian and South American markets. Established with an extimated capital of $35 million, Kanoria will use cotton procured from local markets and imported from India and Pakistan. The new denim factory is beneficial in terms of transferring technology advancements and knowledge to the country, saving foreign currency, meeting the high demand for denim fabric and creating employment opportunities.
Kanoria Chemicals and Industries is a leading manufacturer of chemical intermediates in India. The company obtained an investment license two years ago. In Ethiopia, there are 130 medium and large-scale textile and garment factories, of which 37 are owned by foreign investors while the remaining are owned by domestic investors.
Ethiopia's textile and garment sector has been a poor performer over the past years, with one of the major problems being the poor supply of cotton, and others being poor planning and management.
www.kanoriachem.com/
