A long-established leader high-quality textile and garment manufacturer, Mauritiusis executing a strategic pivot away from its traditional reliance on the highly competitive United States market. This move is essential for the long-term survival of its apparel sector, driven by the erosion of preferential trade terms and fierce cost pressure from Asian manufacturing powerhouses.

For years, Mauritian apparel, which produces premium goods for brands like Marks & Spencer and Calvin Klein, benefited from duty-free access to the US via the African Growth and Opportunity Act (AGOA). However, this dependence is increasingly viewed as risky due to AGOA's periodic renewal and intense cost competition from other AGOA-eligible nations, such as Madagascar.

The numbers confirm the shifting dynamics: in 2024, combined knitted and non-knitted apparel exports to the U.S. totaled approximately $35 million. In stark contrast, exports to the European Union (EU) were significantly stronger, reaching roughly $67 million in the same categories, solidifying the EU as the dominant and more stable market.

The new strategy centers on diversification and value addition. Mauritius is emphasizing vertical integration and design-led production to justify its higher labor costs. The African Continental Free Trade Area (AfCFTA) is now a major focal point, providing duty-free access to a massive continental market, with South Africa already being a key export destination.

Furthermore, the India-Mauritius Comprehensive Economic Cooperation and Partnership Agreement (CECPA) is being leveraged to boost exports to India. The primary challenge moving forward is the continuous need to upskill the workforce to transition the sector entirely into high-fashion, niche, and technically complex garments to maintain global relevance.