ETHIOPIA: Clothing sector welcomes China industrial zone deal
Ethiopia's booming textile and clothing industry is set to benefit from a new partnership between Chinese textile company Zhejiang Jinda Flax Llc and the Ethiopian ministry of industry, which has been welcomed by the east African country's clothing sector.
A memorandum of understanding signed last month outlined how Zhejiang Jinda Flax and the ministry will form a joint company, the Kingdom Linen Textile Industrial Zone, which will be responsible for the construction and development of the textile industrial zone project.
An investment agreement is likely to be signed by the end of July according to the ministry, while construction of the zone - in the Bole district of the Ethiopian capital, Addis Ababa - is due to start by June 2015.
Fasil Tadesse, president of Ethiopia's Textile and Garment Association, told just-style: "The new zone will significantly help improve the quality and quantity of the country's textile production. The Chinese company has also agreed to train new recruits."
Zhejing Jinda flax currently produces a wide range of fabrics used widely as sofa and bed covers, curtains and associated products.
The new zone will complement the existing 'Eastern Industrial Zone' on the edge of the capital, where 11 Chinese companies manufacture garments, textiles, leather and leather products, and assemble cars.
Ethiopia is home to more than 230 textile and garment factories, served by 20 training institutes.
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