Strengthening cooperation promotes sustainable textile investments and operations in Ethiopia – MoI

Addis Ababa, September 16, 2022 (FBC) – Improved Environmental, Social and Governance (ESG) practices – next to price and quality of products – are key success factors for competitive textile and apparel industries in Ethiopia, said Ministry of Industry-Ethiopia.

The international conference on triangular cooperation to promote sustainable textile investments and operations in Ethiopia was organized by the Ministry of Industry-Ethiopia (MoI), the UN Industrial Development Organization (UNIDO), and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ).

In his keynote remarks, the Minister of MoI, Melaku Alebel, said: “In our path to industrialize Ethiopia, the Government is committed to making the sector globally competitive and bringing the necessary structural transformation to the textile sector for a better partnership among Ethiopian textile industries, Chinese businesses, and international brands.”

The Minister added, “As the development of the textile and apparel sector accelerates in Ethiopia, the foreign direct investments especially from Chinese enterprises have been taking on a remarkable momentum. It is timely and relevant to create a platform to exchange ESG best practices and foster sustainable environment in the textile sector of Ethiopia.”

Ethiopia’s favorable investment environment, including lower cost of production and preferential tariff policy has significantly increased the number of Chinese investments in the textile and apparel manufacturing sectors.

“UNIDO is committed to promoting inclusive and sustainable industrial development in Ethiopia,” said Aurelia Patrizia Calabrò, UNIDO Representative and Director of the Regional Office Hub in Ethiopia.

Calabrò underlined that UNIDO will continue supporting the Government of Ethiopia and the private sector to promote sustainable textile investment practices.

In his opening remarks, Heiko Nitzschke, Chargé d’Affaires a.i. and Deputy Head of Mission of Germany to Ethiopia, emphasized that Germany provided support towards more ecologically friendly textile and garment production.

According to UNIDO, the Ethiopian textile industry has an opportunity to learn from the knowledge exchange and know-how transfer from China to ensure sustainable production along the textile value chains.