Apparel Online Bangladesh Magazine July Issue 2018 | Seite 43

BEYOND BD
The ‘buzz' around Ethiopian apparel exports isn't
that real
Sub-Saharan African nations have
started gaining a lot of traction
lately as apparel exports from this
region have grown significantly
over years. As a matter of fact, the
50-nation bloc exported apparel
to the USA worth US $ 377.37
million in January-April 2018
period, marking a solid growth
of 23.22 per cent on a yearly note
and successfully capitalised on the
African Growth and Opportunity
Act (AGOA).
Ethiopia, a sub-Saharan country
that is making headlines due to
increased FDI influx in its textile
and clothing industry, has also
grown from US $ 13.41 million
to US $ 30.39 million with a
staggering surge of 126.63 per cent
during the said period.
However, the buzz seems ‘unreal’
as Ethiopia stands fifth in the tally
of Sub-Saharan African countries
exporting apparels to their largest
market, the USA. The first four
apparel exporters to the USA
from this part of the world are
Kenya, Lesotho, Madagascar and
Mauritius, according to an analysis
by Apparel Online.
Notably, Kenya exported apparels
worth US $ 120.67 million in the first
four months of 2018 as against US $
101.66 million in the corresponding
period of prior year. Kenya grew by
18.70 per cent in just one year which
is more than just a decent growth,
if not massive. Second in the tally
is Lesotho which earned US $ 98.60
million from its export of apparels
to the USA, posting a noteworthy
increase of 19.88 per cent on Y-o-Y
basis. Markedly, Madagascar too
stood far ahead of Ethiopia in
apparel exports to the USA as the
value of apparel shipment from
Madagascar was almost double
than that of Ethiopia in the review
period. Apparel exports from
Madagascar to the USA was US
$ 59.10 million in the period with a
whopping 25.73 per cent rise over
last year. Fourth in the tally is
Mauritius which posted 10.48 per
cent growth to reach US $ 48.19
million in apparel export values in
Jan.-Apr.’18 from US $ 43.62 million
in the same period of 2017.
With the given facts and
figures, it can safely be stated
that Ethiopia has still a long
way to go if it wants to uplift
its apparel industry which is
yet to live up to its potential.
However, it is also true that
Ethiopian apparel exports have
had a massive growth rate (of
126.63 per cent) in the first four
months of 2018.
Cambodia passes draft law on minimum wage
The Cambodia Government has
given a reason to rejoice to around
7,80,000 garment workers in the
country as a bill on minimum wage
was unanimously passed by over
100 lawmakers, including Prime
Minister Samdech Techo Hun Sen.
The bill will now be reviewed by the
Senate before being submitted to
nation’s King Norodom Sihamoni
for promulgation. The move is
intended to create job opportunities
and increase worker productivity
in addition to fetching investment
in the country. The Cambodia
Government is aimed at providing
better living conditions to its
garment workers, stated Labour
Minister Ith San Heng.
“The Government has taken the
decision on minimum wage hike
in view of the economic condition
of the country,” Pen Panha, a CPP
lawmaker was quoted as saying in
media reports.
The latest decision on wage hike
will impact workers at 1,100
garment and footwear factories.
The country is otherwise known for
paying higher than Bangladesh, Sri
Lanka, India, Myanmar, Indonesia,
Laos and Pakistan to its workers.
Notably, monthly minimum wage of
the Cambodian garment workers
has increased from US $ 40 in 1997
to US $ 170 per month in 2018.
The Government has also started
compensating workers of those
factories whose owners fled from
the country without paying their
wages. Sam Vuthy, a Funcinpec
lawmaker, suggested Government
to set up more factories in the
country to prevent migration.
Markedly, textile factories are
being set up in Kandal, Kampong
Speu, Kampong Chhnang, Preah
Sihanouk, Svay Rieng, Prey Veng,
Kampong Cham, and Banteay
Meanchey provinces of the country.
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