African countries are generally underdeveloped textile industry, even if the textile industry as the pillar industry of Egypt, also faced with backward production technology, obsolete equipment, skilled workers and other issues. At present, the development of textile industry in Rwanda, East African Community, and even the whole of Africa.
More than 70% of the world's donated clothing was eventually sent to Africa. According to the data, both new clothes or old clothes, Rwanda each year in clothing imports to spend more than 100 million US dollars. "We want to be independent and wear our own clothing," said Gerard Mukubu, co-chief executive of the private sector in Rwanda.
The African Choice of Chinese Entrepreneurs
In terms of raw materials, although Egypt does have some well-known local yarn, fabrics and accessories, but the lack of more other varieties, Egypt 70% of the yarn fabric and 80% of the accessories must rely on imports.
China is the world's largest textile trade country, Africa is the development of closer trade relations target countries. However, China's textile industry has its own problems. As domestic labor costs continue to rise, Chinese companies are looking for cheaper labor, targeting Africa. Ethiopia, for example, is Africa's second most populous country, with clothing workers starting at around $ 21 a month, at just Rmb145.6, far below the national level.
In addition, more and more Chinese entrepreneurs choose Africa is also the reason for raw materials. National Bureau of Statistics data show that according to the 31 provinces (autonomous regions and municipalities) of the survey, the national cotton production in 2016 5.343 million tons, down by 260,000 tons in 2015, down 4.6%. Where to find cotton? Many entrepreneurs give the answer - Africa. Among them, Tanzania is a famous cotton producer in East Africa, for the textile industry, close to the origin of undoubtedly can significantly reduce costs.
"Made in Africa" determination
Despite the rapid development of textile industry in some African countries, the overall processing trade is still mainly based on processing, the export of textiles and clothing of the added value is very low. Many Chinese textile enterprises make use of the fact that African countries rely heavily on imports of textile fabrics, first of all to expand exports of these countries, textile fabrics. In addition, the African countries on the local textile industry support, introduced a series of preferential policies to attract foreign investment, while the local textile industry training has formed a certain scale, these favorable factors have made foreign investors in the local textile Garment enterprises become more favorable objective environment.
For example, the Government of Rwanda has drawn up a number of preferential policies to attract foreign investment, to encourage and support foreign capital investment in the textile industry. "The policy of the Rwandan government is to attract her greatest impetus, the local government does not accept any taxes other than personal income tax, and all exports of clothing from Africa to the United States in 15 years, also exempted from import duties." C & H clothing factory in Rwanda Ma Xiaomei Said.
However, the current infrastructure enterprises in Africa have to face a series of problems, such as, from Kigali to Kenya port Mombasa, the cost of transportation is often higher than from Mombasa to Guangzhou.
Nevertheless, in the overall plan, many with financial and technological advantages of Chinese enterprises to invest and build factories in Africa, not just the general clothing, leather products, plastic products and shoes have begun to change into "African manufacturing." Among them, the famous Chinese shoe manufacturers "Hua Jian Group" is an outstanding representative of the enterprises in Ethiopia has established a women's shoe factory. Huajian and Ethiopia's cooperation can be described as mutual benefit and win-win situation. While Huajian has acquired a large number of low-cost labor and raw materials, it has helped Ethiopia to develop its light industry and solve the problem of nearly half of its population being unemployed.
In the future, "China hopes to turn 'Made in China' into 'China and Africa together.'" Chinese Ambassador to South Africa Tian Xuejun said at the Johannesburg Summit of the China-Africa Forum in 2016 that China is eager to help Africa complete its industrialization. In 2063, manufacturing could account for more than 50% of Africa's GDP.
South Africa: textile industry scale in Africa first
South Africa is the most economically developed country in Africa, with a high level of economic development, good infrastructure, abundant resources, GDP, foreign trade accounted for the first in Africa.
South Africa has Africa's most advanced transportation, power, communications and other industrial infrastructure. The cost of doing business in South Africa is much lower than in developed countries and in some developing countries. South Africa's preferential tariff and VAT policy, open business information, foreign exchange control is small, the political environment is stable, with a number of advantages to attract investment. In China's economic development strategy, the government has always stressed that "going out" to encourage domestic enterprises to strengthen overseas investment, therefore, China and South Africa in economic and trade cooperation there is a huge potential.
At present, South Africa's textile industry is the first in Africa. South African consumer demand for textiles is diverse and small number of features, the demand for varieties and developed countries is no different, but the overall level of consumption is only about 1/3 of developed countries. South Africa, local clothing can only meet the 60% of domestic demand, the local winter and summer clothing demand. Fashion tastes tend to European style, white clothing demand is characterized by generous, traditional and hand-crafted; blacks are demanding clothing color eye-catching, middle and low-end products more popular.
China as South Africa's largest trading partner, China's textile and apparel products in South Africa and the African continent has been very popular.
Data show that by the end of 2015, China has invested about 13 billion US dollars in the South, South Africa Chinese-funded enterprises have more than 300 (including representative offices), of which about 140 large and medium-sized Chinese enterprises involved in finance, mining, home appliances, , Automotive, engineering machinery, real estate, textile and garment, logistics and other fields.
Chinese ambassador to South Africa, said Tian Xuejun, a long time, South-funded enterprises in South Africa to actively participate in economic and social development and construction, consciously abide by South African laws and systems, live in harmony with the local people, conscientiously fulfill their social responsibility, , Health care and social welfare undertakings.
Egypt: African textiles for Europe and the United States portal
If China's textile industry, technology transfer to Africa, not only can enjoy the hardware and other aspects of energy concessions, you can also enjoy the preferential policies and other software conditions. Some of the textile industry is relatively well-developed areas, Egypt is one of them.
Egypt is located in the Nile Delta, fertile land, abundant sunshine, rich in natural resources. Egypt's long-staple cotton and ultra-long-staple cotton production accounts for an annual global share of up to 35%. If the investment and set up factories in Egypt, natural gas and industrial electricity prices are relatively low, making the relative reduction in production costs, products more competitive. Data show that the Egyptian electricity 0.3 yuan per degree, natural gas per cubic meter 3.5 yuan, 93 yuan per liter of gasoline is only 2.3 yuan. In addition, human resources are also very low, the average monthly wage equivalent to about 600 yuan, industry skilled workers are also skilled.
Egypt is located in the junction of three continents of Egypt has a favorable geographical location, radiation market is very broad, the Egyptian population of about 82.5 million, the radiation of the Middle East, North Africa and other neighboring population totaled nearly 600 million. At the same time, Egypt is the only way to enter Europe and the Americas, Africa is also the gateway to the world, but also with Europe, Asia and Africa connected to the shipping, air transport and the African countries connected to the land transport network, Is conducive to product sales and transportation, is the textiles import and export trade distribution center.
In terms of software, Egypt on the textile fabrics, dyes and clothing needs of a larger, and has a certain spending power. It is understood that the Egyptian men's clothing, the average consumption of 550 US dollars per year; women were more than 900 US dollars. In contrast, its domestic production capacity is extremely limited, less than 1,000 local factories.
In particular, in order to promote the development of foreign trade, Egypt has adopted further trade liberalization, reduced tariffs, reduced operating costs, increased transparency in foreign trade management, incentives to improve port services, customs procedures, quality control and product standards And a series of measures. In addition, Egypt has also cut import tariffs substantially, such as lower import taxes on asset-based equipment, particularly clothing machinery, textile machinery, spare parts, chemicals and dyeing goods. Egypt reduced the production costs of domestic enterprises and supported the development of national industries. These are for Chinese enterprises to enter Egypt and the Middle East market, providing a good market environment.
Textile and garment industry as an important industrial sector in Egypt, accounting for 30% of national industrial output and 25% of national exports. At the same time, the free trade agreement signed with the EU, Egypt's exports of textiles and clothing to the EU countries to achieve tariff-free, which will undoubtedly speed up more "Made in Egypt" into the EU.
Nigeria: cotton industry to be revitalized
In the 1970s, when the oil boom in Nigeria, cotton was an important export crop for Nigeria, when there were 176 textile enterprises in the country, Kaduna, Kano and Cassina had a large number of cotton spinning industries.
In 1980, Nigeria's textile industry output value of 8.9 billion US dollars, accounting for about 25% of GDP, Asha Chamber of Commerce Chairman pointed out that the last century, 60 to 80 years, the textile industry has played a leading role in the Nigerian economy, The factories in Kaduna had hired a million workers, and the textile industry contributed very much to national GDP at that time. But with the government's focus shifted to oil, ignoring the development of the textile industry and agriculture to promote, leading to the development of the industry there have been serious problems.
Data show that in 2012, Nigeria's textile industry output fell to just 300 million US dollars. National Bureau of Statistics data show that in the first quarter of 2016, the textile, clothing and footwear industry in Nigeria's GDP contribution rate of only 2.1%.
International Cotton Advisory Committee 2006/2007 annual report shows that Nigeria has only 51 ginning companies, but only 17 fully operational capacity utilization is only 33%, cotton farmers, only 25 million people. The Committee's data also show that in 2016, Nigeria's cotton production of 51,000 tons, planting area of 253,000 hectares, the average yield of 202 kg / ha.
Nigeria Textile Manufacturers Association, said that every year from India, China, the United States and Turkey imports of textiles and raw materials of about 40 billion US dollars, while a large number of smuggled imports.
The lack of high-quality seeds, a constraint on the development of Nigeria's cotton industry a key factor. The brokers in the sale of cotton in the process of doping water, sand and even stones, but also corrupted the reputation of cotton in Nigeria, some European countries and even banned the import of cotton in Nigeria.
In order to alleviate the situation of the textile industry in Nigeria, the Nepalese government approved the establishment of new cotton, textile and apparel manufacturing special fund to provide low-interest loans to support enterprises, it is reported that in 2010 the Nepalese government has set up 100 billion Naira cotton textile industry development fund , Some enterprises benefit. Based on past experience, the fund has introduced new support and management mechanisms, including further reduction of loan interest rates, extension of loan terms and new supporting policy support. One of the supporting policy measures is that the cotton textile products purchased by the Nigerian army, various military organizations and government agencies must be locally manufactured.
Experts called on the federal government to set up the National Cotton Council, and in the budget to increase investment in cotton, cotton planting to provide technical guidance to reverse the decline of cotton industry trends. The chairman of the Asaba business association called on the government to revitalize the textile industry as soon as possible in order to create more jobs. He pointed out that governments at all levels should encourage the production of cotton and provide a strong environment to encourage the private sector to flourish.