PREFACE

Ethiopia is becoming a favorite destination for international textile&apparel

manufaturers recently.This is due to the countrys low wage young labour,proximity
to international market,cheaper energy land& utility cost,government incentive
sush as duty free raw material import and finished products export, attractive
financial loan etc are some of the fsctors which attracted these companies.
The provision of ready made manufacturing shades complete with utility in the
newly established industry zones has attracted a lot of textile& apparel
manufacturers which established their plants and started production there. Big
apparel brands such as H&M,VANITY FAIR(VF) CORP,VOGUE,PRIMARK etc have
already installed factories or their suppliers have done soand started production.
In this analysis report only some factories which are located in BOLE LEMI 1 industry
zone and some other companies out of it are included.Majority of the analysis is
focused on denim garment even though other textile factories are included as
well.From the stated industry zone, contact was established and data was available
from ARVIND LIFESTYLE and ASHTON APPAREL MFG even though there are seven
more apparel manufacturers in the zone.These are New Wide Garment,Shints ETP
Garment,Vestis Garment,Jay Jay Garment,M&M Garment,LYU Shoutao.
The AWASSA industry zone which is reported to be much larger than the BOLE LEMI
1 is also completed with the shades fully occupied by big foreign apparel companies
and probably begin production. ARVIND life style which has three shades in BOLE
LEMI has taken additional three shades in AWWASSA along with VANITY FAIR
CORP.These are just two of the industry zones with others on different stages such
as BOLE LEMI TWO,DIRE DAWA,KOMBOLCHA,MEKELLE,ADAMA ,BAHIR DAR,JIMMA
INDUSTRY ZONES some of which are expected to be ready in the near future.
There are also several foreign& localy owned textile and garment factories such as
AYKA ADDISTEXTILES,SAIGIN DIMA, MAA GARMENT,GG garment,KNIT TO FINISH
garment, ALMEDA TEXTILES(other than the denim unit analized here in),YIRGALEM
ADDIS TEXTILES( other than the denim unit analyzed)KOMBOLCHA textile etc the
data of whom is not included but could be potential market for
dyestuffs,auxiliaries,softners etc.
Effort could be made to contact most of all the mentioned &unmentioned
factories,get their details and start business relationship.
As Ethiopia has one of the largest leather processing industries(may be close to 40
integrated tanneries) the possibility of combining leather chemicals in the bonded
ware house in the medium term.Even though we are not active now in the leather
chemicals business,we heard that five bonded ware houses are opened to sell to
this factories.

We hope that the data presented here with is good reason to see the potential with
the sure option of extending the business to all the new &existing companies in and
out off the industry zones.In the below stated factories only the denim section is
analysed eventhough they also have big none denim section.