DIRE DAWA– Chinese firm has opened a new textile factory in Ethiopia’s eastern city of Dire Dawa, with a total investment of 220 million USD.
The factory, owned by Wuxi No 1 Cotton Textile Plc. is lying in 52 hectares of land inside Dire Dawa Industrial Park.
General Manager of the factory, Zhang Sheng Ming, said the company chose Ethiopia for its investment due to the improved business policy environment and the availability of manpower.
The factory, constructed by China Civil Engineering Construction Corporation (CCECC), was inaugurated on Wednesday in the presence of senior officials the compnay.
It has already created job opportunities for at least 1500 youth mainly from the local community. “Once it starts to work with its full capacity, we will have at last 3500 employees,” Ming said.
The factory has started to produces mainly high-end yarns and support high-end yard dyed, knitted and home textile products with 300,000 spindles.
Its full capacity will be realized once the problem with electricity resolved, officials of the company said.
The factory is currently operating using diesel generators due to the absence of electric power. The general manager said the government has pledged to provide electric power starting from February 2020.
The factory has a weaving capacity of 26,000 tons of yarns and 30 million meters of gray fabrics annually.
The company is known for supplying leading global brands to the international market and 75% of its products will be exported to Europe, America, Japan, Korea, and Southeast Asian countries.
By Sisay Sahlu