Home / Knowledge / News / Apparel/Garments / Sub-Saharan African textile sector gets life saver
Sub-Saharan African textile sector gets life saver
Aug '12
Mr Rajeev Arora
Mr Rajeev Arora
The US senate has approved extension of third country sourcing provision, a key condition in the African Growth and Opportunity Act (AGOA). This has proved as a life-saver to the 40 member countries of sub-Saharan African, who make up for the AGOA act, which now have three more years to import raw materials, which are not available locally.

The AGOA Act was announced by the US in October 2000 with a validity period of 15 years. The Act also allowed third country sourcing of raw materials till September 2012 in order that these African countries have enough time in hand to develop their own raw material sources. This provision has now been extended till the lifetime of AGOA which expires in September 2015.

“This development means that close to 300,000 jobs have been saved due to the extension of the provision, since 95 percent of the raw materials are imported which in turn are converted in to apparel products meant for exports to the US”, Mr Rajeev Arora, Executive Director of Kenya-based African Cotton & Textile Industries Federation (ACTIF) told fibre2fashion.  

When asked if this grace period will help the sub-Saharan African countries set up backward linkages in the textile sector, he replied by saying, “It takes a minimum of 7-8 years to amortize investments in the textile sector, so I do not expect new investments flowing in to the spinning or weaving sector in the short-term.

He adds, “However, if AGOA is extended for an additional 10 years, well before its expiry, then we could attract the much needed investments to set up backward linkages. We are very positive about AGOA being given an extension. We are also speaking to various African governments on the possibility of atleast using the locally produced fibres to convert in to yarns and fabrics”. 

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 28th May 2017

Over 45% US retailers to use AI in next 3 years: Report

Over 45 per cent retailers in the US plan to utilise artificial...

Neelesh Hundekari speaking at the event. Courtesy: Subir Ghosh

Textiles | On 27th May 2017

Fabric of Change initiative announces €250000 scaling fund

The Fabric of Change initiative of Ashoka and the C&A Foundation is...

Apparel/Garments | On 28th May 2017

Naked Brand, Bendon sign agreement to reorganise

Naked Brand Group, a fashion and lifestyle brand, and Bendon Limited, ...

Interviews View All

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Anavila Misra
Anavila Collection

Fashion shows are also encouraging and highlighting sustainable fashion

Rahul Bhadani

Navigating through catalogues is a bit hasslesome

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search