Ghana's textile companies face closure

31 May '16

3 min read

Textile manufacturing companies in Ghana may soon be wiped out altogether. And political interference that has scuttled a taskforce commissioned by the government to check the influx of cheap pirated textiles into the country, would largely be responsible for such an eventuality, The Weekend Finder has reported.

According to the newspaper, the scuttling of the task force has meant that designs of the local textile manufacturers continue to be pirated and imported into the country, with the fake ones crowding the originals out of the market.

The paper said that Ghana's local textile manufacturers are planning another lay off as the industry continues to collapse in the country.

The manufacturers say that they are not against the import or manufacturing of quality wax prints in the country but are only concerned about the imitation of their trademarks and logos.

A market survey conducted by Weekend Finder indicated that the pirated textiles have virtually taken over the textile market in the central business district of the capital.

The pirated designs are conspicuously displayed in textile shops and sells at almost half the price of the original.

A pirated Printex fabric, for example, sells for 25 cedi ($6.43) while the original sells at 45 cedi ($12 approx).

Agnes, a textiles dealer at the Makola Market, lamented the influx of pirated textiles was collapsing their businesses as many Ghanaians patronise the cheap ones due to the harsh economic situation in the country.

She noted that the situation has compelled a lot of genuine textile dealers to also join the sale of counterfeit ones to shore up their sales.

“It will surprise you to know that when a new design comes to the market, it takes only a month for them to bring in the fake one,” she lamented.

She said strict checks at the ports of entry would be an effective way of stopping the influx of pirated goods into the market.

Ghana's textile industry has been reeling for sometime under high taxes and cheap pirated textiles from China. Over a period of time, the flood of pirated textiles has undermined various textile industries, forcing them to lay off workers, the report said. (SH)