Textile and garments producers of Malawi are lagging behind by one percent of the market demand despite favourable conditions under African Growth Opportunity Act (AGOA).
AGOA, the US trade initiative allows least developing countries like Malawi to export textiles and garments duty free to the USA market.
Kantilal Desai, Chairperson of Garments and Textile Manufacturers Association of Malawi had a trade consultative meeting in Blantyre, on May 11, regarding less export.
According to Desai, reasons behind the export problems are lack of production, poor trade policies of the country, lack of machinery and trained personnel to handle current market demand.
AGOA act is extended up to 2015 with an emphasis on manufacturers to produce textiles using local raw materials which will enhance African capacity of production.