Indochine International, a subsidiary of the China-based Indochine Apparel Ltd., recently started the operations of its manufacturing unit in Ethiopia.
Shiksha Sharma, Senior Manager, Denim Fabric Sourcing, Indochine International, said this while speaking to Team Apparel Resources at an event recently.
The company will be initially manufacturing non-denim products like trousers from their Ethiopian unit, but gradually has plans to expand its products and capacity.
“Our aim is to gradually take the production capacity to 80 million pieces per month from Ethiopia and we are hopeful of reaching there,” averred Shiksha.
The company’s focus to explore other markets gains relevance especially with lots of dyeing mills now closing down in China. The Government of China is very strict with the dyeing houses that do not follow environment rules.
Also, the increasing cost of yarn in China is also increasing the demand for countries like India and Pakistan.
Shiksha said that multiple countries need to come up as a replacement for China. While Bangladesh and Vietnam are doing very well, Ethiopia too has potential.