Textile factories in Rwanda are on the rise every other year after the government imposed increased taxes on imported second hand clothes and fabrics about two years ago.
Local textile industry operators say they are
doing everything possible to improve the quality and quantity of their produce
owing it to the fact that the Government has put in place incentives to
facilitate their production. However, some people complain that high prices of
locally made clothing have affected competitiveness.
Proprietors of textile industries in Rwanda say
they are doing everything possible to improve the quality and quantity of their
produce owing it to the fact that the Government has put in place several
incentives to facilitate improved production for local and international
Apart from the big factories, some SMEs in the Textile and clothing
industries import raw material before they make final products locally. These
SMEs say that they are not rested until their products are appreciated on the
local and international market.
"We know that it's still hard
to compare the quality of our products with those on the international
market. Some clients ask for high
quality products and you can't help envisioning that if you had better
machinery you would favorably compete with the biggest brands. But slowly our
quality will improve with the demand on the market and profitability," Uwera Karen, Rwanda fashion Designers Association
"It is still difficult to match the international standard because most
of our raw materials are locally produced or imported from within the region.
It makes it difficult for us to competed with popular brands like Lauren Polo whose
raw material are internally produced with consideration of market preference in
terms of quality and quantity,"Umutoni R. Lauren, UZI Collection
Minister of Finance and Economic Planning DR Uzziel Ndagijimana says that in bid to promote local textile and leather factory, the government decreased taxes on locally manufactured apparel by 25 per cent in addition to other incentives.
"We have make it easy for
the textile and leather factory to im priot raw materials by removing import
tax and they get other incentives such as getting them warehouses in the
industrial zone, and connecting them with other producers within the Private
Sector Federation, setting up investment fund to faciliate access to finance and
connecting producers to the markets," Dr. Uzziel Ndagijimana
However consumers say that despite the government intention to promote locally make produce and improve the values on local brands, they also challenge local producers and factories to make thier products to improve thier quality and make prices are affordable an d competetive comparing to alternative products on the market.
Available figures from the ministry of Trade
and Industry show that Rwanda's exportes grew by 69% in the last 3 years while
imports reduced by 4%.
Industries in general contributed 10% of the total DGP in 2018.
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Local manufacturers say they face a number of challenges in their efforts to develop which affects p ...
Feb 06, 2020 Soma inkuru