Rwanda mulls a JV to set up garment factory with Chinese investors

Rwanda wants to develop its own textile industry, cut imports of garments and create jobs through the factory for which the Rwandan government is contemplating a joint venture to set up a garment factory in the capital Kigali with Chinese investors.

As every year, the East African nation is said to spend over 15 million dollars importing second hand clothes. Last year, imported clothes both new and second hand cost Rwanda over 100 million dollars.

Speaking to tailors in Kigali, Minister of Trade and Industry, Francois Kanimba, said that to reduce the reliance on imported clothing, the government was seeking funds and skills from Chinese investors for the industry. The Kigali garment factory, put at $1.3 million, was expected to open by the end of 2016.

The investment would include the procuring of 670 machines to produce different types of clothes, according to officials.

Rwanda has two textile companies in Kigali, including the Chinese-run C&H Garments whose products are exported. C&H Garments has invested in computerized sewing machines and will train up to 400 local workers

According to the recent study, among the economic platforms, tailoring tops opportunities for increasing more locally made products. Kanimba noting some imported “knitted clothes such as uniforms” said that they can be made by locals. The Chinese investors have also offered to train local tailors.