64 clothing companies have closed shop, 4000 jobs have been lost

64 companies in the clothing sector have closed shop and close to 4 000 jobs have been lost in the last year, as the combined impact of smuggling, especially of cheap Asian goods, a skewed duty and policy structure, including mounting labour costs, take their toll on the manufacturing sector.

On the overall, 26 378 workers have lost their jobs while 94 companies have been closed since the turn of the millennium. At its peak period, the clothing sector used to employ 35 000 people. Figures from the Zimbabwe Clothing Manufacturers' Association indicate that as of August 2010, there were 12 506 people employed in 195 companies.

However, by August this year the figure had dropped to  8 627 people in 131 companies, representing a worrying decline. ZCMA represents clothing manufacturers such as Paramount Garments, which employs more than 1 000 workers, Diesel Gear, Bernstein, Coh Coh, Bravette and Playtime, based in Harare.

The companies include key manufactures based in Bulawayo such as Archer, Carousel, Belmor and Ascot. Since some economic reforms were introduced by the inclusive Government in February 2009, only the mining and agricultural sectors have responded favourably.