DBL group plans to establish a textile factory in Ethiopia

DBL Group, a ready-made garment and textile giant of Bangladesh, is stepping up on plans to establish a factory in Ethiopia that will provide around 4,000 jobs and be supported by long-time customer Hennes & Mauritz (H&M).

Fast fashion retailer H&M has committed to becoming a long-time buyer and supporting the factory with expert knowledge in sustainable textile production. The Mekele-based integrated knitting, dyeing and garment facility will be solely owned by DBL Group, with Swedish state-owned investment firm Swedfund investing US$15m through a loan for the facility.

According to local reports, the total investment will be in the region of $100m, with the Ethiopian Development Bank has extending an additional $55m loan to the Bangladesh company.

Anna Ryott, managing director at Swedfund, said that the factory will be a long-term sustainable industrial plant in every aspect and will be an important step for developing the textile industry in Ethiopia.

MA Rahim, vice president of DBL Group, says it is a “milestone for us to build an integrated textile factory entirely focused on export.”

The agreement was signed at the Swedish Embassy in Addis Ababa last week. Decent working conditions, job creation for women, and environmental considerations are some of the key goals for the project aimed at pushing one of Ethiopia’s prioritised industry sectors forward.

The collaboration also involves local and international partners to enhance the know-how around sustainable production of ready-made garments in Ethiopia.

Recent Posts

Loftex promotes sustainability with innovative towel collection

Loftex USA is strengthening sustainability with the launch of eco-friendly towel sets, blending innovative performance features with luxurious designs.

12 hours ago

Toray Industries produces sustainable acrylic fiber

Toray Industries, Inc. announced that starting this April, it will implement the mass balance approach in manufacturing its TORAYLON™ acrylic…

12 hours ago

Cxffeeblack, COMOCO Cotton develop sustainable t-shirt

Cxffeeblack has joined forces with COMOCO Cotton, a sustainable textile company, to create a special coffee-dyed T-shirt made from unbleached…

12 hours ago

Nikwax launches new standard in waterproof down technology

Nikwax has unveiled its latest innovation, the Direct.Dry Down line, setting a new benchmark in waterproof down with great performance…

1 day ago

Wrangler, Accelerating Circularity launch recycled cotton jeans

Wrangler x Accelerating Circularity jeans are proving that post-consumer and post-industrial cotton can be effectively reused in everyday clothing.

1 day ago

Bcomp, Tras introduce flax-based composites to moto racing

Swiss cleantech innovator Bcomp has partnered with Japanese composite specialist Tras to bring natural fibre solutions to the world of…

1 day ago