The Government of Zambia will invest USD15m in re-establishing the Mulungushi textile factory, located in Kabwe, Central Zambia.
President Edgar Lungu made the announcement during the reopening ceremony of the textile mill on August 1st 2016.
The factory is expected to create over 20,000 jobs in the next 5 years, boost the cotton industry in Zambia and increase its exports.
Andrew Chipwende, Director General of the Industrial Development Corporation (IDC) of Zambia said that a technical team has concluded the operation assessment in readiness for a full-fledged production.
He further explained that the plant will be manufacturing various garments including military and police uniforms.
The Government of Zambia concluded the takeover of the Mulungushi factory in 2016, 9 years after it closed in 2007 due to operational and financial difficulties.
The Government of Zambia identifies textile as one of the priority sectors for the country’s industrialization and economic development.
The Zambian textile industry is considered to be labor intensive with potential to greatly contribute to employment and wealth creation at all stages of its value chain.
Currently (2016), the sector employs over 670 people across Zambia, while the Government is putting up deliberate measures to further support the growth of the sector.