New partnerships can help the textile sector in Lesotho recover from the impact of COVID-19, says a new report by Private Sector Foundation of Lesotho (PSFL). As per this report, textile and apparel companies in Lesotho are suffering owing to lack of customers, high rentals, closing of borders and rising prices of fabrics amid the pandemic.
Border closing has also led to an increase in prices of raw materials in local markets. This forces production units to use low-quality materials for production. Manufacturers also have to deal with lack of funds as deposits were not paid. They failed to receive institutional support.
The report recommends stabilizing industry-wide structures and embracing new partnerships to reconstruct the textile industry. The recommendations include establishing Textile and Apparel Association (TAA) at national and district levels for dealing with issues related to the textile industry.
The TAA can ensure that all textile and apparel companies are licensed by One Stop Business Facilitation Centre (OBFC) to encourage investors to provide financial resources.
The report also urges the government to make policies and introduce special programs for the textile and apparel industry with the help of development partners like Aid for Trade. It also urges the government to make provisions for training, mentoring and providing technical assistance for the members of the TAA through Business Development Services.
Some other recommendations include: encouraging partnerships between corporates and MSMEs; using the Third Industrial Development Decade in Africa (IDDA 3) to uplift the textile and apparel sector; developing sustainable textiles and boosting production capabilities; and introducing new financial schemes to help manufacturing units to invest in technology.












