British company, Intrade UK Ltd., has signed an agreement to build a $100 million textile and garment factory at Mekelle Industrial Park, creating more than 1,300 new jobs.

The agreement was signed as part of a $200 million Memorandum of Understanding to invest in Ethiopia’s textile and garments, pharmaceuticals and agricultural products processing sectors.

The agreement was signed by Chief Executive Officer Wagdi M. Mahgoub and Investment Commissioner Fitsum Arega.

Commissioner Fitsum said the number of investors engaging in the textile and garment industry is growing. The new factory will strengthen the inter-linkage of industries by supplying raw materials and will provide textiles for garment exporters thus replacing imported raw materials.

Chief Executive Officer Wagdi M. Mahgoub said favourable investment opportunities attracted his company to invest in Ethiopia, and investing in the textile sector is the right decision.

The factory is expected to start production after 16 months.

…New $220 million textile plant to be built

The cornerstone for a $220 million textile plant was laid in Dire Dawa, East Ethiopia on 16^th January.

Wuxi No. 1 Cotton Mill Plc, one of the largest textile manufacturers in China, will build the textile plant within 30 months on 40 hectares of land in Dire Dawa Industrial Park. It will provide jobs for 3,000 Ethiopians.

The Industrial Park, currently being constructed at a cost of $159 million dollars on 159 hectares of land, is expected to attract industries specialised in textile, apparel, and agro-processing.