We expect greater intervention in the sector over the short to medium-term as the government seeks to support the industry. This will drive PPPs given the huge market, and the potential for growth. Consequently, investment in capacity, and more technologically advanced equipment geared at the production of textiles could be highly profitable.
Furthermore, even though the country has the potential to produce raw materials, harvesting and cultivation has been sub-optimal due to insufficient plantations and archaic cultivation techniques. However, with the renewed drive of the government to improve activities in the sector, we expect that investments could yield returns as a ready market would be made.
Also, processes in the value chain such as bleaching, dyeing, printing & finishing, and distribution & retailing would provide bankable prospects, as demand for textiles improve and government’s drive to boost industry capacity gains momentum.