Major international textile companies to invest US$ 300 million in Morocco
Morocco, Economics, 5/12/2005

Three major international textile companies will invest US$ 300 million in the kingdom creating 2,500 direct jobs.

The American Fruit of the Loom (FOL) will invest US$ 162 million (nearly MAD 1,416 million) in two textile units in Skhitrate and Bouknadel to produce woven fabric destined to make tee shirts, sweatshirts and joggings. The investment will create 1,150 direct jobs.

Created in 1994, FOL Maroc employs 1,700 persons in its 5ha unit.

Director General of FOL-Maroc, Brian Kennedy said the company relocated a part of the China-based company to the kingdom thanks to its exceptional potentials notably the geographical closeness to both Europe and the USA and the free trade agreement signed between the kingdom and the USA.

Spanish group Tavex will invest MAD 634 million in developing the capacities of its Settat-based subsidiary Settavex. It is a three-year project with MAD 191 million to be invested in 2005, MAD 205.4 million in 2006 and MAD 236.8 million in 2007.

Settavex recruited 437 persons in 2005 and plans extending its staff to reach 530 employees in 2008.

Italian group Legler will invest MAD 750 million in building a commercial complex in Skhirate in partnership with Moroccan Senoussi Group. The complex, under construction, will include a weaving unit of 24 million meters and a spinning unit of a capacity of 9,000 tons per year.

Settavex and Legler will produce denim woven fabric to make of Morocco one of the main international producers of Jeans in the world.

These investments are expected to reassure professionals of the textile industry notably after the decline in Morocco's exports of textile by 33pc last January after the complete dismantlement of the Multifibre Arrangement and the upsurge of Chinese textile-clothing products in Morocco.

The textile sector plays a major role in the Moroccan economy as it represents nearly 33pc of exports and employs 200,000 people.

Previous Stories:
  Unemployment rate drops to 8.10 percent in Morocco   (5/11/2005)
  Moroccan imports from China up 41% in Jan-Feb 2005   (5/11/2005)
  Some 30% of textile jobs at risk in Morocco, official   (5/9/2005)
  Foreign Trade Council: accompanying measures are crucial for Morocco-US FTA success   (5/6/2005)
  Foreign Trade Ministry measures to remedy trade deficit   (4/21/2005)

Please add a link on your webiste pointing to ArabicNews.com and bookmark ArabicNews.com & subscribe to our daily email news bulletin.

Search