Retail Garments

8/19/2019 Retail Garments

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PROJE TS PROFILES


2/18

2

Project Title: Knit Fabric Mill

Project Concept: Lesotho’s garment industry produces

approximately 90 million knitted garments ayear. It is estimated that Lesotho consumesbetween 22 000 and 26 000 metric tons ofknitted fabric per year. A wide range of(mainly cotton) knitted garments isproduced from single/ double jersey, pique,interlock and rib fabrics. A number offactories are now beginning to producefleece knitwear made from synthetics.These garments are produced by 34factories which collectively employ about 28000 workers.

Investment Opportunities: There is a need to establish knit mills tosupport the local garment industry.International markets access conditionsalso demand vertically integrated garmentindustry for continued preferential accessinto these markets. Lesotho thereforerequires establishment of this facility bySeptember 2007 in order to continue

enjoying preferential access to the USmarket under the Africa Growth andOpportunity Act (AGOA), the EU marketunder Everything But Arms (EBA), Canada,Nordic Countries etc.

Project Type: New Project

Estimated Project Cost: US$30 000 000.00

Collaboration Sought: Foreign Direct Investment

Joint Venture

Contact: Lesotho National Development CorporationPrivate Bag A96, Maseru 100, LesothoTel: (266) 2231-2012, Fax: (266)22 31-0038www.lndc.org.ls, email: [email protected]

http://www.lndc.org.ls/mailto:[email protected]:[email protected]://www.lndc.org.ls/


3/18

3

Project Title: Accessories and Packaging Mater ials

Project Concept: Lesotho’s garment industry produces

approximately 90 million knitted garmentsand 26 million pairs of jeans a year. It isestimated that 220 metric tons of knittedtrims and accessories such as collars,ribbed cuffs and hems are used by thegarment industry per annum. In addition,over 20 million pieces of packagingmaterials are consumed by the industry perannum.

Investment Opportunities: Knitwear and jeans manufacturers inLesotho manufacture large volumes ofclothing mainly for the US market. Thesemanufacturers consume a lot of finishingaccessories and packaging materials. Allaccessories are imported. Most ofpackaging materials are also imported intoLesotho.



Collaboration Sought: Foreign Direct InvestmentJoint Venture

Contact: Lesotho National Development CorporationPrivate Bag A96, Maseru 100, LesothoTel: (266) 2231-2012, Fax: (266) 2231-0038www.lndc.org.ls, email: [email protected]

http://www.lndc.org.ls/mailto:[email protected]:[email protected]://www.lndc.org.ls/http://www.uline.com/Class_13.asp?dup=Labels


4/18

4

Project Title: Leather and Footwear

Project Concept: Leather and footwear is still a nascentindustry in Lesotho. The country has onlythree shoe manufacturing factories despite

the fact that shoes qualify for all the benefitsunder African Growth and Opportunity Act(AGOA). These three firms supply theregional market and export only a fraction oftheir produce. A large share of the domesticmarket has to rely on imports from South Africa.

Investment Opportunities: The industry offers large potential forinvestment and growth to serve bothregional and international markets,particularly in leather tanning and finishing,footwear and footwear components, leathergarments, leather goods including bags,wallets, belts, gloves, car seat covers andother accessories

Type of Project: New Project


Collaboration sought: Foreign Direct InvestmentJoint Venture

Contact: Lesotho National Development CorporationPrivate Bag A96, Maseru 100, LesothoTel: (266) 22 31-2012, Fax: (266) 22 31-0038www.lndc.org.ls, email: [email protected]



5/18

5

Project Title: Assembly of consumer electricaland electronic appliances.

Project Concept: The country boasts a pool of labourresources which include people who havegraduated with different technical diplomas.The knowledge and skills they haveacquired will enable them to work on subassemblies or the final assembly of an arrayof finished electrical and electronic productsor components.

Investment Opportunities: Opportunities exist in the production of awide range of finished goods frommanufactured parts or subassemblies.These could involve assembly of intricatemanufactured products such as engines,computers, electrical and electroniccomponents, radio or test equipment,machine tool controls and prototypes ofdifferent types of products to meet thedomestic and international markets.Currently only two (2) companies assemble

electronic and electrical products such astelevision sets and circuit breakers forinternational and regional brands.







6/18

6

Project Title: Food Processing

Project Concept: Historically processing of fruits andvegetables in its simplest form like picking,

sun drying or preserving was practiced inthe country from very ancient times inalmost every home. The Ministry of Agriculture is intensifying efforts to enlargethe production base of these products, andmodern methods of cultivating are beingintroduced to ensure improved productivity.

Investment Opportunities: The developments that are being introducedby the Ministry of Agriculture will result ingreater availability of quality raw materialsto the food processing industry, bettercapacity utilization and producing a widerrange of products of international quality.Opportunities exist in fruits and vegetables.One company is currently processing foodsfor the regional brands.


Collaboration Sought: Foreign Direct Investment

Joint Venture




7/18

7

Project Title: Food ProcessingBasotho Fruit and Vegetable Canners

Project Concept: Basotho Fruits and Vegetable Canners

operates a fruit and vegetable canningfactory. It is an export-oriented companywith success in exporting its products toSouth Africa and other internationalmarkets.

Investment Opportunities: The Company wishes to expand its currentfacilities by acquiring modern equipmentand machinery for improved production andpackaging of canned fruits and vegetablesto better meet current and future demand interms of quantities and quality of productsincluding ISO 9000. On implementation ofthe expansion plan, the company willcontinue to focus on its main line ofproducts.

Type of Project: Expansion and modernisation


Collaboration Sought: Joint VentureMarket Access




8/18

8

Project Title: Water Bot tling

Project Concept: Lesotho’s major natural resource is water,often referred to as ‘White Gold’ by theBasotho people. The water is considered

one of the most pure in the world with verylittle microbiological and chemicalcontamination which does not requireintensive treatment.

Investment Opportunities: The country has 6 springs within closeproximity of Maseru the capital town. Thesehave an average yield of .5 litres of waterper second and which is low inconcentration of micro organisms andchemical pollutants.

Bottled water is also considered a foodproduct internationally, thus investment inwater bottling is necessary since this wouldresult in a positive impact on public health inthe region, by providing safe drinking waterfor areas with poor water supply.


Estimated Project Cost: US$650 000.00

Collaboration Sought: Foreign direct InvestmentJoint Venture

Contact: Lesotho National Development Corporation(LNDC)Private Bag A96, Maseru 100, LesothoTel: (266) 22 31-2012, Fax: (266) 22 31-0038www.lndc.org.ls, email: [email protected]



9/18

9

Project Title: JAAT Water Bott ling

Project Concept: JAAT Water Bottling (Pty) Ltd wasincorporated in May 2000 to bottle naturalspring water. JAAT has two (2) springs at

bottling site but only one is operational.

The spring in operation has capacity toproduce 18 000 litres per 24 hours. Thetrade name for the bottled spring water is“ Mountain Fresh” bottled at source from aspring in a village of Matukeng, about 20kmfrom Maseru on a good road. The Companyis the first and currently the only waterbottling business in Lesotho, a countryknown for its quality water.

Investment Opportunities: JAAT is looking for a partner who can addvalue to the water business by bringing intechnical know-how, management, financeso as to meet the growing demand in thehotel industry and other external markets.

Project Type: Expansion/modernisation


Collaboration Sought: Joint VentureManagement ExpertiseMarket Access


JAAT Water Bottling (Pty) Ltd

P.O Box 13197Maseru 100Tel: +266-22 326041 (Office)Tel: +266 58020755 (Plant)



10/18

10

Project Title: Lesotho Pharmaceutical Corporation(LPC)

Project Concept: Lesotho Pharmaceutical Company isregistered as manufacturer ofpharmaceutical products. The companyhas recently received capital injection fromthe Government of Lesotho to upgrade it TBdrugs plant. Other refurbishments havealready been completed.

Investment Opportunities: The LPC still has to upgrade its warehousein order to receive full accreditation from the

World Health Organisation. Accreditationwill facilitate the manufacture of a variety ofdrugs to supplement the manufacturingbase of the relevant drugs and replaceimports with locally produced drugs andmedicines

Project type: Expansion and modernisation


Collaboration Sought: Technical ExpertiseJoint VentureTechnology TransferMarket access




11/18

11

Project Title: Plastic and Packaging Products

Project Concept: The demand for plastics has increasedsteadily; plastics are now accepted by

households, retailers, designers, engineersas basic material along with other traditionalmaterials. They are one of the most usedmaterials on a volume basis in industrialand commercial life.

Plastics are broadly integrated into today’slifestyle and make a major, irreplaceablecontribution to virtually all product areas.

Investment Opportunities: The manufacturing sector in Lesotho whichis geared to production of goods for exportmarkets requires a lot of packaging materialfor its products and currently depends onplastic mostly imported from South Africa.Local retailers and supermarkets alsodepend on imported packaging materialwhich might have been cheaper to obtainlocally. This then opens vast opportunitiesfor the manufacture of plastic packagingmaterial and plastic ware.




Contact: Lesotho National Development CorporationPrivate Bag A96, Maseru 100, Lesotho

Tel: (266) 2231-2012, Fax: (266) 2231-0038www.lndc.org.ls, email: [email protected]



12/18

12

Project Title: Local resource-based projects

Project Concept: These projects include the manufacture of

ceramic ware, bricks, sand stone, wool andmohair processing. The sand stonedeposits are found all over Lesotho and canbe exported in different forms, sizes andthicknesses. The whole industry is in thehands of small artisans with limitedinvestment capabilities. The sandstone isextensively used in the construction ofbuildings, and special monuments. Artefactsmade of sand stone have also becomepopular.

Investment Opportunities: The demand for sandstone productsincreases every day with differentapplications, in different designs. The mainadvantage of using these stones has beenthat they require negligible maintenance. Itis hoped that with additional capital thatcould be brought in by joint venturepartnerships and proper marketing it wouldbe possible to increase the export market of

natural and calibrated sandstone.

Estimated project Cost: US$410 000.00

Collaboration Sought: Foreign Direct InvestmentJoint VentureMarket Access

Contact: Lesotho National Development Corporation

Private Bag A96, Maseru 100, LesothoTel: (266) 2231-2012, Fax: (266) 2231-0038www.lndc.org.ls, email: [email protected]



13/18

13

Project Title: Loti Brick

Project Concept: Loti Brick, based in the Thetsane Industrialestate in Maseru, manufactures face bricks

for the Lesotho Market as well as for exportto South Africa. The Company is owned96% by Government of Lesotho and 4% by

the Private Sector .

Investment Opportunities: Government has decided to privatise LotiBrick and to sell 80% of its shares to thePrivate Sector. The Company has recentlyacquired a clay mining area on the outskirts

of the capital Maseru

Estimated project Cost: US$1 300 000

Collaboration Sought: Acquisition Foreign Direct InvestmentJoint VentureMarket Access




14/18

14

Project Title: Environmental Projects

Project Concept: The textile industry in Lesotho includes the

manufacture of yarns and fabrics, thedyeing, finishing and printing of the fabricand conversion of that fabric into garments.The primary environmental aspects of thetextiles industry involves water use andwastewater discharge from washing,chemical use in dyeing and finishing, andmanagement of scrap and solid waste.

Lesotho has already developed a sizeablecapacity to produce woven denim fabricsand will soon develop capacity to produceknit fabric, dyeing and finishing of fabric.There therefore exists substantialopportunities to invest in large scale wastetreatment plants to support the textileindustry.

Investment Opportunities: International demand for products is shapedby among others, environmental concern.Investment opportunities exist which include

process measurement and control, wastewater recycling, chemical substitution andreduction, energy efficiency and newproduct development using waste materials.


Estimated Project Cost: Depends on project size and type of product





15/18

15

Project Title: Development of inf rastructure

Project Concept: Lesotho is not able to meet its growth

objectives because of inadequateinfrastructure. There is a need to developindustrial and commercial sites andbuildings. Commercial retail properties aswell as commercial residential propertiesare also in high demand. Local financialcapacity to develop these properties is verylimited therefore foreign direct investment issought for their development.

Investment Opportunities: Foreign direct investment is required in:- Development of an 80 hectare Tikoe

industrial estate, situated in Maseru.Development cost is estimated atUSD25.66 million

- Development of a 31 hectare industrialestate situated in the Leribe district 80km north of Maseru. Development costis estimated at USD6.04 million

- Development of 2 commercial centreswhich are in excess of 9,400 m² and 23,

110m² respectively


Estimated Project Cost: Some cost estimates are stated above


Contact: Lesotho National Development Corporation(LNDC)

Private Bag A96, Maseru 100, LesothoTel: (266) 22 31-2012, Fax: (266) 22 31-0038www.lndc.org.ls, email: [email protected]



16/18

16

Project Title: Call Centres

Project Concept: Lesotho is one of the few Southern African

Countries without a call centre.Establishing call centres will provide higherquality customer services, with a particularfocus on the financial services industry.

The medium of instruction in Lesotho isEnglish; there are also institutions whichoffer French language course. Theseinstitutions have provided a pool ofresources with the following attributes:

• Fluency in English- can speakclearly and without accent.

• Computer literacy and ability totype without mistakes atcompetitive speed

The country shares the same time zonewith parts of Europe and other globalplayers, making doing business in Lesothoeasier.

There is already a range of

telecommunications and computertechnologies, including customerrelationship management technologies, andother database systems,

Investment Opportunities: Call CentresInternet service provision

Type of Project: New



Contact: Lesotho National Development CorporationThe Chief Executive OfficerTel: (266) 2231-2012, Fax: (266 22 [email protected]

Lesotho Telecommunication Authority

The Chief Executive [email protected]

mailto:[email protected]:[email protected]:[email protected]:[email protected]


17/18

17

Project Title: Square One Call Centre

Project Concept: The concept is being proposed by Square

One Computers, a wholly Basotho owned ITcompany operating in Lesotho. TheCompany wishes to diversify its existingoperations in the ICT services.Lesotho is a small country that plans tohave tourism as significant contributor to theGDP. There are a number of ICT servicesthat are needed in order to facilitate theexpansion of the tourism industry inLesotho—hence the idea of call centres.

Investment Opportunities: The company wishes to providecomplimentary services. This type ofbusiness has not yet been established inLesotho and will thus give a potentialinvestor an opportunity to enter anuntapped market and also make asignificant contribution in increasingemployment.



Collaboration Sought: Technical ExpertiseTechnology Transfer

Contact: Mrs ‘Mamotolo MalieSquare one Computers

P O Box 1045,Maseru Tel: (266) 2231-0222 [email protected]

mailto:[email protected]:[email protected]


18/18

18

Project Title: Electronic Waste Recycling

Project Concept: The project is proposed by Square OneComputers, a wholly Basotho owned ITcompany operating in Lesotho. TheCompany wishes to expand the existingtraining, software development and otherservices.

To this end, the Company would like toexplore the possibilities of re-use ofcomponents recovered from electronicdevices that have expended their useful life.

Lesotho does not have a facility for a safedisposal of electric and electronic waste.Most of the recycling of several forms ofsolid waste is done in the neighbouringstate, South Africa.

Investment Opportuni ty There is no project like this one in Lesotho.Its uniqueness presents a number ofopportunities for investment



Foreign Collaboration Sought: Technical ExpertiseTechnology Transfer

Contact: Mrs ‘Mamotolo MalieSquare one ComputersP O Box 1045,Maseru

Tel: (266) 2231-0222 [email protected]
mailto:[email protected]:[email protected]

Documents

Retail Garments