Paramount Garments Pvt. Ltd., a leading textile firm based in Harare, has witnessed its exports go down by some number.
Also, its apparel unit in Bulawayo, Archer Clothing Manufacturers, has also been put on hold mainly owing to foreign exchange shortages.
Corroborating further, Jeremy Youmans, MD, Paramount Garments, said “Our export sales have gone down by 14 per cent, compared to last year, and this slump has been due to capacity constraints in Bulawayo and the necessity to limit debtors to debt exposure.”
Jeremy, however, could not disclose data on last year’s sales volumes.
Archer Clothing Manufacturers, ever since it was bought by Paramount Garments in 2015, was doing very well. However, last year the company had to cut down the size of its workers from 500 to 200 due to power shortages and constant shrinking of its local market.
Jeremy said that though the company has commissioned a new generator and will be finalising the internal infrastructure in next 2 weeks, the improved power supply was unlikely to change company’s fortunes.
“We are constrained in importing strategic raw materials owing to shortage of adequate foreign currency. We plan to develop Archer by adding another 1,000 people, but we can’t do this without surplus foreign currency,” further added Jeremy.