The second-hand clothing business in Mozambique is vital, generating over 200,000 jobs and supporting around one million people. Average earnings for sellers are significantly higher than the minimum wage, and the sector meets the clothing needs of 80% of the population. Importing about 36,750 tonnes annually, the sector underpins employment and tax revenues, yet faces challenges necessitating strategic collaboration for sustainable development.
A recent study reveals the significance of the second-hand clothing business in Mozambique, which provides over 200,000 jobs—both formal and informal—and supports around one million individuals. Conducted by Consulting For Africa and Abalon Capital Limitada for ADPP Mozambique, the report highlights this industry as a crucial element of the nation’s economy and daily life, acting as a catalyst for economic growth.
The study indicates that established sellers in the second-hand clothing market earn an average of $650 per month, significantly higher than the national minimum wage of $90. Second-hand clothing satisfies the basic clothing needs of approximately 80% of the population and generates $35 million in tax revenue annually from imports.
In Mozambique, local markets feature a high concentration of second-hand clothing vendors, notably women and youth. Over the past five years, Mozambique has imported around 36,750 tonnes of second-hand clothing per year, with demand growing by 3.5% last year. The research shows that each ton of imports supports about 7.8 jobs directly and indirectly.
With Mozambique’s position as one of the poorest countries globally, holding the 183rd rank on the UN Human Development Index, the report underscores the critical nature of the second-hand clothing industry for employment and public finances. An adverse disruption in this industry could severely impact a population facing considerable poverty.
The findings suggest that revitalizing Africa’s textile sector poses complex challenges. Most notably, significant investment is needed for local production and competitive garment manufacturing to reduce reliance on imports from regions like China and India.
The report suggests that the second-hand clothing trade and the local textile industry could coexist and thrive together. For Mozambique, second-hand clothing will likely remain a primary source of affordable apparel in the coming decade, especially if GDP growth does not improve significantly. It emphasizes that African nations should consider strategic collaborations to bolster competitive advantages rather than solely focusing on second-hand imports.
The study was initiated by ADPP Mozambique, an NGO active in the country since 1982, focusing on several sectors including education, health, and sustainable agriculture. ADPP employs around 3,300 people and runs over 50 projects that benefit 8.2 million Mozambicans annually.
The study indicates that second-hand clothing plays an essential role in Mozambique’s economy, providing significant employment and fulfilling the clothing needs of more than 80% of the population. With economic conditions remaining challenging, the durability of second-hand clothing trade is expected to continue, drawing attention to the need for strategic growth in local textile production alongside this thriving market.
Original Source: clubofmozambique.com
