A new report reveals that Mozambique’s second-hand clothing industry provides over 200,000 jobs, supports more than one million livelihoods, and generates $35 million in taxes, all while meeting the basic clothing needs of 85% of the population. It calls for informed discussions around environmental sustainability that recognize the sector’s importance in combating poverty and stimulating economic growth.
Mozambique’s second-hand clothing (SHC) industry has been highlighted in a new report as a crucial element for both the economy and the daily lives of its citizens. According to the study by Consulting For Africa (CFA) and Abalon Capital, commissioned by ADPP Mozambique, this sector provides over 200,000 jobs, directly supporting the livelihoods of more than one million individuals. Furthermore, established vendors in this industry earn an average of $650 per month, significantly surpassing the national minimum wage of approximately $90.
The report indicates that at least 85% of the population relies on the SHC industry for their basic clothing needs, while contributing about $35 million in taxes, which support social programs essential for education and healthcare. Given that Mozambique ranks 183rd out of 191 countries on the United Nations Human Development Index, the SHC sector is essential in mitigating the effects of widespread poverty and unemployment, with nearly 25% of the population out of work.
Titled “Current Status of Mozambique’s Second-Hand Clothing Market: Opportunities and Challenges,” the report emphasizes the need for a balanced approach in the global second-hand clothing trade, particularly in the context of environmental sustainability discussions. Brian Mangwiro from Abalon Capital noted the significance of this industry’s contribution to millions of livelihoods in Mozambique and across Africa, advocating for an informed policy debate that acknowledges the SHC sector’s critical role in economic development.
Former Prime Minister Madame Luisa Diogo echoed similar sentiments, emphasizing the contributions of the SHC industry to the economy and the general well-being of Mozambicans. She asserted that this sector goes beyond providing clothing; it cultivates dignity, creates job opportunities, and generates considerable tax revenue that supports vital services. She believes that recognizing the SHC trade as part of a green economy is pivotal for achieving broader developmental goals in Africa.
The report also addresses misconceptions regarding SHC dumping, clarifying that many locals focus on reusing clothing, which highlights the cultural significance of the industry. The SHC sector has notably transformed the lives of marginalized groups, including women and youth, by providing employment and enhancing skills within the labor force. Restricting imports could inadvertently favor other major exporters, particularly those like China, posing risks to local economies.
In light of ongoing discussions regarding the future of SHC imports, the report advocates for informed policy-making that addresses climate change, waste management, and environmental sustainability, thereby ensuring the sector’s long-term viability without sacrificing global sustainability efforts.
In conclusion, the findings from this report underscore the indispensable role the second-hand clothing industry plays in Mozambique’s economy. It illustrates the critical employment opportunities it provides, its impact on public finances through taxation, and its cultural significance within the community. As policymakers engage in vital discussions regarding the future of this sector, it is crucial to consider the broader implications for economic growth, sustainability, and local livelihoods.
The second-hand clothing industry in Mozambique serves as a lifeline for millions and a significant contributor to economic growth. The sector supports over 200,000 jobs, provides basic clothing for a vast majority of the population, and generates substantial tax revenue. Emphasizing the importance of an informed policy dialogue, the report highlights the necessity of balancing environmental sustainability initiatives with the critical economic contributions of the SHC sector, ensuring its viability for the future.
Original Source: www.prnewswire.com
