ARISE IIP, Afreximbank and Rieter Sign Framework Agreement for Africa Textile Renaissance Plan

ARISE Integrated Industrial Platforms (ARISE IIP), a leading pan-African developer of world-class industrial parks, has joined forces with the African Export-Import Bank (Afreximbank) and Rieter, the global leader in spinning systems for yarn manufacturing. Together, they have launched the transformative “Africa Textile Renaissance Plan,” a groundbreaking initiative designed to rejuvenate Africa's textile industry (see the business opportunity and invest now). 

On October 14, 2024, the three entities formalized their collaboration by signing a framework agreement. This partnership aims to establish a cotton transformation capacity of 500,000 metric tons within three to five years, with the potential to double that figure. Backed by a $5 billion financing commitment, the plan focuses on revitalizing Africa’s textile value chain while achieving the following objectives:

• Enhancing Capacity: Transform 500,000 metric tons of African cotton, with scalability for an additional 500,000 metric tons.
• Job Creation: Generate up to 500,000 jobs across the continent.
• Local Expertise: Build local repair and maintenance capabilities.
• Import Reduction: Reduce Africa’s dependency on textile imports.
• Export Growth: Boost exports under the African Growth and Opportunity Act (AGOA) while promoting full value addition within Africa.
• Capacity Building: Establish training centers to develop technical skills.

Implementation & Financing Highlights

Countries selected for the initiative will meet criteria such as reliable power and gas availability and robust infrastructure in textile parks. Financing will be streamlined through standardized loan documentation, a two-month application process, and pre-designed business templates.

Rieter’s commitment includes setting up:

• A repair and maintenance facility in ARISE’s Benin industrial park.
• Spare parts warehousing.
• Phased machine assembly operations in Africa.

Leadership Perspectives

Gagan Gupta, CEO of ARISE IIP, emphasized the initiative’s significance:
 “The Africa Textile Renaissance Plan represents a significant milestone in the continent’s industrial development. I’m convinced that this initiative will not only boost local manufacturing and create thousands of jobs but also position Africa as a global leader in sustainable textile production.”

Prof. Benedict Oramah, President and Chairman of the Board of Directors of Afreximbank, stated that the Africa Textile Renaissance Plan is a ‘game-changer’ for African trade. He remarked: “By transforming Africa’s cotton into high-value textile products, we are not only driving industrialisation but also reducing dependence on imports while building a competitive export base. This partnership complements our ongoing efforts, such as the transformative change we are spearheading in Africa’s Cotton-4 plus (C4+) countries, alongside other partners. It underscores Afreximbank’s unwavering commitment to industrialisation and export development.”

Thomas Oetterli, CEO of Rieter Group, expressed the company’s dedication to the project:
“We are thrilled to support this important initiative with our commitment, expertise and consulting knowledge. We are convinced that the Africa Textile Renaissance Plan marks an important starting point for the future development of the textile industry in Africa.”

About the Partners

1. ARISE IIP operates in 11 African countries, developing green, world-class industrial parks that foster economic growth and industrial transformation.
2. Afreximbank promotes intra- and extra-African trade, supporting industrialization and regional integration through innovative financial solutions.
3. Rieter, based in Switzerland, is a global leader in spinning technology with over 225 years of expertise, offering sustainable and efficient textile solutions.

This collaboration marks a significant step in Africa’s journey toward becoming a global textile powerhouse.

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