search MFA Forum


User Name:
Password:
Forgotten your password ?

In-Country Working Groups

Lesotho Conference May 2006

On May 16th and 17th 2006 the MFA Forum in collaboration with The ComMark Trust and with support from US Trade & Development Agency and the World Bank's Foreign Investment Advisory Services held a conference with all key stakeholders in the Lesotho garments industry.

Around 200 delegates attended the Destination Lesotho: On the Road to Responsible Competitiveness Conference, including the Prime Minister, Pakalitha Mosisili, senior members of the government, manufacturers, trade unions, the World Bank, the International Labour Organisation, the United Nations Development Program and major brands and retailers such as Gap, Inc., Levi Strauss & Co., Wal-mart and Inditex.

The apparel industry in Lesotho has been successful in attracting foreign direct investment and is currently the biggest exporter under the African Growth and Opportunity Act (AGOA). But the industry is facing increased competition from other global players and the expiration of the 3rd country fabric provision in AGOA was scheduled for in 2007 and extended to 2012 poses yet another challenge.

The industry has shown strong commitment to improving labor standards and these efforts can potentially create a competitive advantage. However, in order to take full advantage of this opportunity, several key issues need to be addressed. These include: regional integration, market diversification, innovation, productivity, and HIV/AIDS.

Three reports were commissioned by the World Bank in preparation for the conference and can be downloaded here:

Corporate Social Responsibility in Lesotho's Apparel Sector

Competitiveness of Regional & Vertical Integration of Lesotho's Garment Industry

Market Diversification of the Lesotho Garment Industry

The aim of the conference was to focus on the key areas listed below for a debate among relevant stakeholders on how to overcome the challenges and obstacles facing the industry.

Regional integration
Market diversification
Innovation
Productivity
HIV/AIDS

The conference aimed to develop a clear roadmap with an emphasis on strategies and mechanisms to increase competitiveness and to help grow the industry in the short, medium & long term.

The conference was followed by a gala dinner where Ms. June Carter Perry, American Ambassador and Mr. Paul Boateng, British High Commissioner for South Africa and a prominent member of the Lesotho Government were key note speakers. The programme of events included a showcase of Lesotho's fashion industry as well as the launch of the industry's HIV and AIDS programme, ALAFA.

The two days of discussions culminated in consensus around the priorities for action in Lesotho's apparel industry, and furthermore specific tasks, responsibilities and timeframes were set out, on the next page. The broad priorities are: