Two weeks ago, the government re-opened Ever Unison Garments in Maputsoe, followed by re-launching of CGM factory on Friday 13th September in Maseru. Similarly to the EUG factory, the re-opening of the CGM factory was themed “Re Bula Lifeme” which also signals that there are more factories to be opened in the country.
Delivering her speech, Founder and the owner of the factory Ms. Euginia Chang said CGM is a Jean-making factory that was founded in 1986, however was closed in 2022 due to issues such as delays in orders, shortage of raw materials and the impact of the Covid-19 pandemic.
She said the re-opening marks a significant step forward to local economy, adding that her vision is to employ around 10,000 Basotho as CGM used to before it’s closure. Chang commended that her factory is a testament to provide substantial job opportunities.
Now as the factory resumes, Chang informed that they already rehired 300 former employees because they are benefiting from their prior experience and familiarity if the work.
“The development brings hope for further job creation and economic growth. As the factory ramps production in two months time , more Basotho will be hired,” she said
Minister of Trade and Industry, Business Development and Tourism, Mokhethi Shelile announced that the government has committed to re-opening more factories that were closed, aiming to boost the GDP, create jobs for Basotho and increase tax revenue. He stated that within six months CGM is expected to have hired 10,000 people to restore it’s former capacity.
Shelile also mentioned that Basotho in Newcastle in South Africa are being forced to return home, adding that has influenced the decision to re-open another in Maputsoe in the coming week. This Initiative follows the re-opening of larger Bello factory which will further mark a significant effort to revitalize the manufacturing sector and also provide more employment opportunities.
Taking a stand, LNDC Interim Chief Executive Officer, Molise Ramaili commended the involvement of local investors such as Post Bank, Standard Lesotho Bank and National Bank along with the South Africa’s TFG ( The Foschini Group) in supporting the re-opening of factories.
He highlighted that the partners are crucial for the growth of the local economy. Additionally mentioning that the factory will no longer send goods to America , citing high shipping expenses and other business dynamics.
“ The shift has let to exploring more cost-effective and timely market in South Africa which benefit both the factory and local economy,” he stressed
Further emphasized that already they have secured a market in SA adding that a closer market helps to streamline operations, reduce logistical cost and most of all create opportunities that directly benefit Basotho workers and local industries.
Ramaili, further explained that LNDC plan to incubate Basotho workers, provide them with necessary skills and training so that , in an event of factory closures they will be equipped to continue the work independently. On the other hand the initiative aims to empower the local workforce, ensuring long term sustainability and ability for Basotho to manage and operate business themselves fostering a more self-reliant economy .
Speaking on behalf of workers Mr. Letsie Ramotsabi pleaded for ongoing support to ensure the success of factories. He also expressed excitement in the re-opening of CGM , highlighting its positive impact on workers adding that “they” like any other will put food on the table and other life responsibilities
The event was graced by South Africa High Commissioner Ms. Constance Seoposengoe and other key stakeholders, government officials , community representative of whom recognized the importance of the venture.
