© 2018 EAA

 COLLABORATIVE | TRANSPARENT | COMMERCIAL

WHY WEST AFRICA?

1.

FAVOURABLE

TRADE AGREEMENTS

2.

SPEED TO

MARKET

3.

LOW LIVING COSTS & LABOUR AVAILABILITY

4.

RAW MATERIAL POTENTIAL

ETHICAL APPROACH

5.

  • Informed and engaged factory owners with a people-first mindset who are committed to empowering their workers

  • Government and development agencies (USAID, GIZ, DFID) supporting factories to achieve and go beyond compliance

6.

LONGEVITY

  • Strong history of political and economic stability (Ghana, Benin)

  • Huge potential to capture increasing value over time through efficiency gains, vertical integration and renewable energy

  • Rapidly developing middle class in West Africa represents new potential consumer market

  • Duty free into the US under AGOA = 15-32% advantage

  • Duty free into Europe = up to 12% advantage

  • 15-20 days shipment to the EU and 15-30 days shipment to the US, with daily shipping schedules

  • Quick access to major ports (within 50km of factories)

  • Relatively low cost of living versus Asia: $150/month living wage and $47 minimum wage in Ghana (source: Trading economics, WageIndicator)

  • Strong workforce availability: Africa has the world’s fastest growing workforce, population set to double to 2 billion by 2050

  • 6th largest cotton producing region in the world (4x as much cotton as East Africa)

  • Region produces conventional, sustainable, and organic cotton

  • Currently 95% cotton exported in raw form; Opportunity to invest in spinning and weaving/knitting to close the gap in the value chain