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Textile Machinery Sold to Pay Off Debts

What was once the largest textile factory in Mozambique, Textafrica in the central city of Chimoio, has been stripped of all its machinery, reports Wednesday's issue of the independent newsheet "Mediafax".

What was once the largest textile factory in Mozambique, Textafrica in the central city of Chimoio, has been stripped of all its machinery, reports Wednesday's issue of the independent newsheet "Mediafax".

The machines (which were already obsolete) have been sold to buyers in Asia, in order to pay off debts owed by the major shareholder in Textafrica, the Portuguese Magalhaes Group, to the International Bank of Mozambique (BIM), the country's largest bank.

The likelihood that Textafrica, which once employed 3,000 people, will ever open its doors again seems minimal.

"Our hopes have died", said one former Textafrica worker, interviewed by "Mediafax".

Others accuse the government of not acting vigorously enough to attract new investors to take over the factory. "Because Textafrica is not operating, many people have become unemployed.

If it were to open again, there would be less suffering", said another worker. The government is paying the back wages that Textafrica owed to its workforce. Welcome though this may be, it does not solve the long term problem of jobs in Chimoio, where Textafrica used to be by far the largest employer.

Fonte: AIM


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