CENTRAL BANK FUNDS VITAL TEXTILE FIRM REVIVAL

ZIMBABWE: INDUSTRY/THE HERALD/30/1/18 SABANews 1

Textile worker on duty
(Pic Sunday Mail)

CHEGUTU – The Reserve Bank of ZIMBABWE has released TWO-MILLION US dollars to help revive ONE of the biggest foreign currency generators in the SADC country.

DAVID WHITEHEAD Textile Company has now resumed operations at its factory in the central district of CHEGUTU after TWO years of shutdown due to capital constraints.

THE HERALD quotes Chief Production Officer TENDAYI CHETSE as saying they already have FOUR-THOUSAND metres of fabric since work started a few days ago.

He says they will have to produce between 100-THOUSAND and 120-THOUSAND metres of fabric before they start the wet process, which involves dying and printing the fabric.

Mr CHETSE says the company is also currently producing heavy weight fabric and will start manufacturing lightweight fabric by end of this week, after which they will increase weaving too.

He says they have a weaving shed capable to handle 96 looms, although they currently have 48 looms – with the other HALF likely to be available by the end of next month.

On the other hand, DAVID WHITEHEAD has rehired about 100 workers who had been laid off but are now working on a THREE-hour shift.

THE HERALD says the textile firm, formerly listed on the ZIMBABWE Stock Exchange, owes a number of creditors, including workers’ outstanding wages, about 13-MILLION US dollars.

The State-run newspaper says DAVID WHITEHEAD was under provisional judicial management since DECEMBER 2010, before confirmation of the final order in MARCH 2015.

The company was delisted in 2009 after the acquisition of a controlling stake by ELGATE Holdings, a move since reversed after ELGATE failed to pay for the stake.

The ZIMBABWEAN firm used to produce 20-MILLION metres of fabric per year, directly employing THREE-THOUSAND workers and thousands of others in down and upstream industries, before it lost steam due to a national economic meltdown./Sabanews/cam

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