Illegal Second-Hand Apparel Imports Take Over 50% of Ethiopia’s Market Share

The Ethiopian Textile and Garment Manufacturers Association has announced that more than half of Ethiopia’s domestic clothing market is now dominated by illegally imported second-hand garments, posing a serious threat to local textile manufacturers and the broader economy, according to Ahadu.

The association reports that 53 percent of the local apparel market is currently being flooded by second-hand clothes smuggled into the country through informal channels.

These garments, often sold at lower prices, are rapidly outcompeting locally made products and undermining the viability of domestic manufacturers.
Speaking to Ahadu, Goshu Negash, President of the Association, said that the influx of contraband second-hand clothing is disrupting the market at an alarming scale.

“These products now dominate more than half of the market, and that has devastating consequences for legal producers and traders,” said Goshu. “This activity doesn’t only impact businesses—it’s harming the national economy.”
The association warned that businesses which operate legally—paying taxes, complying with labor regulations, and creating employment opportunities—are increasingly being pushed out of the market.

Many domestic producers are reportedly being forced to shut down due to the unfair competition posed by smuggled goods. In response, the association is calling on the government to intervene urgently. It has urged authorities to crack down on illegal imports and offer more robust support for local textile and garment manufacturers. Without decisive action, the association warns, the country’s textile sector could face long-term decline.

“The current market environment does not provide hope for legal producers,” said Goshu. “We need stronger policy enforcement and targeted support to ensure Ethiopia’s textile industry can survive and grow.”

The association is also advocating for enhanced promotion of locally manufactured products, alongside better access to finance and technology for domestic players.

In its view, revitalizing Ethiopia’s textile sector requires a coordinated national effort that balances regulation with sustainable support for homegrown enterprises.