Dollar’s Fall Silences Africa’s Garment Factories

The fall of the US dollar has begun to have a real and tangible effect upon southern African economies. In countries like Lesotho, where the struggling economy is dependent upon the garment industry, closing factories have cost thousands of jobs in the past months. Competition from the giant Chinese apparel industry contributes to the sudden squeeze, but the key factor, writes the New York Times, is US investment. With a duty-free trade deal with sub-Saharan African nations, the United States constitutes the largest consumer market. Unfortunately, the steady flow of economic growth originally generated by this legislation has reduced to a trickle. Fighting against disheartening trends, Lesotho's government recently attempted to sell its manufacturing capabilities to US investors on the basis of morality. "We're not only talking about the quality of garments, but also the quality of workers' conditions on the factory floors - labor issues, environmental issues," said the nation's trade minister. This plea was a deliberate jab at China's human rights record, but will it be enough to secure a competitive edge in the cut-throat world market? –YaleGlobal