Huajian Looks For Lower Cost "Depression" In Ethiopia.

When it comes to the least developed countries in the world, Ethiopia is often the first word in mind.

However, there are many advantaged advantages here.

The low cost of labour is one of the most important.

In the capital Addisababa, the average wage earners earn only 1000 Bill (about 300 yuan) per month.

For a country whose unemployment rate is as high as 40%, a Chinese enterprise that helps them solve employment is no doubt a "savior".

Huajian, a Chinese company

There are two production lines, producing more than 2000 pairs of shoes a day, mainly for the major international brands, including GUESS, Coach, Tommy Hilfiger and so on.

Nearly 1000 workers, on the production line, are skilled in repairing leather, soles, and shoelaces...

In the buzz of machines, they are immersed in the work, reminds us of many domestic processing enterprises.

"121, 121, one or two, three or four..."

"One or two, three or four!" the familiar voice came, and a team of workers dressed in clothes shouted slogans to step forward, then stopped in a neat way and looked right.

This scene is almost the same as that of many domestic factories doing morning exercises.

However, this is not in China, but in Ethiopia, an East African country.

Slogans are not Chinese, but a group of black Ethiopia workers.

Looking for lower cost "depressions"

From the capital city of Addisababa, about 30 kilometers to the southeast, Ethiopia will be able to reach the "Oriental Industrial Park".

This is an industrial park invested and built by Chinese people. It is called "Chinatown" by the local people.

At present, more than ten Chinese enterprises have been stationed, and Huajian, a shoe making enterprise, is one of them.

The workers who do morning exercises are from Huajian.

Last October, Huajian recruited the first batch of more than 600 Ethiopian workers.

Now, Huajian has more than 1000 workers in Ethiopia's factory, and less than 300 people come from China.

Since the beginning of this year, news of "manufacturing industry entering cold winter" and "small business failures" has been staged almost daily in domestic media.

From the Yangtze River Delta to the Pearl River Delta, with the rising labor costs and reduced export orders, manufacturing industry is struggling to survive.

Why not try to find an opportunity in Africa? In September last year, he was Prime Minister of Ethiopia.

Inviting Chinese companies to inspect Ethiopia's leather market, Hua Jian almost immediately made a decision to invest in Ethiopia.

And from making decisions to the first batch

Shipped to the United States in containers only for more than 3 months.

"This speed is unprecedented," Meles, the late prime minister, was so amazed at.

When it comes to the least developed countries in the world, Ethiopia is often the first word in mind.

However, there are many advantaged advantages here.

The low cost of labour is one of the most important.

There is probably no lower labor cost in the world than Ethiopia.

The average annual income per capita in this country is less than 300 US dollars (about 1890 yuan). In the capital Addisababa, the average working class income is only 1000 Bill (about 300 yuan), and the minimum wage standard is 20 Bill (7 yuan) a day.

As a country with the largest number of livestock in Africa, the suitable climate environment has also made Ethiopia the best quality leather in the world.

In addition, the export from Ethiopia to Europe and the United States can avoid trade barriers and enjoy "zero tariff" treatment.

Solve the employment problem of locals

"Most of our staff are local people in Ethiopia," said Hai Wen, general manager of Overseas Investment Corp, Huajian group.

Last October, Huajian recruited the first batch of more than 600 Ethiopian workers.

Now, Huajian has more than 1000 workers in Ethiopia's factory, and less than 300 people come from China.

After recruiting, Huajian also contributed the first batch of 84 Ethiopia workers to the headquarters in Dongguan, Guangdong, to receive technical training for two months.

"I can tell you that they learn as fast as the Chinese," Hai said.

For a country whose unemployment rate is as high as 40%, a Chinese enterprise that helps them solve employment is no doubt a "savior".

According to a worker from Huajian, her monthly income is about 35 yuan (about 220 yuan).

"Though not high, I can learn something here."

She admitted.

Huajian's step has attracted the attention of all western mainstream media.

Agence France-Presse, The Associated Press, CNN and BBC have reported this significant move.

Western media praised it as "China's investment in Africa".

CNN believes that Ethiopia is expected to take the place of China and become the potential of a new global factory.

"The presence of China in Ethiopia has filled a huge gap," said Deborah borjam, an American University expert.

The West sees this as a country that needs help.

And Chinese people see business opportunities and see this as a way to make money.

The New York Times said that China's approach to helping Ethiopia to develop its economy is worth learning from the United States.

CNN believes that Ethiopia has the potential to replace China as a new global factory.

At present, Huajian has two production lines in Ethiopia, producing more than 2000 pairs of shoes a day, mainly for international brands, including GUESS, Coach, Tommy Hilfiger and so on.

Nearly 1000 workers perform their duties on the production line, skillfully trimming leather, sticking shoes and shoelaces.

In the buzz of machines, they are immersed in the work, reminds us of many domestic processing enterprises.

The only difference is that the label "made in China" that once made people familiar with it is changed to "made in Ethiopia" here.