ZaEr, short for Zambaiti- Eritrea Plc, is a garment and textile industry in Eritrea. Famous for its export oriented products, the company basic objective is to produce world class garment and textile products. In an interview he conducted with Shaebia.org, Mr. Stefano Bonnazi, General Manager of ZaEr said “in its quest of manufacturing export-oriented high quality products, the company has begun to manufacture Giorgio Armani, Nara Camicie and other world-class designs and put on sale to the world market through Cotonificio Honegger S.p.A, a subsidiary of Zambaiti Copertificio,” based in Albino, Italy.

“The brands with a tag-name of its producing country-Eritrea, would help the country to get introduced with foreign customers,” he added.

The plant site being in the ex Asmara Textile Factory, locally refereed as ‘ Da Baratolo’, initially the textile company was founded by an Italian investor Mr. Baratollo during 1950’s. Originally named as ‘Cotonificio Baratollo’, the textile factory sole aim was to produce linen, cotton and threads for domestic consumption. After its nationalization by the Dergue in 1977, with meager resources it had shown minimal progress until it transferred to the Zambaiti Group in 2004. Since then with an objective of immersing to the world market, Zambaiti-Eritrea has invested 13 million Euros in accelerating the amount of production in five departments- shirt department, spinning department, garment and trousers department, house linen department and knitwear department.

With a total workforce of 550 and 10 professional expatriates, the company produces trousers, shirts, pajamas, polo shirts, towels, bed sheets, house-linen and yarn cotton. The factory’s daily turnover at the existing capacity varies from 900 up to 1000 pieces of shirt, from 200 up to 250 pieces of trousers and pajamas, 150 bed sheets and around 3600 kilos of cotton yarn. As of September 2009, to better utilize the capacity, the company is planning to expand its shirt production shifts into two.

The company has shown a 70% growth in manufacturing and the capital turn over increases over the years. Yet shortage of raw materials especially cotton still hampers for more production, said Mr. Stefano. “With the introduction of large scale agro industries in Gash Barka especially Aligider, a town where Italians begun cotton plantation for the preceding company, Baratolo, there is a room for further expansion of products,” he added.

Mr. Tadesse Weldeyohannes, Director General of Industrial Development at the Ministry of Trade and Industry said, textile and garment industry’s focus should be in enhancing the quality and maximizing the quantity of their products. Also the introduction of new technology and the training and advancing the skills of the employees must be taken seriously so as to compete in the global market.

“Our expectation from such industries is to uphold the nitty-gritty of their business plan they forwarded and stay intact to it for better outcome,” Mr. Tadesse remarked.

As part of its strategic plan Zaer– Eritrea is aiming on boosting the production rate from 30% to 40% in 2009, in which out of this 85% will be for export. The company sole export destinations are Italy, Saudi Arabia, Kenya, Zambia and Djibouti among others.

As our product is not merely for export, apart from the three sales shops in Asmara, it has opened three others in Keren, Dekemhare and Mendefera. For a wider distribution, the company is going to open sales shops in Massawa and Tesenei, in near future.

However, Mr. Stefanno continued, due to the global economic downturn and thus the shrinking of demands, the sector has been facing difficulties. Yet, as the economic recession is taking place in many countries, the sales seemingly will revive and hence the future is bright.

In an effort to create a conducive working environment, the company strives to address the basic needs of its employees.

“After all, satisfaction of the employees directly influences the production,” he noted.

In addition to the attractive remuneration package, the employees receive medical and other benefits. The day-care service established by the company for its employees’ children for instance, has proved to be an effective tool to let the employees work wholeheartedly in the company.

Mrs. Yordanos Yukunoamlak, head of nursery, says the day-care services provided there help in the overall development of the children.

“For the company and its employees, such services are of a win-win situation. The employees while earning their bread, their children are nurturing life skills, while the company is getting the best out of its employees,” she commented.

Zambaiti Group is one of the leading Italian textile and garment industries founded by Angelo Zambiatti in the turn of the 19th century. Over the years it has proved excellence in the textile industry. At this time it runs 12 factories in Italy, 4 in Europe, 1 in US, China and Africa.

The company is planning to expand the company and further diverse its products. Also, as we are really into quality products, we will try to keep the reputation while maintaining the affordability of prices to local customers either, Mr. Stefano Bonazzi, General Manager of the company remarked.

Not only does the company creates job opportunity for a score of Eritreans, but its products quality seems to revive the once acclaimed Eritrean products of the 1930’s, in which they were exported as far as Europe.

Keeping the standard and reputation it already gained is the challenge that is ahead of them.