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US socks made in Africa
BBC News ^ | 10.01.03 | Kwaku Saky-Addo

Posted on 10/01/2003 9:50:03 AM PDT by riri

There are socks, socks, and more socks, everywhere at Network Knitwear Fabrics (NKF).

[NFK knitting and sewing machines] About 700 people are employed by the sock factory

It is a manufacturing and export company, located at the industrial and port city of Tema, 18km east of Accra, established a year and a half ago.

Its purpose is to take advantage of the African Growth and Opportunity Act (Agoa), a US legislation designed to allow more than a thousand products, including textiles, to be sold in the United States without paying any tariffs.

With the Agoa sock factory, what we bring in is duty free, and we export duty free

The socks originate semi-processed from the US.

"When they arrive, the toes are open; the fabric isn't yet bleached, and the ends aren't knitted.

"In fact, the whole sock isn't even properly shaped," explains Nora Adabla, who along with her brothers Prosper and Sam, and general manager Ghazi Kreyem set up the business.

Prosper Adabla is the executive chairman, and Sam Adabla is the managing director.

NKF employs 700 people who work on an eight-hour shift, seven days a week.

[The ironing and shaping of the socks] The company ships to the US about 60,000 dozens of socks per week

They knit, sew, seam, bleach, iron, shape, sort, package according to vendor and, finally, ship 60,000 dozens of socks per week in 40-foot containers, to the United States.

They produce 23 different brands, including Lee and Wrangler, producing $75m worth of socks per year.

The executives would not give details of their profits, but P Adabla says simply: "We made an initial investment of $700,000 from a Bank loan, and let's just say it's profitable and we're pretty much content."

Mr Kreyem who has been in the knitwear business for over 30 years says there is an advantage in the export business under Agoa

.

The other textile business in which he has been involved was producing for the Ghanaian domestic market.

"We pay duty on the raw materials we bring in, and then after manufacturing, we pay sales tax, income tax, this tax, and that tax," says Mr Kreyem.

"But with the Agoa sock factory, what we bring in is duty free, and we export duty free," says Mr P Adabla.

[Socks packaging at NFK factory] The company makes 23 different brands of socks

He speaks of his thrill when he has seen socks from their factory in shops during visits to the US.

"On one occasion, I told the shop assistant that the socks were from my factory in Ghana.

"He looked at me, like, 'Yeah, right!' I told him I was serious - but he thought I was trying to be funny or something. So I left him in his ignorance."

Back on the factory floor at Tema, 32-year-old Angie Ankrah - a supervisor says the 1.7m Cedis ($200) per month she earns is much more than she made at her previous job as a seamstress in a small town.

Paul Kubi, 20, is a labourer, earning about 500,000 Cedis ($60]) a month, which is nearly twice the per capita income in Ghana.

"This is my first job, so I'm better than before," says Mr Kubi.

People come knocking on the gates of NKF daily looking for work.


TOPICS: Miscellaneous
KEYWORDS: freetrade; globalism; socks

1 posted on 10/01/2003 9:50:03 AM PDT by riri
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To: A. Pole
Ping
2 posted on 10/01/2003 9:54:18 AM PDT by riri
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To: riri
Cool. Glad to see some Africans getting into the game.
3 posted on 10/01/2003 10:16:53 AM PDT by ArcLight
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To: riri
US socks made in Africa

OMG!

4 posted on 10/01/2003 10:29:34 AM PDT by Publius6961 (californians are as dumb as a sack of rocks.)
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To: Publius6961
Hey, I make the nicest socks, all by hand. Figured I'd better learn how to keep tootsies warm jic anything happens to international shipping...

Anyone want lessons?
5 posted on 10/01/2003 10:34:07 AM PDT by jacquej
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To: ArcLight
I know many hard working folks from Africa, esp. Ghana. Believe the people could use it. This is good because unlike the wicked Chinese government, the money goes right into the pockets of people who need it most. I know one person who was done this, and managed to send a child to university here in America with this money.
6 posted on 10/01/2003 6:27:37 PM PDT by cyborg (Xtra-strength 10 gauge tinfoil hat)
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To: riri
This is about .38 an hour for a 40 hour week, they go ape shit over this in China but I guess it's ok in Africa. Same old double standard crap.
7 posted on 10/01/2003 6:29:26 PM PDT by BIGZ
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To: cyborg
Quite right. I've been to Ghana. Nicest, hardest working people you ever wanted to meet. Give them a decade of stable, democratic government and the place could turn into a real success story.
8 posted on 10/01/2003 8:13:26 PM PDT by ArcLight
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