HARARE – Edgars has reported significant growth in sales of locally made clothes, attributing the success to its investment in domestic manufacturing and a strategic focus on affordable fashion, according to . The retailer invested US$1 million into its Carousel manufacturing unit, resulting in strong quarterly growth and a notable increase in the percentage of locally-produced merchandise in its stores. CEO Sevious Mushosho highlighted the positive impact of this strategy, noting that the proportion of locally produced items in their inventory rose to 70%, up from 50% the previous year.
This shift has not only created more jobs but also improved profitability. “The increase in our locally produced merchandise through our partners and Carousel to 70% compared to 50% last year helped create more jobs and improved our profitability,” Mushosho stated in the company’s quarterly report ending in April. The volume of units sold from Carousel saw a remarkable increase, surging by 204% to 80,244 units from 26,437 units the previous year.
This boost in production and sales has significantly reduced the group’s cost of sales by 23%, thanks to enhanced production efficiencies. Mushosho added, “The surge in the units produced and sold through the chains contributed significantly to the decline in group cost of sales of 23% due to the increased production efficiencies.” Looking ahead, Edgars expects Carousel to ramp up production volumes from the current 45,000 units per mon.
