MBABANE – Swaziland’s loss of US trade privileges after the country’s removal from countries participating in the African Growth and Opportunities Act (Agoa) is prompting road freight firms to lay off staff and deal with a significant drop in business from the endangered textile industry. US firms provide 100% of business to Swaziland’s largest textile firm, Tex Ray Swaziland. Last month the company laid off 1500 workers. This week another garment maker, Matsapha Knit Wear, laid off 500 workers, citing a cessation of US contracts following the Agoa loss. About 17 000 jobs are in jeopardy in the garment industry. “The closure of (textile) businesses does affect us, not indirectly but directly,” Petros Nzabandzaba, human resources manager for Chrisilda Transport in Matsapha, told FTW. “We transport containers of clothing to South Africa, as far as Cape Town, for shipping abroad. We are getting hit hard. There will be drastic negative effects (from the loss of Agoa-related business),” said Nzabandzaba. Other road freight firms contacted said they may have to lay off workers. For now, Chrisilda hopes to keep its drivers employed moving other types of cargo. “We don’t have a dedicated service for the garment industry like the business we did for Salgaocar (transporting iron ore),” he said, confirming a decision to lay off 57 drivers after the closure of the Salgaocar mine in western Swaziland. CAPTION Tex Ray Swaziland has laid off 1500 workers due to Swaziland's loss of Agoa privileges.
Swazi hauliers in dire straits
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