The plan, unveiled in footwear manufacturing hub Leon in Guanajuato state, seeks to improve productivity, formalise employment and integrate traditional sectors into modern supply chains.
Through an agreement with Spanish multinational financial services company Banco Bilbao Vizcaya Argentaria (BBVA) and state-owned development bank Nacional Financiera (Nafin), the plan will boost the competitiveness of small and medium enterprises in the sectors.
The plan aims at recovering 50,000 jobs in the two industries, according to domestic media reports.
Up to 50,000 companies operating in the textile and footwear sectors are expected to benefit from this financing initiative over the next 12 to 18 months.
The financing will be offered through simple credits for working capital and the renewal of productive machinery at a fixed rate of 14.5 per cent and without commission from BBVA. Nafin will cover up to 70 per cent of the risk through a guarantee programme.
The government also plans to involve the academia and businesses, focusing on regions like Valle de Toluca, Valle de Mexico and municipalities with footwear, apparel and leather goods activity. Next December, the government will launch a new country brand for textiles and footwear.
Last August, the government temporarily suspended imports of finished footwear to protect domestic production.
ALCHEMPro News Desk (DS)
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