Tunisian Textile Industry Calls for Urgent Reforms to Avoid Decline
Industry Leaders Present Roadmap for 2026-2036, Aiming for 50% Export Growth
In a meeting with representatives from the public and private sectors, financial institutions, and funding agencies, Haithem Bouagila, President of the Tunisian Textile Federation (FTTH), urged for "precise and urgent" reforms to prevent the decline of the Tunisian textile industry. The proposed reforms include reducing credit costs, modernizing the exchange code, simplifying customs procedures, and improving the investment climate.
The industry has presented its roadmap for 2026-2036, which aims to increase exports by 50%. Today, with an increasingly competitive international environment, the industry believes that the future of the Tunisian textile sector depends on the efforts of industrialists and the state's ability to accelerate several priority reforms.
The FTTH has formulated six urgent demands:
- Reduce financing costs
- Establish a favorable tax framework for technological and sustainable investments
- Optimize customs and logistics procedures
- Modernize the exchange code
- Adapt labor laws to the specific needs of the industry
- Simplify the investor's journey
According to Haithem Bouagila, reactivity is currently the main competitive advantage of Tunisia compared to low-cost Asian countries. However, this advantage is weakened by administrative and logistical delays. "Every day lost in customs and logistics formalities is a customer lost to a faster competitor," he said.
The President of the FTTH also emphasized the need to accelerate the reform of the exchange code to allow Tunisian companies to "buy and sell at the speed of global trade." He called for more visibility and regulatory stability, estimating that investors need "visibility more than advantages."
These demands accompany the launch of the new sectoral action plan for 2026-2036. The federation considers that the sector suffers less from a production problem than from an economic model problem. "We don't have a work problem, we have a model problem. And a model can be changed," said Haithem Bouagila.
The presented strategy aims to move away from price-based competition and focus more on added value, technical textiles, innovation, and sustainability. The goal is to position Tunisia as a premium textile platform for Europe and as a regional reference for technical, medical, and professional textiles.
The plan sets several objectives for 2036:
- A 50% increase in exports
- A 25% increase in local added value
- A 45% share of technical textiles in the sector's activity
- A 30% increase in qualified jobs
- An investment program of 1.35 billion euros
To support this transformation, the FTTH also proposes the creation of a National Industrial Modernization Fund, bringing together the state, financial institutions, and international partners.
According to Haithem Bouagila, the sector currently represents more than 4.5 billion dinars in exports, including technical textiles for the automotive, aeronautics, and medical industries. A window of opportunity is opening for Tunisia thanks to the new expectations of European customers regarding proximity, traceability, and sustainability. "The wind is turning in our favor for once," he estimated, while warning that this opportunity could quickly benefit other countries if the expected reforms are delayed.
