Leather and Garment Sector Advances Value-Chain Modernization, Targeting $5.5B Export Surge
19/10/2026 | 10:31:18
AMMAN, Oct. 19 (Petra) – Jordan’s leather and garment manufacturing sector is expanding its production capacity, investment portfolio, and export reach in alignment with the goals set out under the Economic Modernization Vision.
Ehab Qadri, Sector Representative at the Jordan Chamber of Industry (JCI), told the Jordan News Agency (Petra) that technical evaluations and site-selection studies are currently underway in collaboration with the International Finance Corporation (IFC) to establish a state-of-the-art integrated textile cluster. The project aims to drive vertical integration, localize raw material sourcing, and attract foreign direct investment across yarns, fabrics, and specialized garment accessories.
The sector accounts for nearly 2 percent of Jordan's Gross Domestic Product (GDP), generating a total gross output exceeding JOD 3 billion (USD 4.23 billion) in 2025–including JOD 850 million in value-added processes (a 42 percent value-added ratio).
Exports rose 3.2 percent during the first seven months of 2026 to reach USD 1.5 billion, following a total export volume of USD 2.4 billion in 2025 across 80 international destinations. The United States remains the primary market, absorbing 77.3 percent of sectoral exports, alongside expanding trade footprints in Canada, the United Kingdom, Germany, the Netherlands, Belgium, and Mexico.
Data compiled by the International Trade Centre (ITC) identifies approximately USD 918 million in untapped export potential for Jordanian textile products across non-traditional global markets.
Operating through 818 industrial units with a registered capital of JOD 138 million, the sector employs 99,000 workers–representing 38 percent of the national industrial workforce. Jordanian labor within the sector expanded by over 130 percent over the past decade to exceed 31,000 national employees, supported by 30 operational satellite production units (productive branches) across rural governorates, with three new branches scheduled to open this year.
To streamline delivery timelines and supply chains, new specialized fabric manufacturing facilities and logistics hubs were recently established in Mafraq and Aqaba.
On the sustainability front, the sector is aligning its operational frameworks with global environmental directives, including the European Union's ecodesign standards, supply chain traceability, and Digital Product Passports (DPP). Furthermore, the JCI is coordinating with the Ministry of Investment to draft a national roadmap for industrial textile waste recycling and circular economy infrastructure.
The Economic Modernization Vision sets high-level targets for the sector, aiming to attract USD 3.1 billion in cumulative investment, raise annual exports to USD 5.5 billion, increase annual value-added by 10 percent, and create 149,000 direct opportunities for Jordanian nationals over the coming decade.
//Petra// AA