Jordan’s Leather and Garment Sector Poised for Major Export Growth

Baku:The leather and garment manufacturing sector in Jordan is undergoing significant expansion in production capacity, investments, and export reach as part of the Economic Modernization Vision. This initiative aims to boost exports by $5.5 billion.

According to Jordan News Agency, Ehab Qadri, Sector Representative at the Jordan Chamber of Industry, has revealed that technical evaluations and site-selection studies are being conducted with the International Finance Corporation to establish an advanced integrated textile cluster. This project seeks to enhance vertical integration, localize raw material sourcing, and attract foreign direct investment in yarns, fabrics, and garment accessories.

The sector currently contributes approximately 2% to Jordan's GDP, with a gross output exceeding JOD 3 billion (USD 4.23 billion) anticipated by 2025. This includes JOD 850 million in value-added processes, representing a 42% value-added ratio. In 2026, exports increased by 3.2% in the first seven months, totaling USD 1.5 billion, following a USD 2.4 billion export volume in 2025 across 80 international markets. The United States is the primary export destination, consuming 77.3% of these exports, with expanding markets in Canada, the UK, Germany, and other countries.

The International Trade Centre (ITC) has identified about USD 918 million in untapped export potential for Jordanian textiles in non-traditional markets. The sector operates 818 industrial units with a registered capital of JOD 138 million, employing 99,000 workers, and accounting for 38% of the national industrial workforce. Jordanian labor in the sector has increased by over 130% in the past decade, supported by 30 operational satellite production units in rural areas, with three new branches set to open this year.

New specialized fabric manufacturing facilities and logistics hubs in Mafraq and Aqaba have been established to improve delivery timelines and supply chains. On the sustainability front, the sector is aligning with global environmental standards, such as the EU's ecodesign standards and Digital Product Passports. The Jordan Chamber of Industry is also working with the Ministry of Investment to create a roadmap for industrial textile waste recycling and circular economy infrastructure.

The Economic Modernization Vision sets ambitious targets, including attracting USD 3.1 billion in cumulative investments, raising annual exports to USD 5.5 billion, increasing annual value-added by 10%, and creating 149,000 direct job opportunities for Jordanians over the next decade.