# Lesotho trade capacity and MSME development

> Live situation record from CLSTR: https://clstr.news/situations/lesotho-trade-capacity-and-msme-development
> Updated: 2026-10-11T21:22:13.000Z. Sources: 5. Developments: 3.

Lesotho is implementing initiatives to strengthen its trade capacity and support small businesses in accessing regional and continental markets. The Ministry of Trade, Industry and Business Development launched a National Consultative Framework for tariffs and trade remedies, supported by the Southern African Customs Union (SACU), to improve coordination between government and the private sector.

In partnership with the UNDP and the United Nations Economic Commission for Africa (UNECA), the government is also conducting capacity-building workshops for micro, small, and medium enterprises (MSMEs). These efforts focus on helping local entrepreneurs navigate the African Continental Free Trade Area (AfCFTA) by addressing challenges such as trade standard compliance, digital trade tools, and access to finance and market intelligence. Recent activities have specifically targeted boosting the leather, textile, and handicraft sectors to increase domestic value addition and export readiness.

Building on these efforts, the Ministry of Trade, Industry and Business Development, alongside the World Bank Group and the Lesotho National Development Corporation, has unveiled a seven-year roadmap to revitalize the textile and apparel sector. This strategy aims to transition the industry from basic assembly to high-value, full-package manufacturing by utilizing indigenous wool and mohair resources.

The plan seeks to mitigate the impact of declining exports to the United States, which fell by more than a third between 2022 and 2023. By 2033, the initiative targets the creation of over 70,000 jobs and annual exports exceeding US$1 billion. To reduce market dependence, the strategy aims for non-US markets to account for 55 percent of exports, focusing on growth within South Africa, the European Union, and the AfCFTA.

## Timeline

### 2026-10-11: Lesotho launches seven-year strategy to revitalize textile industry

Lesotho has introduced a seven-year textile sector strategy to create 70,000 jobs and reach US$1 billion in annual exports by 2033 through diversification and high-value manufacturing.

2 sources. https://clstr.news/cluster/lesotho-launches-seven-year-strategy-to-revitalize-textile-industry

### 2026-10-07: Southern African nations move to boost leather and textile sectors

Lesotho and Eswatini are implementing new frameworks and workshops to boost their leather and textile sectors by improving MSME market access and domestic value addition.

2 sources. https://clstr.news/cluster/southern-african-nations-move-to-boost-leather-and-textile-sectors

### 2026-09-28: Lesotho strengthens trade frameworks and MSME capacity

Lesotho is enhancing its trade framework and supporting MSMEs through new consultative processes and capacity-building workshops to better utilize regional and continental trade agreements.

3 sources. https://clstr.news/cluster/lesotho-strengthens-trade-frameworks-and-msme-capacity

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Cite as: Lesotho trade capacity and MSME development. CLSTR, https://clstr.news/situations/lesotho-trade-capacity-and-msme-development