The textile industry in Ethiopia produces cotton textiles like yarn, fabrics, bed sheets, and blankets. There are 35 textile enterprises in Ethiopia, both public and private. The largest textile factories are located in Addis Ababa, Amhara, and Southern regions. Kombolcha Textile Share Company has a spinning capacity of 7,000 tons of cotton per year and a weaving capacity of 22 million square meters of fabric annually. Issues facing the industry include over-reliance on cotton and poor production and material handling systems. Infrastructure challenges also limit private enterprises from operating in regional towns.