Industrie Africa, Africa’s leading online multi-brand fashion retailer, is shutting down just five years after its launch. The e-commerce platform, founded in 2018 by Tanzanian fashion entrepreneur Nisha Kanabar, will transition into Industrie Africa Plus (IA+) on April 30.
Industrie Africa Plus will be an advisory firm that will collaborate with luxury hotels, cultural institutions, and premium retail hubs to showcase fashion from the continent in new physical locations such as concept stores, retail activations, and pop-ups. For the advisory’s first project, it opened a concept boutique on Bawe Island in Zanzibar, Tanzania, in partnership with the island’s luxury hotel.
US Tariffs Negatively Affected Many Businesses
US tariffs in particular created a significant setback when they came into effect last year. Many African countries, including South Africa, Algeria, and Madagascar, were heavily affected by tariffs ranging between 15% and 50%. These tariffs were later revised and now range between 15% and 30%. The tariffs threatened the longevity of many businesses, including those on the African continent that had built a loyal fan base in the United States. The US stood out as a key market for Industrie Africa. Approximately 80% of the platform’s sales came from the US.
Nisha Kanabar: We Saw an Overnight Shift Because of the Tariffs
Industrie Africa Founder Nisha Kanabar said that several roadblocks, including cross-border logistics, inconsistent tariff policies, and market volatility, led to the platform shutting its doors. Kanabar said, “The tariffs heavily impacted our business. We saw an overnight shift in how the customer was shopping. Until that point, we were under the impression that we were on a really positive trajectory.”
Operating on a dropshipping model and holding no inventory, Kanabar says, “Fashion from the continent is produced in small batches. It is made-to-order. It is craft-led. It is slower by nature.” She says that this production style does not fit neatly into global e-commerce expectations and adds that fragmented supply chains and the lack of standardized manufacturing processes forced Industrie Africa “to absorb the variability of each designer’s operational maturity.”
Kanabar stated, “When you look at the global e-commerce infrastructure, it is all about instant replenishment, free delivery, and predictable logistics… This was a challenge from the very beginning, because African fashion may be fundamentally incompatible with these traditional global e-commerce and infrastructure levers.”
Industrie Africa Shipped to Approximately 60 Countries Worldwide
Industrie Africa was quickly a go-to destination for global consumers eager to discover high-end African fashion brands. For many young and emerging African designers, being stocked on Industrie Africa was considered a stamp of approval. It carried leading brands including Nigeria’s Lisa Folawiyo, Ghana’s Christie Brown, and Senegal’s Tongoro, and shipped to approximately 60 countries worldwide. The goal was to create a platform that rivaled the industry leaders of the time, such as Net-a-Porter and Farfetch, while offering a curated selection of African designers and helping them gain a global footing.
The Traditional Wholesale and Business-to-Business Model Has Broken Down!
From Canada to Tanzania, the recent decline of multi-brand retailers indicates that the traditional wholesale and business-to-business model has broken down. In 2024, British e-tailer Matches shut down. In 2025, Canadian e-tailer Ssense filed for bankruptcy. And in the same year, Mytheresa acquired Yoox Net-a-Porter, marking a consolidation between two luxury e-commerce giants. These platforms, which served as important intermediaries for young and emerging designers, were seen as lifelines for brands seeking to build awareness, increase sales, and boost visibility. However, the recent closures are threatening the future of young designers in Africa, especially those looking to build scale abroad.
