The multi-billion dollar Black haircare industry is showing no signs of slowing down. A recent report shows that 51% of Black consumers use styling products — compared to 34% of US consumers overall). This has created a $2.5B industry banking on the buying power of Black women in the US. Tied in with cosmetics, that number reaches $9B globally. Despite these staggering statistics, Black businesses have little control in the production and distribution of wigs, extensions and haircare products. Instead, Chinese and Korean firms control upwards of 80% of the distribution with anecdotal stories of Black businesses being locked out.
The Black Owned Beauty Supply Association (BOBSA) is looking to change that with a new alliance it has created with the Chinese government and hair manufacturers. According to the Chicago Defender, for the first time in modern history, the Chinese government has struck a strategic partnership with BOBSA founder, Sam Ennon to open up the distribution lines.
The groundbreaking alliance promises to address challenges faced by both sides by creating a new factory specifically to help Black-owned beauty supply stores be competitive and gain direct access to products. “We have created an alliance named Enterprise of Black Hair Alliance (EBHA) to change the distribution of hair in the US,” said Sam.
The EBHA is still in its formative stages, but looks to be a landmark venture in 2017.