This paper sought to establish the sources of total factor productivity growth (TFP) growth which is the part of output not explained by production inputs. TFP comprises of technical change, technical efficiency change and scale change. With the focus on the manufacturing sector particularly small businesses in the apparel sub-sector in Ghana, the paper employed the Malmquist productivity index methodology and based on data collected from 140 firms in Ghana. One finding was that, contrary to the view that traditional sectors such as textile and apparel manufacturing are not affected by new technologies, this study ascertained that new technologies are making a difference in the apparel sector in Ghana. Another finding was that small businesses in the apparel manufacturing industry for instance need considerable reduction in production cost, speed up the production process and improve upon efficiency levels of operations to match consumers taste, variety and demand in general. In all, the paper established increasing application of new apparel manufacturing technologies by small and medium-sized businesses (SMEs) as indicated by widespread technical change. More worrying is the widespread technical inefficiencies which need to be curb through further training and development of relevant technical skills of the producers.