South Africa: Growth for leather and footwear sectors
The director of South Africa’s Department of Trade and Industry said a government policy to boost the leather and footwear sectors and halt decline in the textile industry has created more than 12,000 jobs.
“Local retailers are increasing procurement from local manufacturers and there is confidence starting to be shown by the new investment in the sectors,” said Lionel October.
Over 400 companies have been assisted under the programme with $665 million worth of applications approved.
He said trade among African countries is also important. Botswana, Lesotho, Namibia, South Africa and Swaziland maintain a common external tariff, share customs revenues, and coordinate policies and decision-making on a range of trade issues.
“The industry has the biggest advantage that the raw materials like fibres, skins and hides are readily available in the African countries and it makes business sense to beneficiate these raw materials instead of exporting jobs by selling these resources to countries out of Africa,” he said.
