CAPE TOWN The SA clothing industry has the potential to emulate the export achievements of domestic vehicle manufacturers, Trade and Industry Minister Alec Erwin said yesterday.
At a function celebrating the export of the millionth suit produced by House of Monatic, a wholly owned subsidiary of empowerment group Brimstone Investment Corporation, Erwin said that preferential trade deals signed with the European Union (EU) and the US, combined with the boost provided by the weak rand, meant SA had 'the opportunity to turn this industry around and export to the world'.
However, he said attention should also be given to African and Middle Eastern markets, as well as to continuing investment in skills and modern equipment.
'We are capable of competing with the largest industrial economies in the world,' Erwin said.
'The truth is that our tariff levels are only about 1,5% apart.'
The chairman of House of Monatic, Fred Robertson, said that US demand had been so brisk since the passage of the African Growth and Opportunity Act 'that there is currently no excess capacity from the top three clothing manufacturers, and customers are moving to the second tier of manufacturers, creating opportunities for smaller industry players'.
House of Monatic started exporting jackets to US retailer JC Penney four years ago, and now supplies most of the large American department stores, as well as various European clients.
Its products are marketed under some of the best known brands in the world, including Carducci, Viyella, Embassy, Shakur Olla and, until recently, Yves St Laurent.
Exports have risen to about 50% of production from little more than 20% four years ago.
Publisher: Business Day
Source: Business Day
Clothing sector export potential
Posted On Wednesday, 20 March 2002 03:01 Published by eProperty News
CAPE TOWN The SA clothing industry has the potential to emulate the export achievements of domestic vehicle manufacturers, Trade and Industry Minister Alec Erwin said yesterday.
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