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Fast fashion boom boosts SA clothing industry

South African clothes manufacturers are witnessing a rise in demand for locally manufactured merchandise, as fast fashion has made in-roads into the country.  The industry is also on a growth track after receiving government incentives. Local manufacturers have got a boost and the entire supply chain since domestic production is not just good for job creation but it has also led to retailers sourcing almost a third of their clothing from local suppliers.

According to experts, 25 to 30 per cent of locally sold clothes are manufactured domestically. Edcon, for instance, has increased local and regional orders to cash in on the benefits of a quick response. For 2013 winter season, Edcon sourced 32 per cent of Edgars and discount merchandise from local and regional suppliers. The Foschini Group was one of the first major retailers to begin sourcing locally.

In 2009 the government had introduced incentives to meet the criteria and rules of the system, allowed it to offer conditional grant finance to increase competitiveness in the sector and encourage clustering. Industry players are working with RMG manufacturers, textile companies and the unions to see if further tweaking of the incentives could achieve a lower cost of inputs. 

 
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