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    Create Employment, Promote Industry Modernization And Economic Development

    2015/9/25 10:40:00 31

    TextilesFootwearClothing

    DTI, a South African Ministry of trade and industry (Cape Town), has implemented a series of subsidy and support policies in recent years, and hundreds of domestic companies have benefited from it, most of them.

    Spin

    And shoes and clothing enterprises.

    More than 10 years ago, a large number of cheap imported textiles poured into South Africa, resulting in domestic textile and

    Footwear industry

    Thousands of people are out of work.

    In order to deal with the impact of imported commodities on the domestic textile industry, the Ministry of trade and industry has formulated a series of subsidy and support policies since 2007, such as the PIP and CIP.

    BobbyFairlamb, general manager of K-WAY, a Cape Town business alliance, said

    "It is these projects that have provided our company with funds for the purchase of equipment, so that we have acquired some of the most advanced equipment.

    Today, our business revenue has increased by 102%, operating profit has increased by 20%, the marketing cost rate has decreased from 10.1% to 9.7%, and the machine shutdown time has decreased from 2.1% to 1.6%, and more than 200 new jobs have been created for the society since 2006.

    In September 14th, RobDavies, Minister of trade and industry, visited the TheFoshiniGroup s (TFG) clothing group and DamenShipyards shipyard in Cape Town's meta land.

    The purpose is to evaluate the effect of DTI's financial support, measure the development potential of enterprises and understand what kinds of funds the enterprises need most.

    The visit to DTI also shared the original intention of setting up these preferential policies to all enterprises: creating jobs and promoting industrial modernization and economic development.

    MartinMendelsohn, director of TFG group, said that in the past six years TFG has established more cooperation with its supply partners and key strategic partners through DTI's "quick response to the market" special investment fund, such as the establishment of a world-class production plant with Prestige apparel.

    "Now our factory can satisfy most of TFG.

    clothing

    Thanks to DTI's innovative support program, we are very grateful to the government for its investment in the clothing industry, and hope that they can help the textile and garment industry to solve more practical difficulties.

    He said.

    "The government's support programs play an important role in the development and stability of the industry," said AndreKriel, Secretary General of the South African textile and footwear industry union.

    "From 2000 to 2005, the development of textile and footwear industry has been in trouble."

    He said, "the main reason is that over the past few years, excessive irrational textile tariffs have been lowered.

    Later, the government played a very important role in restoring the stability of the industry. It created a better development environment for us and helped us solve the structural problems. In other words, the government gave us money to invest in advanced equipment and production lines, expand production capacity and enhance competitiveness.

    The latest quarterly employment survey by the Statistics Bureau showed that the employment of CTFL industry (clothing, textiles, shoes and leather) increased by 1.5% over the same period from March 2014 to March 2015.

    "Although the growth rate is small, it has great significance, because the employment rate in the manufacturing sector has dropped by 1.3% during the same period, and the employment rate has been declining since 2005. This represents an important turning point.

    Now more than 400 companies in the industry have enjoyed the support from the government, and I believe we will create more jobs and achieve the recovery of the industry in the future.

    Mr. Kriel said.

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