South African garment sector must innovate - Minister

01 Dec '11

2 min read

As learnt from past industry experiences, the South African clothing industry can subsist in the midst of wobbly global economy by increasing its reliance on innovation and by enhancing productivity, Trade and Industry Minister Rob Davies has said.

The Minister stated that a wage agreement inked between the textile industry entrepreneurs and the Southern African Clothing and Textile Workers Union for offering 30 percent lower pay to new workers is a challenging new concept.

Mr. Davies said the Government would announce its budget for the country's garment and textile industry on December 7, and it would boost its growth prospects.

The South African textiles and garment industry, which curtailed thousands of jobs after being hit by low-cost imports, is now back on track and is moving forward. This is evidenced in industry's production charts, which indicates a stabilisation, Mr. Davies stated.

In order to support the industry, the Government altered its support programmes structure and introduced a production incentive by providing credit on the basis of the value that a firm adds to the economy.

Besides, it has also introduced measures to ensure better protection for the industry and has successfully blocked several efforts of illegal imports of cheap clothing into the country, Mr. Davies added.

Fibre2fashion News Desk - India