South Africa Textile Industry Report 2023: Competitive Advantages in Localized Production Driving Growth and Recovery (2024)

FAQs

What are the challenges in the textile industry in South Africa? ›

Critical challenges facing the South African textile industry, and that in many other developing and developed countries, include the increased need for international competitiveness, the integration of environmental issues with trade aspects, and the potential impact that non-tariff trade barriers may have on the ...

Many South African textile mills closed when the market was flooded with cheap, imported clothing at the end of apartheid when international trade restrictions were lifted. This reduced the availability of textiles for use in South African clothing manufacturing, which increased the cost of locally made products.

Textile industry overview

The textile industry currently contributes about 14% of employment in the manufacturing sector, which employs an estimated 80 000 people. Textiles and fabrics are the 11th most exported goods from the country and the sector accounts for 8% of South Africa's gross domestic product (GDP).

The textile industry plays a vital role in society and the environment, impacting various aspects of modern life. It generates employment, influencing culture, and providing access to clothing, while also facing challenges related to sustainability.

Clothes, footwear and household textiles are responsible for water pollution, greenhouse gas emissions and landfill.

South Africa's retail industry has navigated many challenges in recent years, grappling with the prolonged economic effects of the pandemic, coupled with inflation, unemployment, and successive interest rate hikes.

Northern investors often preferred to locate their mills in the South, where the taxes were lower, the climate was milder, and the labor was cheaper than in the North. The investors' added capital allowed a number of mills to expand, and several cities emerged as the state's major textile production centers.

The South's mill owners not only benefited from cheap labor, they also entered the textile industry at a time of unprecedented technological advancement. The mill owners incorporated the most modern machines into their factories which allowed them to increase production and cut labor costs.

Overconsumption of natural resources

The textile sector was the third largest source of water degradation and land use in 2020. In that year, it took on average nine cubic metres of water, 400 square metres of land and 391 kilogrammes (kg) of raw materials to provide clothes and shoes for each EU citizen.

Revenue in the Fashion Market is projected to reach US$885.70m in 2024. Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 11.44%, resulting in a projected market volume of US$1,522.00m by 2029. In the Fashion Market, the number of users is expected to amount to 10.7m users by 2029.

Where is the biggest textile industry in the world? ›

The textile industry of China is the largest manufacturer and exporter in the world with an export turnover of $266.41 Bn.

Don Koonce talked about how Greenville, South Carolina, came to be known as the “Textile Capital of the World.” He shared the story of how the textile industry started in the southern city and the impact its growth had on Greenville and the rest of the country.

Cotton is the main raw material used in the production of textiles. Nearly 70% of global jute production originates from India. The sector is also the second-largest production base of silk and fibre. Other fibres produced in India include wool and man-made fibres.

Because of clothing and protective gear, farmers can use fertilizers, herbicides, or pesticides to increase crop yields. They can also use equipment filters and protective coverings for planting, harvesting, and protecting their crops. Without all of these technical textiles, food production would be less reliable.

Textiles have an assortment of uses, the most common of which are for clothing and for containers such as bags and baskets. In the household, textiles are used in carpeting, upholstered furnishings, window shades, towels, coverings for tables, beds, and other flat surfaces, and in art.

The major challenges facing the textile industry include the shortage of skilled manpower, rising cost of production, environmental pollution, unsustainable resource consumption, waste generation, inadequate working conditions, and the need for regulatory support and strategic policies.

Environmental pollution: A major amount of textile waste in Africa is derived from worn garments exported mostly from Europe. These textiles, which are generally of low quality and unsuited for reuse, end up in landfills and informal waste streams, causing severe environmental contamination.

The fashion industry is facing the challenge of its environmental impact, with issues such as excessive waste, pollution, and the use of non-renewable resources. Embracing eco-friendly practices and implementing circular economy initiatives are crucial steps toward a more sustainable future.