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S&V Weekly Newsletter Vol.2 No.30, August 1, 2016

S&V Footwear and Leather Goods / S&V African Leather/ S&V Protect

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National footwear tender awards published

Pretoria (SA) – The RT59 tenders for supply and delivery of footwear to the State were awarded at the end of last week. 4 companies shared the 123 720 pairs on offer. Dick Whittington Shoes in Pietermaritzburg got in the region of 50 000 pairs worth around R40 million. Chic Shoe Manufacturers in Cape Town was awarded around 60 000 pairs worth around R13 million. The BBF Safety Group and the Jordan division of Bolton Footwear received a few thousand pairs each.
Dick Whittington MD Arveen Boodhoo said the company had “got what we went for”, but he said quantities of the categories of footwear it tenders for were “two thirds down” on last year.
Chic member Rachmat Thomas said the award had “come at the right time” for the factory, in a lull between seasons. “We always appreciate what we receive from the tender,” she said.
We have asked the National Treasury to comment for next week on the lateness of this year’s award, and the continued decline in pairs.

 

US election China-bashing worries AAFA

Washington DC (USA) – The American Apparel & Footwear Association (AAFA) is concerned about anti-trade rhetoric in the US presidential election. In a release this week, AAFA’s Steve Lamar wrote: “Convention platforms rarely endure. Written by a committee, incorporating uneasy compromises and reflecting a single candidate's campaign priorities, these documents often have a short shelf life. That's perhaps the silver lining when one looks at the rambling discourse on international trade contained in the Republican and Democratic convention platforms released this month.”

 

Skechers predicts 3m pair SA sales

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Skechers marketing executive Anjali Radhakrishnan with brand manager Steve Swaby.

Johannesburg (SA) – Skechers sales in South Africa could reach 3 million pairs per year in 3-5 years, brand manager Steve Swaby said last week during range presentations in Cape Town and Johannesburg by new Skechers distributor Brand Folio.
Part of the reason is a much broader product offering – over 1 800 styles across an array of athleisure, lifestyle and performance sports categories – coupled with a R30 million marketing budget which will include 1 500 TV slots between now and June next year. It has also launched various social media platforms and will be signing local sports and lifestyle personalities.
He said Skechers sales in the Gulf – where Brand Folio is headquartered – were around 9 million pairs per year, and that it outsold Nike and Adidas in the region.

 

 

Dangee|Carken drops Summer prices

Johannesburg (SA) – Importer Dangee|Carken has reduced the prices of existing orders following the strengthening of the Rand.
MD Robby Stoller declined to specify the cut, but said it was “in line with the strengthening of the currency”.
He urged customers to pass on the saving. In a letter, he said: “It is our express intention…to ensure retail success by ensuring price competitiveness. Times are tough and we want to ensure we maximize the sell through of our brands. I am sure you will use the opportunity to adjust your retail price points.”

 

Global production ‘drops slightly’

Worldwide footwear production reached 23.0 billion pairs in 2015, World Footwear Newsletter reported.
It said that was a 0.4% drop from the previous year. “Apart from a decrease registered in 2009, during the financial crisis, this is the first time in decades that footwear production levels decline.” – [news@worldfootwear.com]

 

Diary

Durban (SA) – A presentation by the IDC and Bureau Veritas on PIPs and exports to Zimbabwe will be held at Coastlands Hotel, Ridge Road, on August 16. It is hosted jointly with SAFLIA and SAFLEC. Registration starts at 7.30, and the event will finish by 11.

Cape Town (SA) – SAFLIA will host a labour law workshop at Jordan Shoes on August 26. The presenter will be Cronje van Zyl, SAFLIA’s labour relations attorney. It will run from 10.00 to 13.00.

SATRA will run 4 production efficiency systems demonstration workshops this month, hosted by SAFLIA and the DTI.
The first will be in Cape Town, at Jordan Shoes, on August 23, starting at 9.00.
The second will be in Great Brak River, at the Southern Cape Region Footwear Cluster, Belhambra House, Charles St, on August 24, starting at 9.00.
The third and fourth will be  at the Hotel School Restaurant, DUT Ritson Campus, on August 25 at 12.00 and on August 26 at 9.00.

 

 

They Said It

"I am definitely not a winter person – my personality is solar driven and the colder it gets the more miserable I am." - Celesté Sinden, Klein Karoo International Ltd, on a cold snap in Oudtshoorn.

"Yes, it’s an intermittent issue with our 2 x Premicells, but the degree of frustration with our Telkom lines varies from week to week.  1 Telkom line is currently at fault." - Karen Bowman, Apeco, explaining why calls to Apeco weren’t getting through.

"No thanks, he stirs it up too much." - Derek Griffiths, Apeco, responding to an email from Karen asking whether he had any news for S&V.

 

ABSA Agri Trends 26/07: Hides & skins prices

The average hide price over the past week was R15.42/kg green. Hide prices are determined by the average of RMAA and independent companies.
The average price for Dorper skins was R46.82/skin and Merino was R89.06/skin.

Hide & skin price progression
Date Hides/Kg Dorper/Skin Merino Skin
27/11 13.11 78.75 71.11
15/01 13.45 83.13 84.89
22/01 13.79 82.50 79.79
29/01 13.93 84.44 79.17
05/02 14.18 79.00 85.37
12/02 14.35 79.17 93.27
23/02 13.76 76.50 96.02
01/03 14.09 68.93 94.00
08/03 14.20 67.50 93.29
29/03 13.85 63.85 88.37
05/04 14.15 64.55 87.92
12/04 14.21 64.55 99.17
10/05 14.66 60.00 91.08
17/05 14.50 60.77 92.41
31/05 14.60 54.09 89.48
07/06 15.01 60.42 99.13
14/06 15.08 58.00 87.27
21/06 15.11 56.50 92.27
28/06 15.25 55.42 94.23
19/07 15.30 50.42 92.98

 

Birthdays this week

01/08/1935: Bev Jack, retired, formerly Bata Zimbabwe and LAIFEZ, Harare.
02/08/19??: Brian Haarburger, Paris Belts, Johannesburg.
02/08/1946: Burt Coburn, ?, Cape Town.
03/08/1941: Rolf Haesloop, Haesloop Agencies, Pinetown.
03/08/1972: Fazel Allie, Arma Trading, Botswana.
03/08/1928: Gerry Elder, retired, Cape Town.
05/08/1933: Roberto Marchesi, designer, Cape Town.
05/08/1964: Christo Nel, Conloo Joinery, Welkom.
05/08/1956: Rafiq Shah, Evoné, Pietermaritzburg.
06/08/1953: Naren Pattundeen, formerly Palm Footwear, Durban.
06/08/1951: Marius Ferreira, Watson cluster co-ordinator, Great Brak River.
06/08/1942: Mahomed Farouk Moosa Seedat, Same Time Shoe Repairs, Durban.
06/08/1959: Mano Chetty, Borage Trading, Pinetown.

 

In Memoriam this week

03/08/1999: Otto Guldimann (b. 2/10/1922), Cellini [closed], Cape Town.
03/08/1992: Malcolm Kueghn, Hi-Tec Sports, Johannesburg.
03/08/2007: Noel Amery (b. 05/09/1944), Clarens Leather, Clarens.
04/08/2006: Peter Gibbings (b. 31/01/1922), Apeco, Port Elizabeth.
05/08/2002: Darryl Austin (b. 21/02/1947), Austin Shoes, Karmino Shoes [both closed], Pietermaritzburg.
06/08/2012: Bob Johnsen (b. ?), footwear designer, Durban.

Do you have any names you’d like to add to our list of birthdays and In Memoriam? Please send the details.

 

Trade Fair dates

For a list of local and international trade fairs covering footwear, leather goods, leather and PPE, visit our website: http://www.svmag.co.za/events.php

 


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2016 Directories

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Email tony@svmag.co.za for details


  

 

Contact us

News & Classifieds: Tony Dickson, +27 (0)31 209 7505, tony@svmag.co.za

Next newsletter: August 8, 2016.

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