The Road Ahead: A forecast for South Africa’s footwear and leather goods industries

Nerisha Jairaj…Industry needs co-operation.

Durban, KZN, SA – The South African footwear and leather goods industries are navigating a challenging yet potentially transformative period. Shaped by a mix of longstanding hurdles and emerging opportunities, their future remains uncertain as the global market continues to shift rapidly in the wake of COVID-19. While difficulties persist, industry leaders have to step up to chart a path forward, guided by resilience, innovation, and collaboration.

Challenges: A Balancing Act
One of the biggest obstacles for the sectors is the strained funding landscape. Manufacturers and exporters are eager to do more to grow the industry, but resources are limited, and meaningful interventions require significant financial investment. Low local retail uptake continues to tighten margins for manufacturers, reducing their ability to innovate or expand.

Raw material diversity also poses a persistent challenge, stifling creativity and limiting the ability to align with global trends. The availability of a broader range of inputs would unlock greater design potential and enhance competitiveness in international markets.

Opportunities: Building for the Future
Despite these hurdles, opportunities for growth remain. Technology, particularly the integration of Artificial Intelligence (AI), holds transformative potential for the industry. AI-driven design, production optimization, and market analysis can help local companies improve efficiency, innovate faster, and better understand consumer preferences.

The global appetite for sustainability and ethical production aligns with South Africa’s capabilities. By emphasizing quality, craftsmanship, and eco-conscious methods, the industry is well-positioned to cater to discerning markets. The safety footwear segment, already a leader in the sector, demonstrates how South African manufacturers can excel in niche markets, driving employment and export growth.

Collaboration: A Shared Responsibility
The future success of the industry depends on all stakeholders—manufacturers, exporters, retailers, and government bodies and Industry bodies—working together. The time for division is over; collaboration is essential to overcome shared challenges and unlock the industry’s full potential. Leaders must foster a united front, championing solutions that benefit the entire value chain rather than isolated interests.

As an export council, we are committed to doing everything possible to support our members. While resources are stretched thin, we continue to explore innovative ways to provide assistance, open new markets, and advocate for policies that enable growth.

Leadership: Guiding the Way
Strong leadership is critical during these uncertain times. Leaders must maintain a positive mindset while remaining realistic about the challenges ahead. A leader’s role is not just to identify problems but to find solutions, inspire action, and build trust. By focusing on collaboration and innovation, leaders can steer the industry toward a more prosperous future.

The South African footwear and leather goods industry has weathered storms before and emerged stronger. While the road ahead is far from clear, the resilience, creativity, and determination that define this sector offer hope. Together, with a shared vision and a commitment to solutions, we can navigate these challenges and carve out a brighter future.