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S&V Weekly Newsletter Vol.2 No.31, August 8, 2016

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

This Newsletter is sponsored by SAFLIA

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No post election splurge in Gauteng

Johannesburg/Pretoria (SA) – Protests and violence in the run-up to the Municipal elections last week have been blamed as part of the reason for poor trading conditions over the past few months in the Johannesburg and Pretoria CBDs, but retailers approached for comment said any improvement in trading since the election was probably due to many people treating today as part of a 4-day long weekend ahead of Women’s Day.
Fatima Bhamjee, of Bhamjee’s Shoe Centre in the Oriental Plaza, Fordsburg, said there was no improvement.
“It’s absolutely quiet. People talk about a recession, but I think it’s a depression.
“Footwear is a luxury at the moment – people buy for their children, and women buy here and there, but the men aren’t even looking. What we’re selling is jellies, which are colourful and cheerful, but they don’t fill the till.
“We’re saturated with stock, but we have to keep on buying to be able to show something fresh.
“The one good thing is the improvement in the exchange rate. That should bring prices down.”
Arvin Govind, of Beggio’s Clothing in the Carlton Centre, didn’t see any improvement.
“People haven’t got money. At the moment, I rely on foreigners coming to South Africa to shop.”
Zubir Dawood, of Abram’s Stores in the Oriental Plaza, Fordsburg, said there had been an improvement over the weekend. “I’m not sure if it has anything to do with the election being over. I think it’s the normal beginning of the month thing, combined with a long weekend.”
Dinesh Kalyan, of Allan Edwards in Bree Street, Johannesburg, also noted a small improvement, but agreed it was probably a combination of the beginning of the month and a long weekend.
Yusuf Ismail, of American Shop in the Oriental Complex, Marabastad, Pretoria, said there had not been an improvement. “People are scared to leave their homes to come into town. There were a lot of shops and homes burnt down in Atteridgeville, Hammanskraal and Mabopane.”


They Said It

"I make a statement – unless the ‘Big Guys’ assist the factories by reducing their payment terms, our footwear industry is going to fall on real hard times. Suppliers and factories are ‘bleeding’ now with the move to purchase more locally made footwear. Assistance is required in this respect immediately." - Garth Ribbink, Greenaways Natal.



Hub supports trade financing training for Kenyan leather SMEs

From The East Africa Trade and Investment Hub Weekly Roundup
Published on August 04, 2016

On August 4, the Hub partnered with Umati Capital and Leather Articles Entrepreneurs Association to hold a trade finance training session for Kenyan leather small and medium-sized enterprises (SMEs). The main objective of the training was to increase the financial literacy of the leather SMEs and evaluate how Umati Capital could support the SMEs’ growth. There are few resources available to SMEs to increase their awareness on trade finance options in the market.
“Knowledge is power and these training empowered our future clients with information required to grow their businesses,” said co-founder & CEO Umati Capital, Ivan Mbowa.
The training provided bankable and market-ready firms with practical knowledge and skills on financial management, operations management and marketing. “The training was very insightful and practical. Entrepreneurs were able to enumerate the issues they face and got the issues directly addressed,” said Leather Articles Entrepreneurs Association executive secretary Beatrice Mwasi.
Each training session consisted of a teaching component followed by a practical session that included discussions and case studies with the participants.
“The workshop was great and I learnt a lot on how to access financial capital for growth of my business,” said Beatrice Mado of Shoe Storm Nakuru.
The Hub, together with the Ministry of Trade, Industry and Cooperatives and the Leather Articles Entrepreneurs’ Association, is supporting the growth of the local leather sector by helping businesses overcome challenges toward value addition. Key among these challenges is access to finance for capital expenditure and for working capital to support daily business activities and future growth.



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

08/08/1950: Eldon Fortmann, retired, formerly Bagshaw, Port Elizabeth.
08/08/1953: Doug Hawkey, John Whittle Components, Pinetown.
08/08/1986: PG Needham, Needham Leather Goods, Pretoria.
10/08/1971: Shane McEvoy, Exodus Footwear, Cape Town.
10/08/1951: Kevin Davidow, Nakara Leather, Namibia.


In Memoriam this week

08/08/2010: Gareth Davies [b. 02/04/1945], Edgars group, retired, Johannesburg.
09/08/2013: Daniël Bruwer (Stoffel) Matthis (b. 04/05/1934), SHALC and many meat industry bodies, Pretoria.
10/08/2006: Abdool Kader (AK) Seedat (b. 12/03/1933), agent, Durban.
11/08/2011: Ken Riches (b. 15/07/1922), educator, Port Elizabeth.

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:


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Contact us

News & Classifieds: Tony Dickson, +27 (0)31 209 7505,

Next newsletter: August 15, 2016.

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