S&V Weekly Newsletter Vol.7 No.45, November 8 2021
Please note: Click on any ad to go to the advertiser’s website
Logistics
We asked 10 distributors of international brands these 3 questions. 2 responded: - What you expect your stock position to be like, relative to what you expect demand to be.
- Any insights into freight costs and availability, and manufacturing capacity in your countries of origin?
- Whether you foresee any opportunities for local sourcing.
Florsheim: Opportunity for local manufacture, but...
By Nas Kokoroyanis, Florsheim SA
Johannesburg, Gauteng, SA – Our stock position is about 25% lower than 2020, which was planned due to the nature of the times we are in (COVID). Sales have been good for 2021.
Logistics is a nightmare, and it really doesn’t matter where the goods are coming from. Costs have escalated dramatically, and the delays are causing problems, with a lot of customers not quite appreciating the problem. This issue will continue for some time, and goods will become more scarce. Retailers should look to secure goods for 2022 as quickly as they can.
There is a massive opportunity for local manufacture, but you have to keep in mind that they will experience the same logistical problems, as their components and raw materials are imported. We source all Florsheim Apparel locally, and all our welted footwear is sourced locally.
Hush Puppies: Optimistic, but fluidity is the order of the day
By Laurence Lotzoff, Hush Puppies Southern Africa
Johannesburg, Gauteng, SA – It’s actually impossible to comment as the situation is so fluid from day-to-day. I feel optimistic about the stock position for W’22 but that may not be the same for everyone. We’re already seeing a big increase in demand for our lines as time passes and retailers make definitive decisions on how they are going to stock their shelves for W’22.
We can’t control what shipping lines do or charge, so we need to adjust our planning as shipping scheduling and costing shifts from literally day-to-day or week-to-week.
We source from 8 different countries, so while some are affected by production capacity, not all are, so we are not as dependent on certain regions as others may be.
Whatever the comments people make, these are certainly unprecedented times and dynamism and fluidity are the order of the day.
Retailing
We asked Frank Rosenberg of commission agency Leathermarc, which covers Free State and N. Cape for Hopewell Footwear and Collies Clothing, to comment on retail in his area.
Through an agent's eyes
Bloemfontein, Free State, SA – My observation on men's footwear sales by independent retailers in the Free State and Northern Cape are as follows:
Biggest percentage being branded sneakers and toe thongs - i.e. Adidas, Puma, Nike and various takkies such as Le Coq, Superga, etc.
Basics - Grasshopper, Bronx.
Boots - Kingston, Caterpillar, Urban Art.
Welted - Bishops, Crockett & Jones, Florsheim.
Formal - John Drake, Bass, Anton Fabi, Carlo Torrini, Urban Art.
Stichdowns Vellies - Too numerous to mention.
School shoes - Bata Toughees, Grasshopper, Buccaneer.
There are other brands I have not mentioned, but their percentage is smaller.
Manufacturing
Late orders bring some cheer to factories
Durban, KZN, SA – Some KZN-based manufacturers making leather footwear, which were facing a 'close early and open late' scenario, have been handed a late reprieve by their retail customers, according to Attie Els of Els Agencies, which sells mainly Indian buffalo and cow calf leathers, and synthetic upper materials.
"Factories that were contemplating closing early for the annual holidays have received repeat orders and are now in a position to work through to mid-December and complete their orders received for Christmas sales," he said.
Els Agencies sells mainly to Durban-based manufacturers supplying chains and independents.
It also supplies manufacturers in and around Failsworth Road, Pietermarizburg, selling to the informal trade, but that sector hasn't shown much improvement, he said.
"The informal sector is still struggling to survive and working only a couple of days a week," he said.
"It's virtually nonexistent due to unemployment. There's very little money for apparel and footwear, and of course leather is harder hit than synthetics."
'Holiday' for some statutory contributions likely to continue to next year
Durban, KZN, SA – The statutory National Bargaining Council levy, paid by both employers and workers, which was suspended from 01 July 2020 following the first lockdown, looks set to continue to December 2022, SAFLIA executive director Jirka Vymĕtal said last week.
The further suspension was requested by SAFLIA, with backing from the unions.
This needs to be ratified at the next NBC meeting, on 24 November.
"On top of that, SAFLIA is looking at other extensions to the contribution payment holidays, which will be discussed at the said NBC meeting, as they are also gazetted, and this is the only forum to do so," he said.
In case you missed it!
Furniture Leather is the focus sector of the latest issue of S&V African Leather Magazine
S&V Footwear & Leather Goods Magazine Vol87 No10 October 2021
IN THIS ISSUE:
3 Sam Setter's Pills
- A new quip from Sam Setter in each issue.
05 Furniture Leather - The Shipping Crisis Has Been A Boon, But Will It Last?
- Gabriele Giardini, G. Giardini Pellami: Demand back to normal, and transport problems should give local furniture manufacturers the edge.
- Umer Baig, Morongwa Stores: Demand for leather furniture is starting to recover.
- Kevin Thompson, Leatherite: Initial increase has reached a plateau, and we expect a slight drop until next year.
- Richard Harris, Woodheads: Covid hasn't had much of an impact, but prices have.
- Hugo Zuanni, Leather Link: Expecting year-end boost to leather furniture demand.
- Douglas Bornman, Texstyles: Demand has stabilised, but still strong.
- Rudolf Hanni, Hannitan: Hoping for an ongoing shift back to local production.
11 Exotic Leathers
- Zambezi Leathers wins exporter of the year award - again.
12 Agriculture
- Rising energy costs and supply challenges mean investing in alternatives makes a lot of sense for SA's farmers, write FNB's Kyle Durham and Dawie Maree.
13 An Eclectic View
- ISO 45001: Safety standards must work around production, not the other way round, writes H. Procter.
15 Weights & Measures
- Compiled by the ISTT.
16 Sustainability
- Rolfes Leather has joined the Sustainable Leather Foundation, writes Deborah Taylor.
17 Training
- The University of Northampton combines its leather and fashion courses.
18 Tanning Chemicals
- Prices go up, up and away on the back of higher feedstock and shipping costs.
Advertisers in this Issue
ISTT (02), Italtan (03), Mimosa (04), Rolfes Leather Division (OFC), Pangea (06), S&V Calendar (07), Southern African Footwear & Leather Export Council (SAFLEC) (10), Stahl (08).
They Said It
"Sorry for the loss in comms. Combination of load shedding causing cell tower issues coupled with the silly season fast approaching. I’m a Capetonian - we vote come rain, shine, thunder, lightning, snow, hail, frogs or locusts." - Nick Bryant, ProFit Safety Footwear, Cape Town, W. Cape, SA. I asked him whether he voted in SA's municipal elections last week.
Got anything you'd like to share?
Do you have any suggestions, comments or experiences about the industry that you'd like to share with the industry? - tony@svmag.co.za
08/11/1959: Ashmore Matemera, Finnemore Enterprises, Harare, Zimbabwe.
08/11/1967: ISW Smit, Clarens Curio, Clarens, Free State, SA.
08/11/1974: Louis de Sousa, Price Rite, Welkom, Free State, SA.
09/11/1938: Johnny Makrides, Intershu Distributors, Johannesburg, Gauteng, SA.
09/11/1963: Sanjay Pattundeen, Caprini Footwear, Durban, KZN, SA.
09/11/1972: Chrisi Janse van Vuuren, Chrisi Artwear, Harrismith, Free State, SA.
09/11/1977: Darrell Naidoo, Sidekicks, Alberton, Gauteng, SA.
10/11/1956: Jeetendra Vallabh, Academy Outfitters, Port Elizabeth, E. Cape, SA.
10/11/1961: Granville Steyn, DyStar Africa, Pietermaritzburg, KZN, SA.
11/11/1940: David Chasi, Zambezi Tanners, Bulawayo, Zimbabwe.
11/11/1941: Brian Gurney, retired, formerly Watson Shoes, Great Brak River, W. Cape, SA.
11/11/1947: Trevor Espey, agent, Cape Town, W. Cape, SA.
11/11/1961: Wayne and Anthony Matthysen, WAM Agencies, Durban. KZN, SA.
11/11/1963: Thammo Schull, Capcorv Recycling, Germiston, Gauteng, SA.
11/11/1964: Jacoba Nel, Conloo Joinery, Welkom, Free State, SA.
12/11/1954: Kevin van Staden, retired, formerly Bolton Footwear, Port Elizabeth, E. Cape, SA.
12/11/1966: Bevin Horwitz, agent, Pretoria, Gauteng, SA.
12/11/1981: Gert Kruger, Mossop Western Leather, Cape Town, W. Cape, SA.
13/11/1945: Eckie Schumann, Shoetech, Pinetown, KZN, SA.
13/11/19??: Indira Singh, retired, formerly Bellstedt, Pinetown, KZN, SA.
13/11/1951: William Scalco, retired, formerly LTE, Cape Town, W. Cape, SA.
14/11/1953: Bruce Lynn, emigrated, resident in Vietnam, formerly Clarks SA, Pietermaritzburg, KZN and Millana Shoes, Port Elizabeth, E. Cape, SA.
14/11/1974: Norman Venks, HW Textiles, Hammarsdale, KZN, SA.
14/11/1983: Ximena Farfan, freelance designer, Johannesburg, Gauteng, SA.
In Memoriam this week
08/11/1993: Roy Lagerwall, Saxian Trading, Johannesburg, Gauteng, SA. 09/11/2004: Trevor Rink (b. 15/08/1947), Cuthberts/Boyman’s [both closed], Johannesburg, Gauteng, SA.
10/11/2013: Barry Nash (b. 06/09/1952), King Tanning [closed], and Buckman, Port Shepstone, KZN, SA.
12/11/1997: Angus Ogilvie, Ogilvie's Shoes [closed], Pietermaritzburg, KZN, SA.
14/11/1989: Cyril Fletcher (b. 08/02/1930), Edcon, Johannesburg, Gauteng, SA.
Have you let us know about your birthday, or the birthdays of your colleagues? Our readers love this section, so please become part of it. This also applies to the In Memoriam section. Help us remember former colleagues.
Classified Adverts
Surplus leather stock and footwear machines for sale
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Free State & Northern Cape agent
Corvari Footwear seeks an agent for the Free State and Northern Cape to market its Natural Steps and Angels ladies' brands and its Cobbles and Noodles infants' brands. Please reply to business@corvari.co.za, tel 031 700 3234.
Position sought / services offered
Susan van Rooyen
Full time or part time contract
18 years experience with a top end leather goods manufacturer - (Via la Moda)
- Procurement - import & export, production planning and execution.
- Excellent procurement/negotiating skills - (global & local).
- Documentation/permits/customs and CITES systems – experience in submitting and requirements.
- Sourcing new materials/products as per customer requirements/new developments.
- International payments.
- Implementing and control of general and stock systems.
- Accounting up to trial balance - various accounting and stock programmes. (including returns, etc)
- Proficient in Microsoft.
- PA functions.
- Honest, reliable & dedicated.
Please feel free to request my CV/further information.
E-mail: icaregreen@gmail.com
Contact number: +27 072 410 6683
Directory updates this week
Els Agencies, Durban,KZN, SA.
Faulks Footwear, durban, KZN, SA.
Exchange rates
1. SA Rand (ZAR)/Lesotho Loti (LSL)/Namibian Dollar (NAD)/Swazi Lilangeni (SZL)
Source: http://www.x-rates.com/calculator/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/10/16 |
R16.93 |
R20.05 |
R14.59 |
R2.26 |
| 2021/10/23 |
R17.26 |
R20.44 |
R14.83 |
R2.32 |
| 2021/11/01 |
R17.75 |
R20.98 |
R15.34 |
R2.39 |
| 2021/11/07 |
R17.40 |
R20.33 |
R15.05 |
R2.35 |
Note: For previous rates, see HERE
2. Botswana Pula (BWP)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/10/16 |
13.05 |
15.45 |
11.25 |
1.74 |
| 2021/10/23 |
12.98 |
15.36 |
11.15 |
1.74 |
| 2021/11/01 |
13.07 |
15.45 |
11.30 |
1.76 |
| 2021/11/07 |
13.23 |
15.45 |
11.44 |
1.78 |
3. Malawian Kwacha (MWK)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/10/16 |
947.59 |
1121.96 |
816.81 |
126.91 |
| 2021/10/23 |
948.88 |
1122.72 |
815.09 |
127.66 |
| 2021/11/01 |
947.11 |
1119.32 |
818.60 |
127.88 |
| 2021/11/07 |
944.69 |
1103.68 |
817.48 |
127.75 |
4. Zambian Kwacha (ZMW)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/10/16 |
19.68 |
23.29 |
16.96 |
2.63 |
| 2021/10/23 |
19.89 |
23.53 |
17.08 |
2.67 |
| 2021/11/01 |
20.13 |
23.80 |
17.40 |
2.71 |
| 2021/11/07 |
20.18 |
23.58 |
17.47 |
2.73 |
5. Zimbabwean Dollar (ZWL$)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
CNY ¥ |
Official US$ |
| 2021/10/16 |
419.81 |
497.00 |
56.23 |
90.07 |
| 2021/10/23 |
421.30 |
498.49 |
56.68 |
90.08 |
| 2021/11/01 |
418.66 |
494.71 |
56.54 |
97.13 |
| 2021/11/07 |
418.21 |
488.59 |
56.55 |
98.98 |
ABSA Agri Trends: Hides & skins prices
Johannesburg, Gauteng, SA (04 November 2021) - The current average hide price decreased by 8.6% to R4.67/kg from R5.11/kg a week ago. The current price is 27% lower than the average price a month ago and is 98% higher than the average price a year ago. The range of prices reported was as follows: Minimum price: R4.15 Maximum price: R5.80. Please note, we have changed our methodology and price levels are not directly comparable to previous prices that we reported on. Our methodology weighs the prices we collect according to the number of hides they sell in a month. This is done to make it more representative of the prevailing market price. NB* Hide prices are determined by the average of the RMAA (Red Meat Abattoir Association) and independent companies. - Marlene Louw, senior agricultural economist, and Nkhensani Mashimbyi, agricultural economist, Absa group.
| Hide & skin price progression |
| Date |
Hides/Kg |
Dorper/Skin |
Merino Skin |
| 2020/11/06 |
2.36 |
26.00 |
44.00 |
| 2020/11/13 |
2.38 |
23.59 |
40.00 |
| 2020/11/20 |
2.69 |
35.00 |
50.00 |
| 2020/11/27 |
3.08 |
36.00 |
49.00 |
| 2020/12/04 |
3.65 |
34.03 |
49.00 |
| 2020/12/11 |
3.68 |
33.21 |
50.83 |
| 2020/12/18 |
3.93 |
32.59 |
51.67 |
| 2021/12/25 |
4.08 |
34.39 |
51.67 |
| 2021/01/01 |
3.93 |
34.03 |
54.00 |
| 2021/01/08 |
3.88 |
31.43 |
46.43 |
| 2021/01/15 |
4.03 |
31.43 |
46.43 |
| 2021/01/22 |
4.16 |
30.00 |
47.00 |
| 2021/01/29 |
4.04 |
33.05 |
50.83 |
| 2021/02/05 |
3.86 |
31.41 |
45.71 |
| 2021/02/12 |
4.33 |
35.46 |
45.83 |
| 2021/02/19 |
4.29 |
34.49 |
50.00 |
| 2021/02/26 |
4.94 |
34.70 |
47.50 |
| 2021/03/05 |
5.67 |
38.33 |
51.67 |
| 2021/03/12 |
4.80 |
42.50 |
59.17 |
| 2021/03/19 |
4.99 |
35.74 |
52.86 |
| 2021/03/26 |
6.33 |
35.16 |
55.00 |
| 2021/04/02 |
6.50 |
31.83 |
49.00 |
| 2021/04/16 |
8.98 |
37.44 |
50.00 |
| 2021/04/22 |
8.37 |
|
|
| 2021/04/29 |
8.98 |
40.96 |
62.00 |
| 2021/05/06 |
7.56 |
40.96 |
62.00 |
| 2021/05/24 |
7.82 |
40.83 |
61.67 |
| 2021/05/28 |
7.47 |
|
|
| 2021/06/14 |
8.34 |
40.83 |
61.67 |
| 2021/06/24 |
8.31 |
|
|
| 2021/07/02 |
8.25 |
42.21 |
66.00 |
| 2021/07/09 |
9.53 |
46.39 |
64.00 |
| 2021/07/16 |
8.17 |
39.00 |
61.00 |
| 2021/07/23 |
8.44 |
43.33 |
67.50 |
| 2021/07/30 |
7.57 |
39.00 |
61.00 |
| 2021/08/06 |
9.60 |
39.63 |
64.00 |
| 2021/08/12 |
9.93 |
|
|
| 2021/08/23 |
|
41.40 |
64.00 |
| 2021/09/09 |
9.78 |
|
|
| 2021/09/16 |
8.96 |
|
|
| 2021/09/23 |
8.89 |
|
|
| 2021/09/29 |
6.40 |
39.60 |
65.00 |
| 2021/10/07 |
6.27 |
|
|
| 2021/10/11 |
5.68 |
41.00 |
64.00 |
| 2021/10/21 |
5.34 |
45.00 |
64.00 |
| 2021/10/28 |
5.11 |
|
|
| 2021/11/04 |
4.67 |
|
|
Note: For previous prices, see HERE
Have a look at these links
We invite businesses to send us links to websites, Facebook pages and the like which they feel would be of interest to others. The links below are from our database:
Friedman & Cohen, Cape Town, W. Cape, SA. Department store.
Froggie, Durban, KZN, SA. Footwear manufacturer.
Contact us
News & Classifieds: Tony Dickson, +27 (0)31 209 7505, tony@svmag.co.za
Next newsletter: November 15, 2021.
SAFLIA enquiries: Tel 0800SAFLIA * Email info@saflia.co.za * Website http://www.saflia.co.za
Our website www.svmag.co.za
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