S&V Weekly Newsletter Vol.7 No.50, December 13 2021
Please note: Click on any ad to go to the advertiser’s website
The Red List
A message to Government from the leather goods industry:
This IS an emergency
The re-imposition of the travel ban to and from SA by the UK and other states, including most of SA's tourist markets, hurts every part of the leather, footwear and leather goods value chain, but especially those parts created to service the tourist market. That group includes almost all leather goods manufacturers working with ostrich-, crocodile- and hair-on leathers, and their associated retailers.
We asked the Association of SA Manufacturers of Luggage, Handbags & General Goods (ASAM) what the effect has been and is likely to be, and what can be done about it.
Chairperson Hannelie Strauss, with input from her Exco, answered our questions:
Is the South African government doing enough to get this reversed?
We believe that the government is pursuing and exploring available resources and channels to reverse the travel ban.
Do you feel that this ban will be reversed within a short period (say a couple of weeks)?
I hope that it does, but in all likelihood this will not be the case. I foresee that the ban will only be lifted towards the middle to end of January 2022, especially if you consider that the weekly cases of the United Kingdom, France, the United States of America, and Canada remain on the rise. In addition, there are many characteristics of the Omicron variant still unknown, especially on how virulent it is or whether vaccines are effective. Sadly, only 25% of the South African population is fully vaccinated, which could further affect inbound tourism (the United Kingdom is 68% fully vaccinated, with the USA and Canada 60% and 76%, respectively). Nevertheless, we support the government's renewed vaccinations drives and initiatives.
Will your affected members survive this ban?
Larger, more robust companies with the necessary financial resources and resilience, not directly dependent on the tourism industry for their livelihood, will survive with diligent planning and product/services diversification. This does not imply that they will be unaffected and won't experience another significant setback. However, our members manufacturing and supplying exotic leather goods serve a small niche market and are almost entirely dependent on inbound tourists for their turnover. They suffered unimaginable blows in the past 18 months. Lock-down measures paralyzed their business, July unrest and riots in KwaZulu-Natal and Gauteng provinces, Transnet's cyber attack and looming collapse, load-shedding, and rocketing fuel prices. Many will not be able to survive this travel ban and will be forced to shut their doors permanently.
Do you think it seems likely that bans of this nature will become a regular event?
This virus can potentially continue to mutate and create further unique variants that evade immunity, leaving us to conclude that this will become a recurring event. As long as the majority of the world's population remains unvaccinated, this virus will continue to mutate, and according to experts, we are a long way from reaching herd immunity. Therefore, we must ask ourselves if these strict and brutal travel bans are effective and how we could address this more pragmatically.
Is online shopping a realistic alternative for you?
Members of our Association who serve (B2B) corporate clients and promotional houses, manufacture customised and commissioned products and services, thus rendering online shopping an unfeasible option. However, the minority of our members can use online shopping to reach their (B2C) customer base and generate turnover.
How much can domestic tourism make up for this ban?
The Southern African Tourism Services Association reported that the tourism and hospitality sector lost over R1bn for bookings stretching from December 2021 to March 2022. The cancellations was made within 48 hours (26 - 28 November 2021) after the announcement of the travel ban.. Catastrophic for an industry that is already struggling to survive. I cannot foresee that domestic tourism will even be able to begin to cover this massive loss in revenue. We implore the government not to ban inter-provincial travel and not further impose stricter lock-down measures that could negatively affect domestic leisure activities.
What other alternatives can you suggest?
The unemployment rate hit an all-time high, yet employers are inhibited and unwilling to hire unskilled workers due to labour market policies. Moreover, imprudent economic legislation has constrained the economy over the short term and discourages entrepreneurs from reinventing their businesses and the manufacturing landscape. We realise that stimulating economic growth and significant reform in legislation and policies are complicated and require a multidimensional approach. However, our industry must prioritize skills development, re-establish accredited and accessible training facilities, and promote internships and apprenticeships. In addition, the government could expand the employment tax incentive to include more workers for a more extended period. Companies must acclimate to the post-pandemic landscape and its new realities to keep our doors open, but we are exhausted and depleted of all resources to do so. The obstacles and setbacks keep stacking up: Eskom, Transnet, COVID-19, vaccination policies and health protocols, TERS-funding (or lack thereof), rampant corruption and mismanagement of funds, violence, unrest, and infrastructure on the verge of collapse. We are running out of alternatives at an alarming rate.
'We feel their pain'
Cape Town, W. Cape, SA – The SA Government seems to be taking a more sensible approach to dealing with Covid without unnecessary lockdowns, said Jason Wilkins, Gauteng agent for stitchdown footwear manufacturer Freestyle. "I'm appalled at what other countries have done," he said.
"We're not overexposed to retailers who specialise in the tourist industry, but these are nonetheless people we've been dealing with for 20-odd years. We feel their pain."
The SLTC
In cost-saving mode, and hoping for a 2022 convention
Yet another casualty of Covid restrictions has been the Society of Leather Technicians & Chemists (SLTC) annual convention, which has been postponed 2 years running. Last Wednesday, members of the SLTC (Southern African Section) received an email from Pat Potter, secretary of the parent body in the UK, which read, in part: "Dear SLTC members of the South African section, I’m sorry to have to tell you that due to financial difficulties the SA committee is unable to collect your membership fees for 2022. It is hoped that if the SA 2022 Conference goes ahead things will improve and the SA section will be viable once more. In the meantime I’m afraid you will have to deal directly with me."
The same day, SLTC (SA Section) president Björn Jönsson explained to member via email that although the situation is bad, the society has not closed down:
Pat’s recent email has caused some confusion.
To set the record straight, the SLTC SA paid a deposit of R55 000 to secure the Green Leaves Venue for the convention in 2020, which normally is paid back after the convention. However, as you know, due to Covid-19, the convention was postponed on that occasion. The funds that would have been recuperated from the convention would then have been used to pay the SLTC main body membership fees from the SLTC SA South African account.
The Green Leaves Venue deposit was non-refundable, but can be used as a voucher, when new dates are finalised.
The SLTC SA also paid for the air ticket for our overseas guest speaker (R10 000). This tied up funds which should have been used to pay the SLTC UK.
Our SLTC SA account is therefore low and a decision was made by the committee to cut costs during Covid-19 and stop paying secretary Nicky Phipp's salary.
We asked the SLTC UK to help us by subsidising Nicky's salary (£160) however they declined, and therefore SLTC UK will have to ensure that the collection of the membership fees are paid directly to the SLTC UK which Nicky used to do on their behalf.
If we can hold a convention in May 2022, we will recuperate the deposit and possibly make slightly more from sponsorships, which will pay for the outstanding fees from 2020 and help to pay Nicky and get the SLTC SA back on track financially, but until then we are in cost cutting mode.
The SLTC UK has been paid for the fees for 2021 and has given the SLTC SA time to recuperate the funds when and if we are able to hold a convention in 2022.
Death Notice Martin Heise, age 59, friend and colleague, passed away peacefully on 09 December 2021 after a long fight against cancer. Martin is well known, worldwide, for his knowledge and experience in the leather tanning industry. A graduate of Reutlingen Tanning Institute, after years of working in tanneries he then worked for Röhm, Trumpler and Smit & Zoon selling tanning chemicals. He was well liked for his friendliness, hard work, honesty, sense of humour and loyalty to customer and employers. He spent many hours, night and day, in the non-glamorous side of wet end tanning, the beamhouse, waiting for trials to complete in tanneries around Southern Africa. The industry has lost a good man. Our thoughts and condolences are with his wife Anke. Rest In Peace. - Robin Teifel, Harry E. Teifel & Associates, Simon's Town, W. Cape, SA.
In case you missed it!
The latest issue of S&V Protect Magazine
S&V PROTECT MAGAZINE VOL15 NO4 FOURTH QUARTER 2021
IN THIS ISSUE:
03 Bullet Resistant Vests
- The fourth in a series of articles by Deon du Plessis, MD of Bullet Proofing Technology, in which he discusses the threat levels faced in South Africa, and how that should influence the purchaser's choice in selecting BRVs.
09 Safety Footwear
- There are no easy answers to the problems of supply from the Far East, writes Nick Bryant of ProFit Safety Footwear, and everyone has to adjust.
- BBF's Lemaitre brand expands into new terrains.
10 Work Wear
- Sweet-Orr & Lybro marks its 90th anniversary in SA by exporting to the country where it originated.
12 Standards Compliance
- ISO 40001: Integrating international health and safety standards saves money and minimises risks, writes Louise Woodburn of KBC Risk Solutions.
- Disability friendly buildings: "It's easier than you think," writes André Michau of Afroteq Advisory.
14 Biocides
- Microban International announces a new range of antiviral technologies.
- AATCC test method TM211-2021: "A breakthrough method for evaluating odour control capabilities in the textile industry."
- Sanitized Puretec technology delivers antimicrobial performance for all fibre types.
16 Environmental Protection
- Nestlé announces industry-first pilot that reduces carbon dioxide emissions and recycles wastewater.
17 Legal Issues
- SARS tackles non-compliant PPE companies that benefitted from tenders.
- Western Cape healthcare products distributor agrees to pay penalty for alleged cartel conduct.
18 Workplace Injuries
- "Dysfunctional" Compensation Fund slammed for attempt to cut third party administrators from payment process.
20 Innovations - The Fraunhofer-Gesellschaft
- Medical Engineering: The 'Hearable' aims to improve collaboration between people and machines.
- Biotechnology: Stem cells from the bioreactor.
- Filter solutions for high technology processes: Clean air at all times.
29 Buyers' Guide
- What's on offer.
Advertisers in this Issue
BBF Safety Group/Lemaitre (OFC), BBF Safety Group/Lemaitre Urban (02), ProFit Safety Footwear (08), Rebel SafetyGear (06), Selective International Footwear/Kaliber (04.
CLICK HERE TO VIEW IT ONLINE
They Said It
"Rabin has just acquired a brand new 1971 VW Beetle, and I am pretty sure this is the reason you couldn’t get a hold of him." - Rajesh Raghunandan, Sew Solutions, Cape Town, W. Cape, SA, on his colleague, Rabin Nagesar. The story is true: A VW Beetle, with the original purchase documents (total price for a brand new car, R2000 and some change), ONE woman owner, used to go shopping once a 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
13/12/1959: Kersie Govender, CK Shoes, Pietermaritzburg.
13/12/1960: Ebrahim Sonpra, Sonpra’s Warehouse, Pietersburg/Polokwane.
14/12/1953: Rachmat Thomas, retired, formerly Chic Shoe Manufacturers [closed], Cape Town.
14/12/1957: Paul Henshaw, Puma, Cape Town.
14/12/1988: Lu Fraser, Claw Boot International, Johannesburg.
15/12/1973: Charl Lucas, Springbok Skoeisel, Springbok.
15/12/1975: Sabrina van Rooyen, Van Hobs Dry Cleaners, Pretoria.
15/12/1983: David Fox, Good Hope Sales, Cape Town.
16/12/1939: Danny Pincus, agent, Johannesburg.
17/12/1972: Iqbal Abdulla, Studio 88, Johannesburg.
18/12/1978: Hassive Magaña Maya, Spanish Commercial Office, Johannesburg.
18/12/1952: Piet Neethling, retired, formerly Camdeboo Meat Processors, Graaff-Reinet.
19/12/1959: Yegan Pillai, left the industry, formerly Michelle Footwear, Durban.
19/12/1944: Hoosen Patel, Spectrum group, Durban.
In Memoriam this week
14/12/2016: Allan Capell, (b. 01/07/1932), Capelli [closed], Durban, KZN, SA.
14/12/2016: Raman Merchant (b. 02/06/1929), Merchant’s Outfitters, Port Elizabeth.
18/12/2003: Ben Stoltzman(b. 03.05/1933), Vogue Shoes/Sportshoe SA [closed], Cape Town.
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.
Directory updates this week
Association of SA Manufacturers of Luggage, Handbags & General Goods, Johannesburg, Gauteng, SA.
Cape Karoo International, Mossel Bay/Oudtshoorn, W. Cape, SA.
Horwitz, Bevin, Pretoria, Gauteng, SA.
NB Agencies, Bloemfontein, Free State, SA.
Northcliff Orthopaedic Centre, Johannesburg, Gauteng, 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 ¥ |
| 2021/11/21 |
R17.76 |
R21.17 |
R15.74 |
R2.46 |
| 2021/11/29 |
R18.19 |
R21.52 |
R16.12 |
R2.52 |
| 2021/12/05 |
R18.20 |
R21.30 |
R16.09 |
R2.52 |
| 2021/12/12 |
R18.07 |
R21.18 |
R15.96 |
R2.50 |
Note: For previous rates, see HERE
2. Botswana Pula (BWP)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/11/21 |
13.11 |
15.62 |
11.62 |
1.82 |
| 2021/11/29 |
13.21 |
15.62 |
11.71 |
1.83 |
| 2021/12/05 |
13.29 |
15.54 |
11.74 |
1.84 |
| 2021/12/12 |
13.26 |
15.55 |
11.72 |
1.84 |
3. Malawian Kwacha (MWK)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/11/21 |
923.23 |
1100.15 |
818.32 |
128.12 |
| 2021/11/29 |
920.46 |
1088.54 |
815.76 |
127.86 |
| 2021/12/05 |
925.53 |
1082.78 |
818.22 |
128.32 |
| 2021/12/12 |
928.33 |
1088.45 |
820.39 |
128.79 |
4. Zambian Kwacha (ZMW)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
US $ |
CNY ¥ |
| 2021/11/21 |
19.96 |
23.79 |
17.69 |
2.77 |
| 2021/11/29 |
20.07 |
23.74 |
17.79 |
2.78 |
| 2021/12/05 |
20.25 |
23.70 |
17.91 |
2.80 |
| 2021/12/12 |
18.33 |
21.49 |
16.19 |
2.54 |
5. Zimbabwean Dollar (ZWL$)
Source: https://www.xe.com/currencyconverter/
| |
Euro € |
GBP £ |
CNY ¥ |
Official US$ |
| 2021/11/21 |
408.29 |
486.53 |
56.66 |
Not available |
| 2021/11/29 |
408.26 |
482.79 |
56.71 |
105.66 |
| 2021/12/05 |
409.36 |
478.92 |
56.75 |
105.68 |
| 2021/12/12 |
409.51 |
480.14 |
56.81 |
108.66 |
ABSA Agri Trends: Hides & skins prices
Johannesburg, Gauteng, SA (09 December 2021) - The current average hide price increased by 1.5% to R5.30/kg from R5.20kg a week ago. The current price is 13% higher than the average price a month ago and is 43.4% higher than the average price a year ago. The range of prices reported was as follows: Minimum price: R4.83
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.
| (08 December 2021) |
Dorper skin |
Merino skin |
| |
(R/skin) |
(R/skin) |
| Price |
R38.75 |
R65.00 |
| w/w |
-10.9% |
0.0% |
| m/m |
-13.9% |
1.6% |
| y/y |
7.6% |
32.7% |
| 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 |
45.00 |
64.00 |
| 2021/11/04 |
4.67 |
40.29 |
64.00 |
| 2021/11/11 |
4.64 |
39.50 |
65.00 |
| 2021/11/18 |
4.63 |
39.50 |
65.00 |
| 2021/11/25 |
5.00 |
43.49 |
65.00 |
| 2021/12/01 |
5.20 |
38.75 |
65.00 |
| 2021/12/08 |
5.30 |
38.75 |
65.00 |
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:
GA Creative Brands, Johannesburg, Gauteng, SA. Clothing and footwear distributor.
Gaby's Funky Fashion, Pretoria, Gauteng, SA. Men's and women's fashion apparel retailer.
Contact us
News & Classifieds: Tony Dickson, +27 (0)31 209 7505, tony@svmag.co.za
Next newsletter: December 20, 2021.
SAFLIA enquiries: Tel 0800SAFLIA * Email info@saflia.co.za * Website http://www.saflia.co.za
Our website www.svmag.co.za
|
