SA Clothing Retailers Seek an Alternative to China

South African Retailers looking for the competitive edge are turning to other low-cost-producing countries since the quotas on 200 items of Chinese textiles and clothing were implemented on January 1. 

Manufacturers have also begun importing because manufacturing is not economically viable. They want to supplement ranges and keep prices competitive. 

The government implemented the quotas in a bid to resuscitate South Africa's clothing manufacturers, which had been hard hit by cheaper Chinese imports.

Fashion retailer Foschini said it had raised imports from the Far East except China after the implementation of quotas. Financial director Ronnie Stein said the company had increased imports from countries such as Bangladesh and Vietnam and had started sourcing more items in South Africa. But he added that prior to the quotas, Chinese imports made up 1 million garments out of 30 million sold by the retailer each year. 

Len Smart, the executive director of the Natal Clothing Manufacturers' Association, pointed out that the restraints were on 30 percent of imports from China. "A lot of my members will probably turn to Botswana, Lesotho, Namibia and Swaziland to buy garments or will put their own factories there. Others have spent the last three months frantically visiting other low-cost producing countries."

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