World

Footwear imports pressure South African manufacturers

Dec 13, 2024 South Africa

South Africa's footwear imports surged by nearly 35% this year, while local production fell by 15%, prompting SAFLIA and unions to seek solutions to the challenges faced by local manufacturers

The Southern African Footwear & Leather Industries Association (SAFLIA) has reported a significant decline in local footwear production and a sharp rise in imports in South Africa.

From January to August 2024, local production decreased by 15%, while imports rose by nearly 35%, with 114.7 million pairs brought into the country compared to 85.3 million in the same period of 2023. Despite this increase, the average price per imported pair fell slightly.

According to SAFLIA’s Executive Director, Jirka Vym?tal, while retailers often cite factors like responsiveness to trends and quick sampling as reasons for imports, pricing remains the primary driver. Efforts are underway between SAFLIA and unions to address these pricing concerns, with discussions on a special dispensation nearing finalisation.

The pressure from cheaper imports has presented a challenge for South African manufacturers, who face difficulties competing on cost. Nonetheless, SAFLIA anticipates some improvement in local production leading up to December, driven by seasonal demand.

In contrast to the decline in domestic production, South Africa’s footwear export value has shown robust growth. According to the UN Comtrade database, exports increased by 80% in 2024, with August alone seeing an 85% year-on-year rise in value compared to the period in 2023.

South African Footwear Industry

According to the World Footwear Yearbook 2024 (more information available HERE), the country primarily sources imports from Asia and exports to regional neighbours, such as Namibia and Botswana.

Image Credits: Elijah Gaunt on Unsplash

South Africa Exports Imports Organisations Production