This Accelerator Boosts Clothing, Footwear and Leather Industry

Inspiring opportunities are available in South Africa’s Clothing, Textile, Footwear and Leather sector (CTFL). In response to the unpredictability of international supply chains, there needs to be an emphasis on local production.

According to the KwaZulu-Natal Clothing and Textile Cluster (KZNCTC), a 2024 industry analysis indicated that South African retailers are placing more efforts into domestic sourcing. In fact, localisation in the CTFL sector has grown by 58% since 2019. A huge contributor to this is that the big five retailers are all signatories of the Retail-Clothing, Textile, Footwear and Leather (R-CTFL) Master Plan.

“It’s not often you hear about Woolworths, Mr Price, TFG, and Pepkor Speciality in the same sentence,” says Kyle Ballard, Head of SME Development for the KwaZulu-Natal Clothing and Textile Cluster. “but when it comes to driving transformation in South Africa’s CTFL economy, they’re united by a shared goal.”

The Retail-Clothing Textile Footwear and Leather (R-CTFL) Masterplan is a national strategy that has set out ambitious targets to increase local sourcing in the sector to 65% by 2030. “The vision of the masterplan is to develop a competitive, sustainable and dynamic R-CTFL value chain that provides its customers with compelling products and that is invested in growing employment and advancing inclusion and transformation,” Ballard says. “The masterplan signatories, a coalition of stakeholders including government representatives, labour unions, major retailers and manufacturers, are committed to the localisation and transformation of the sector.”

KZNCTC Accelerator Overview

KZNCTC Accelerator was developed in response to this opportunity. The motivation for its development was to help SMEs connect with these major retailers.

“Qualifying SMMEs will be equipped with practical training and resources to develop and deliver a compelling business pitch to customers. Selected SMMEs will have the unique opportunity to pitch their business offering to a panel of leading customers (made up of Woolworths, Mr Price Sport & Apparel, TFG and Pepkor Speciality) to unlock significant sales opportunities with these customers,” Ballard explains. “Successful applicants will also have ongoing support to unlock the identified commercial opportunities and receive expert coaching to scale their business.”

The SME Accelerator focuses on building sustainable relationships by fostering long-term collaboration between retailers and high-potential local manufacturers. “The programme prioritises continuous engagement, capacity-building, and competitiveness upgrading to align SMEs with market needs. By actively linking retailers with SMEs and supporting their growth, the Accelerator helps establish trust-based partnerships that drive systemic, lasting change in local sourcing,” he adds.

Proven Success Through the KZNCTC Accelerator

The Accelerator was first launched three years ago, and it is still going strong. It is supported by the eThekwini Municipality’s Economic Development Programmes Unit and demonstrates its effectiveness over and over. “It is a practical and proven platform helping small manufacturers with market access, standards upgrading and capital investment interventions to scale their business.”

Since 2019, the Accelerator has had the following impact across the CTFL, furniture, chemicals and automotive sectors:

• 170+ SMEs supported
• 120+ new commercial partnerships secured between big and small businesses
• Over R 169 million in new commercial opportunities unlocked in the first year of these opportunities being identified
• More than 1070 new jobs created
• For every R1 invested in the Accelerator, R4 in commercial opportunities has been created annually
• 20 corporate B-BBEE scorecards optimised annually

Applications for 2025 are currently open, and they will be closing soon on the 14th of April.

This year’s participating retailers are seeking suppliers with specific capabilities in:

• Ladies’ and men’s outerwear
• Babywear
• Legwear and hosiery
• Leather goods and accessories
• Grass bag and accessory suppliers
• Technical sports shoes
• Denim

Small businesses in the CTFL sector that meet the following criteria should consider applying:

• A South African-owned manufacturing business
• 51% or more Black-owned
• Have an annual turnover of R50 million or less
• Are CIPC registered, tax compliant, and have been operating for at least 2 years
• Ready to offer products or services to large retail customers and scale your business

Don’t miss your chance to join the opportunity of a lifetime. Apply before 14 April.