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South Africa’s Retail Giants Commit to Major Local Sourcing Boost Under New Textile Masterplan

South Africa’s leading clothing retailers have pledged to purchase an additional 85 million units of locally manufactured apparel, footwear and leather goods over the coming years — a decisive move aimed at revitalising the national textile and clothing industry. This commitment is expected to raise domestic procurement from the current 44% to 65% by 2030, marking one of the most significant retail shifts in decades.

A National Drive to Rebuild South Africa’s Textile and Apparel Value Chain

The announcement was made at the South Africa Investment Conference in Sandton, where a comprehensive master plan for the CTFL (Clothing, Textile, Footwear and Leather) sector was officially signed. Key stakeholders included the government, national labour unions, and major retail groups such as Foschini Group, Pepkor, Edcon, Mr Price, and Woolworths.

South Africa’s textile and clothing sector has endured severe job losses over the past three decades, with approximately 120,000 jobs lost since the tariff reductions of the 1990s. Today, the industry employs roughly 95,000 workers and contributes 2.9% to the country’s GDP. Meanwhile, more than 60% of all apparel, footwear and leather goods sold domestically are currently imported, placing further pressure on local manufacturers.

Under the new masterplan, the government has committed to stronger enforcement efforts, including decisive action against illegal imports and under-invoicing, which have long undermined fair competition. Labour unions have agreed to employment-related adjustments designed to help improve efficiency and competitiveness within the sector.

Manufacturers, in turn, have pledged R6.8 billion in new investments over the next five years — a substantial contribution to the R370 billion in total investment commitments announced during the conference. These efforts align with President Cyril Ramaphosa’s national goal of securing R1.2 trillion in investment over the next five years to drive industrial growth and job creation.

According to the Department of Trade, Industry and Competition (DTIC), the rollout of the textile masterplan could generate 120,000 additional jobs across the value chain, with at least 70,000 new positions expected in manufacturing alone.

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