South Africa’s eThekwini Municipality, which includes Durban and surrounding towns, is planning to invest more than 12 million rand over the next three years in the clothing and textile industry to boost the sector.
The municipality will sign a memorandum of understanding with the KwaZulu-Natal (KZN) Clothing and Textile Cluster, a non-profit organisation.
In a report on the issue, the city said it is mandated to support industry clusters to encourage participatory economic activities, thereby enabling local industry to stabilise and grow the gross domestic product of the eThekwini region.
It said the clothing and textile industry is the largest employer in eThekwini and the sector remains critical to the growth of the city’s economy, according to an independent news and information website in the country.
“The KZN Clothing and Textile Cluster is a necessary vehicle to strengthen the industry and collectively drive greater efficiencies and economies of scale that will make the sector more competitive; and to create more jobs and protect the local rates base,” the government report said.
The city will disburse funds to the KZN Clothing and Textile Cluster amounting to R4.2 million for fiscal 2020-21, R4.5m for fiscal 2022-23 and R4.8m for 2023-24.