SECTOR STRATEGY

1.1 BACKGROUND

In consultation with key Sector stakeholders SAMC has developed an understanding of the challenges currently facing the Sector, which are the following:

• An underdeveloped Value Chain that contains critical gaps
• Market perceptions that view mohair as a scratchy fibre
• Sector data to support informed decision making
• Innovation taking place that explores different applications for mohair
• Succession planning taking place within the Sector resulting in transfer of skills and opportunities
• Participation and interest from BBBEE representatives
• Capability and capacity challenges at various points of the Value Chain
• Stakeholders in the manufacturing aspect of the Value Chain with major challenges such as high labour
and machinery costs, as well as product design and development
• The challenges farmers face in terms of mohair production as a result of environmental challenges
(drought) and the intensity of this type of farming
• The current lack of confidence in South Africa as an ethical supplier of mohair

SOUTH AFRICA IS A SIGNIFICANT GLOBAL PLAYER…

…recognised for quality production of mohair and this Sector represents tremendous experience, knowledge, skill and passion.

The VISION is an effective Cluster with willing Participants best placed to drive the greatest impact on the Sector in terms of the volume of mohair being produced, converted and value add products manufactured in South Africa.

A clear focus to ensure that the challenges that exist are carefully considered, and plans developed and executed to overcome. Through this process, it is the intention to achieve improvements to the Sector’s economic position and competitiveness – targeting greater South African participation within the global economy.

1.1 YEAR 2 (1 APRIL 2018 – 31 MARCH 2019) TOP LEVEL INTERVENTIONS

The 10 Interventions defined for Year 2 to address the identified challenges have been outlined below.

MEASURE TO MANAGE
PARTICIPANTS & BUSINESS PROCESS DEVELOPMENT
VALUE CHAIN DEVELOPMENT
MARKET DEVELOPMENT PROGRAMME
COMMERCIAL ENABLING NETWORK
CONSUMER RESEARCH PROGRAMME SOUTH AFRICA
INNOVATION
BBBEE TRANSFORMATION
TECHNOLOGY DEMONSTRATION & SUSTAINABILITY PROGRAMME
ETHICALITY EDUCATION PROGRAMME

1.3 CURRENT LANDSCAPE SWOT ANALYSIS

The learnings taken from the analysis of the current landscape have been categorised into a SWOT analysis (Strength, Weakness, Threat or Opportunity) framework

STRENGTHS

1. South Africa is a significant global player known for its quality mohair
2. The Mohair Industry in South Africa boasts decades of experience, knowledge and skill
3. The Clothing Textile Competitiveness Programme (CTCP) and specifically, the Competitiveness Improvement Programme (CIP) aimed at
providing significant support to the Sector
4. Brokers provide critical services and support to the industry

OPPORTUNITIES

1. Innovation in Angora goat farming must be investigated to overcome challenges identified
2. Expanding and improving existing and potential manufacturers capacity and capability to achieve a more holistic value chain outcome
3. Inspire design and innovation within both existing and potential applications to remain relevant and to reinvigorate market perception
4. Foster market development and drive local
demand through product innovation, improved accessibility and promotion
5. Create systems and real fact-based information to address the lack of data relative to the Sector’s performance
6. Support more BBBEE representation

WEAKNESSES & THREATS

1. The existing value chain is underdeveloped, with several links missing
2. Recognition of mohair in product form is limited and perceptions are largely based upon the perceived scratchiness of Mohair
3. The Sector has not been effectively measured, resulting in an inability to
successfully manage future improvements or growth and establishing KPI’s
4. Innovation within the Sector has been limited both within existing and new product applications
5. There is limited interest from younger generations or BBBEE representatives to pursue careers or business opportunities in natural fibres and mohair specifically
6. The manufacturing landscape presents numerous challenges ranging from raw material price, labour costs to outdated machinery and low prioritisation of design and styling of products
7. Angora goat farmers are faced with a number of challenges – particularly as a result of environmental factors