‘Lesotho market has now stabilised’

JOY ORLEK THE TEXTILE market has now stabilised, with the smaller textile companies having closed and the larger ones, with great support from their head offices in Taiwan, having successfully maintained their market share or diversified in the manufacture of their product. This is the view of Hilary Woelk of Maseru-based logistics operator Kayhil Freight, which offers an overnight freight/courier service from Bloemfontein, Durban and Johannesburg to Maseru. The company is responsible for the movement of 90% of all raw cotton into Lesotho, bonded and unbonded. “Our involvement in the textile industry commenced in 2004 and we enhanced the service this year by incorporating a customs clearance department,” Woelk told FTW. “Our customers wanted a comprehensive service and we responded by creating a one stop shop.” The diversified company is not however reliant on the textile industry. “We have therefore not been adversely affected by the fall off in the market. We have managed to maintain our existing market share in this sphere, though that is a comparably small segment when we consider some of our competitors in that sector.” In terms of outlook, Woelk believes 2006 will be challenging. “Lesotho has had a difficult year in that the main revenue generator, textiles, has had a dreadful time. “This has meant that other methods of revenue generation needed to be implemented post haste. To date this has not been done and there’s still a reliance on textiles.” Woelk predicts that economic growth will be minimal and to survive companies will have to provide a better service, and be priced competitively. “We offer a same day service to Maseru from Johannesburg and Bloemfontein which to the best of our knowledge is not being offered by any other operator,” Woelk added.