AN INDUSTRY-wide strike that was the bloodiest in Swaziland in ten years and disrupted operations for textile firms and road and rail transport was likely to conclude as this issue went to press, with an agreement between unions and management imminent. Government intervention two months ago led to the suspension of strike activity which began in March. While workers say they are unhappy with the new agreement’s 10% wage increment – the unions wanted 12% to keep up with inflation – they say they will welcome travel and housing allowances new to this year’s contract. Meanwhile, Swazi textile firms say they are hurting from high road transportation costs and will seek to source inputs locally wherever possible. “One firm is already making fabric on site rather than importing from China, and others will follow suit or locate a local subcontractor,” an industry source said. However, exporting finished products will remain a road and rail transport necessity, increasingly to the EU via Durban. The Swaziland Textile Association (STA) reported cancelled orders from the US resulting from the workers’ strike, but jobs from the US were already off. US demand for imported textiles is down by 40% from a year ago. “The EU gives us preferential trade with a stable tariff. We believe it is a worthwhile market,” said STA chairman John Sheng Neng Fan.
