Diversified UPS weathers the fall-off Dirk Swanepoel … Lesotho particularly hard-hit. JOY ORLEK “WHAT TEXTILE industry?” was the comment from one of the forwarders approached for input on the state of this sector. And it’s a view echoed by all players. Forwarding manager of UPS Supply Chain Solutions, Dirk Swanepoel, estimates a 60-70% drop in volumes handled compared with last year. “The bulk of orders are now being placed with Far East rather than South African suppliers and unless there is some change in the quota system, this is unlikely to change,” he said. UPS deals with manufacturers in the whole region, including Swaziland, Lesotho, Namibia, Botswana and South Africa. Lesotho has been particularly hard-hit, says Swanepoel, with factories closing as exports dry up. “The domestic market is not big enough for the volumes they were producing,” he added. And although this was an important part of the UPS portfolio, the diversified nature of the company’s business – from pharmaceuticals to aeronautical equipment - has enabled it to weather the fall-off. Smaller agents, whose lifeblood has been the textile industry, have however not been so fortunate.
