Government procurement has the potential to be a powerful driver of South African manufacturing. But for furniture manufacturers to benefit, buying local needs to translate into real orders placed with legitimate local producers.
SAFI has made submissions on the draft regulations to the Public Procurement Act, supporting the principle of preferential local procurement while calling for changes that would ensure the regulations deliver meaningful benefits for domestic manufacturers. SAFI submitted both a joint submission with Southern African Clothing and Textile Workers’ Union (SACTWU) and its own separate submission to National Treasury.
“Local procurement should ultimately support the businesses that are investing in factories, equipment, skills and jobs here in South Africa,” says Greg Boulle, CEO of SAFI. “If procurement does not reach genuine manufacturers, we lose an important opportunity to build domestic capacity.”
Greater transparency, fairer access
Transparency is a major concern. SAFI’s submission argues that a lack of transparency in government procurement has undermined fair competition, sometimes favouring intermediaries or suppliers without the necessary manufacturing capacity or experience. The result is underutilised local manufacturing capacity and fewer opportunities for businesses to scale and create employment.
“For our members, this is about having a fair opportunity to compete,” says Boulle. “South Africa has furniture manufacturers capable of supplying the market. Procurement should recognise and utilise that capacity.”
SAFI is therefore calling for furniture categories to be clearly designated within strategic procurement, local manufacturing requirements to be included in procurement wording and all RFQs to be openly advertised on the Tender portal. It has also recommended greater transparency around framework agreements, sole-supplier processes and contract management.
For SAFI members, finding relevant opportunities is already easier. Members can access furniture-related tenders in one place via the SAFI website, helping manufacturers identify and respond to procurement opportunities relevant to their businesses.
Supporting manufacturers of all sizes
This is particularly important in a sector dominated by small and medium-sized manufacturers, many of them family-owned businesses. SAFI has cautioned that aspects of the proposed regulations risk excluding much of the furniture manufacturing sector, potentially working against wider re-industrialisation and job-creation objectives.
“We need procurement rules that recognise the structure of our industry,” says Boulle. “Localisation should create opportunities for capable South African manufacturers of different sizes to participate and grow.”
SAFI is also pushing for the designation of furniture products for local production and content to be implemented without further delay. This, it argues, would complement broader efforts to address illicit and under-declared imports.
“For manufacturers, procurement is not simply a policy discussion,” concludes Boulle. “It affects production volumes, investment decisions and employment. Getting these regulations right can help turn public-sector purchasing power into genuine support for South African manufacturing.”
