Sbh Plans Export Expansion

August 7, 2002

Cape Town, South Africa - Sbh Cotton Mills began life 52 years ago in the hands of Austria-based owners, Salzburgh, Brunschweiller and Hammerle.

With the exception of Hammerle, it remains in the same family hands today.

Brunschweiller and Hammerle are also still actively producing finished textiles in their local Austrian market. Sbh offers a 75 color, 100 percent cotton slub sateen line for export to Australia, new Zealand, U.K., France, Holland, Belgium, Austria and Italy and plans to expand export sales due to lower currency prices. The company would also like to have an agent in the U.S.A.

"Export prices have halved in terms of the South African rand, but cotton is purchased in dollars; chemical are purchased in Swiss francs," said Jeff Vosges, national sales manager for Sbh. "The only real cost savings is in the local labor component," he added. "We know the rand has gone to hell but we''d really prefer a stable, lower rand. We can''t compete against China."

There is still an 8.4 percent duty on fabrics shipped to Europe and the U.S.A., but these duties are expected to disappear zero by 2004.

Vosges said the company offers quality and stock support and six-week delivery to Europe. F&FI


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