Johannesburg - To understand how it is that black businesses lose their intellectual property and virtually sign their livelihood away with their eyes wide open is a thing of mystery.
The Shosholoza trademark is the brainchild of George Moyo Ngoya, a renowned entrepreneur born in Alexandra, just north of Joburg.
It was Moyo who was instrumental in protecting the Nelson Mandela name from unscrupulous business interests that were bent on making a killing from his name, including his prison number, 466/64.
He helped to trademark Mandela’s name against sharks who wanted to exploit it for personal commercial gain.
It is not clear how the self-same shrewd businessman could then be caught napping, failing to close all the loopholes in securing his intellectual property.
His daughter, Busi Maile, who works in her father’s business says: “Shosholoza was inspired by the all-encompassing wave of South Africa's democracy and liberation in 1994. In 1995, my father launched the Shosholoza trademark clothing range with Woolworth’s and it became the first black-owned local brand in a major retailer. After more than two decades, the brand continues to deliver.”
“The ethos of the brand, inherent in the meaning of 'Shosholoza, is anchored on perseverance and forging forward, despite whatever obstacles one may be faced with. It is the song sung by labourers working on the railway tracks and sportsmen and women in the fields of play.”
Maile, in fact, puts it aptly when she says of Shosholoza: “This is the official South African war cry that reminds us that we are stronger than we think and that we can overcome and win. It is what enables the nation to push forward, exert itself in order to win”.
“In line with this vision,” Maile adds, “the brand has established a firm footing in South Africa's mining industry with manufacturing partners Neptun, based in KwaZulu/Natal, who were awarded the license rights for a set period by Moyo to manufacture the mining boot. And they have done exceptionally well, so much so that the boot has been an international sensation. Neptun's partnership with Moyo is a demonstration of collaborative transformation in motion.”
Shosholoza which earlier last year went into Jet Stores with such merchandise as jeans and T-shirts, is a brand that has taken Moyo many years of hard work to build.
He should have been guarding it with the same vigilance displayed in keeping Mandela’s name away from the greedy.
“Launching soon is the Shosholoza soccer boot on the 28th August, with soccer boots named after the likes of Shakes Kungwane, paying homage to South Africa legends,” Maile says.
The late Isaac Shakes Kungwane was a Kaizer Chiefs and Bafana Bafana midfielder.
He also hailed from Alexandra.
Maile says the soccer boot is a worthy gift to those players who “give their all on the field”.
But the manufacturers have another take on their business relationship with Moyo.
Jonathan Robb, who heads Shezi Industrial Holdings (Pty) Ltd, trading as Neptun Boot, says curtly: “Please note that Shosholoza has no ownership over Neptun Boot or any of our products, even the heavy-duty mining boot branded Shosholoza under licence to the Shosholoza Brand Custodians. This boot was developed by Neptun Boot before George Moyo came on the scene and he had no influence whatsoever in the design or development of the product.”
“More than that, I would prefer not to comment.”
Asked why the mining boot, which should rightly be called the Shosholoza boot is instead known as the Neptun Boot, the normally ebullient Moyo was downcast, saying: “Neptun are the manufacturers, that is why they use that Neptun all the time. It is not right but that is what it is...it should be emphasized, however, that they are licensees, and they pay royalties for the use of the Shosholoza trademark from me, the Shosholoza Brand Custodian.”
It is no doubt a business relationship that does not smell of roses but Moyo seems to have signed up for it, for better or worse.
There is help available for black business owners in Moyo’s position, according to the Department of Trade, Industry and Competition.
Dr Jaywant Irkhede, Director: Leather & Footwear, Industrial Competitiveness and Growth Branch (IC&G): Textile, Clothing, Leather & Footwear at the DTIC, makes the following points about the New Clothing Textile Footwear Leather Growth Programme (CTFLGP 2021-22):
As the impact of the Covid-19 and July 2021 unrest started settling down the DTIC reviewed the economic conditions prevailing and launched New Clothing Textile Footwear Leather Growth Programme (CTFLGP 2021-22) aimed at growing employment, improve overall competitiveness and to grow the clothing, textiles, footwear, leather and leather goods manufacturing industries. On behalf of the DTIC the CTFLGP is administered by IDC through the CTFLGP Desk (“Desk”).
The Participation Programme: This Programme is intended to be a catalyst for Industry to achieve the aims of the R-CTFL Masterplan.
The incentive will support job growth, industry output, enhance the sector’s competitiveness, promote inclusivity and transformation, encourage industrial development and innovation while adjusting to technological disruptions.
Criteria to qualify:
Qualifying products should undergo a value adding manufacturing process and form part of one or more of the following processes:
Clothing manufacturing.
Textile manufacturing.
Cut, Make and Trim (CMT) operators in the manufacturing processes mentioned.
Footwear manufacturing.
Leather goods manufacturing, and
Leather processing (specifically for the Leather Goods and Footwear Industries and automotive leather industry).
All CTFL manufacturers who comply with income tax, National Bargaining Council and Environmental Regulations compliances qualify to apply for CTFLGP funding support. The CTFL manufacturers not compliant with Bargaining Council regulation but willing to work towards the compliance may also apply.
Programme A: Competitiveness Improvement
Maximum support of R 20 million / application with 50% grants and 50% Interest-Free Term Loan with 5 years term including maximum 24 month capital moratorium.
Grant portion: Initially 25% of funding as grant. At the end of capital moratorium, on achieving targets set at application, further 25% convertible to a grant. Subordination of loans to stabilise the balance sheet if required.
Programme B: Expansionary Working Capital
Maximum support of R 10 million / application Interest Free Term Loan with 5 years term including maximum 12 month capital moratorium. Subordination of loans to stabilise balance sheet if required
Programme C: Start Up Funding
Maximum support of R 5 million / application with 75% grants and 25% Interest Free
Term Loan for 5 years term with maximum 24 month capital moratorium for Black women-owned business (50% plus 1), (all) youth and people with disabilities.
Subordination of loans to stabilise balance sheet if required
Maximum support of R 5 million / application with 50% grants and 50% Interest Free
Term Loan for 5 years term with maximum 24 month capital moratorium for Black owned business (50% plus 1). Subordination of loans to stabilise balance sheet if required
Programme D: Cluster Funding
To support R-CTFL Masterplan Retail Led Clusters and Continuous Improvement Clusters.
• 70% grant to a maximum of R 20 million per applicant over a maximum of 2-years of support.
• 30% balance of the total funding requirement to be funded by own contribution.