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How to Establish an Arts and Craft Centre

The KwaZulu-Natal Tourism is promoting the entry of new enterprises into the tourism market. This brochure has been produced as one of a series of How To Brochures to guide people wishing to establish their own tourism enterprises. The brochures target particular fields of business, this one being on HOW TO ESTABLISH AN ARTS AND CRAFTS CENTRE and are designed to provide basic information useful for developing your own business venture. Tourism is a service industry so the importance of service and dedication to your clients is particularly important because service excellence will help establish a client base through attracting repeat business and referrals which may be as, or more, important than initial marketing. The guidelines contained in this brochure will assist you during the thinking and planning for the establishment of an Arts and Crafts Centre. Contact numbers are provided for professional people that can assist you, should you need further assistance. This will help you establish a business that meets the standards that are demanded by the tourism market.

SOURCES OF INFORMATION

A useful source of information is the KwaZulu-Natal Tourism website (www.tourism.kzn.org.za) or the KZNTA office in Durban, which has a Resource Centre from which you can obtain information about similar ventures and products being offered. The KZNTA can also refer you to professional people that can assist you with planning your arts and crafts centre.

DEFINITION

An Arts and Crafts Centre is a facility from which products with artistic value and/or souvenir value are sold along with a range of products which emanate from the local culture. Baskets and sleeping mats are examples of locally produced, culturally influenced, products. It could be an open-air facility or inside a building. The arts and crafts centre described here should be distinguished from a street- market or flea-market which sells arts and crafts items but may also sell a range of other goods.

STARTING AN ARTS AND CRAFTS CENTRE

These are some observations that will be helpful for the newcomer to the field. Some of the issues are of a moral/ethical nature which require careful thought.

 Not many craft work producers make a living solely from traditional craft production and marketing. Community based craft producers often only have limited time available for production and therefore only add a little cash income to their households, sometimes enough to pay for children’s school fees. It is important to ensure that producers are not exploited.  Some traditional craft work has unique artistic value (ie as a work of art) and in genuine cases the costing of such items should ensure that the artist is adequately rewarded.  Some items may have genuine antique, anthropological or archaeological value in which case they may be extremely valuable. If items of great cultural value and scarcity are to be sourced and sold it may be necessary to obtain clearance from AMAFA in KwaZulu-Natal who are the custodians of the province’s cultural heritage in terms of the KwaZulu-Natal Heritage Act No. 10 of 1997.  Some items may be adapted so as to give them a more generic usefulness within the household fashion market (eg using locally produced craft materials to manufacture lamp shades in fashionable colours or designs etc). This can open up significant markets and therefore income generating potential for your business and for the producers.  In contemplating an arts and crafts business thought will need to be given to the following:  sources of products,  an eye for items that may be modified through adding value to them and whether you wish to engage with producers in this design modification process,  a knowledge of industry standards for ensuring quality control,  availability of sufficient quantity of products for your requirements and how seasonal availability may affect this,  marketing and ongoing adaptation to market requirements.

Your interest in starting an arts and craft centre is likely to fall under one of the following:

1.1 selling arts and crafts as an addition to an existing tourism activity;

1.2 creating employment by creating a new market outlet for people involved in craft production;

1.3 creating an art-works outlet for indigenous crafts with unique artistic value;

1.4 entering the selection, production and marketing of handicrafts through a sales outlet but also selling to the national home industry and international home industry markets.

2. There are some basic steps that you should follow before embarking on investing in your arts and craft centre so as to avoid disappointment. For example:

2.1 prepare a business plan for the new enterprise (see the How to Brochure on How to Prepare a Business Plan); and

2.2 Ensure that you have both a reliable market and source of products. Product range may include items with souvenir value through to valuable and costly art works, depending upon your available cash, your specific interests and experience.

2.3 Linkage with existing producers and/or markets may be important in starting out before trying to open up your own supply networks or marketing channels.

2.3.1 When dealing with rural craft producers it is very important not to raise unrealistic expectations, for example, if quality is not adequate do not pretend that it is acceptable.

2.4 There are many different types of arts and crafts centres and they can operate at many different scales. Here is a brief description of some options:

2.4.1 An entrepreneur who already runs a tourist accommodation facility or some other tourism related activity (eg a Bed & Breakfast or a travel agency) and desires to start (on the existing premises) a small display of arts and crafts for sale to clients. Sales may occur but are not the mainstay for the economic well-being of the main business.

2.4.2 An entrepreneur already runs a tourism booking and/or advisory service (eg a community tourism organization or a travel agency) and desires to add to the interest of customers by having available arts and crafts for sale. The floor area for display purposes may be approximately 20m2. Provided the outlay on stock is not substantial the financial contribution of the enterprise to the main activity may not be significant nor essential. However, the display made add to the attractiveness of the business premises and so attract more clients.

2.4.3 An entrepreneur has no existing tourism operations or services but desires to start a dedicated arts and crafts centre with a floor area of between 50m2 and 150m2 with a street or arcade frontage, no off-street parking but a steady stream of passing pedestrian traffic. This is clearly a costly exercise and requires that a very detailed Business Plan should be prepared.

2.4.4 An entrepreneur already runs an existing tourism facility (large tour operation, game lodge, cultural village, petrol filling station etc) and desires to add on an arts and crafts centre. It will have a display area (internal and external) of several hundred square metres, plenty of off-street parking for cars and busses, space for other facilities such as restaurant(s) and other related tourism services. This is a major and costly exercise and requires that a full Business Plan should be prepared.

3. There is little difference between arts and crafts centres which are tagged onto an existing operation and those which are started from the beginning. Most concerns and questions relate to both categories of Centre but the importance attached to each may vary according to the scale of the proposed arts and craft centre.

4. In developing your Business Plan some of the concerns and questions you should answer include the following:

4.1 Do you want to stock items of real artistic value or do you only want to stock items of souvenir or memento value?

4.2 Is there a genuine market for the products you intend selling? If you are unsure do some testing of the market by stocking (if possible) a few items and monitoring closely:

4.2.1 what sells,

4.2.2 how quickly they sell,

4.2.3 was the price right,

4.2.4 who bought the items,

4.2.5 do people ask for specific types or categories of items,

4.2.6 do people buy items of only souvenir value (mementos) or do they buy items with real art value

4.2.7 Is the space you have available sufficient for the products being sold? If you had more space could you stock more and in which case could you sell more?

4.2.8 Do you have suppliers for the products you wish to sell? Are they reliable? Are their prices right for your market?

4.3 If you have done a trial then you will have some of the information required for preparing a detailed business plan before investing any further in it.

5. Specific legal considerations for entrepreneurs starting new Arts and Crafts Centres are:

5.1 Planning and Environmental Authorizations: There is a distinction between Centres that may be started in a city or town compared with those that may be located in a rural area.

5.1.1 Centres to be started inside a city or town:  Go to the Planning authorities at the Local Municipal offices and establish whether the piece of land you intend using for the Centre is zoned for the type of activity you are proposing.

 If it is appropriately zoned then you may proceed with your development but establish from the municipality if there are any other controls with which you are obliged to comply.

 If it is not appropriately zoned inquire what processes are necessary to obtain the necessary authorization for the change of land use and change of zoning.

 The application for this authorization may be made in terms of the Natal Town Planning Ordinance No 23 of 1949 or in terms of the Development Facilitation Act No 67 of 1995. The Local Municipal officials should be able to guide you as to whether an application to the authorities is needed and how you should go about making such application. The Local Municipal officials should also be able to guide you in terms of whether an Environmental Authorization for change of land use is needed in terms of Section 22 of the Environment and Conservation Act No 73 of 1989. You will most likely need professional assistance in making these applications.

 Establish what trading licence is required and obtain one from the Local Municipality if needed.

5.1.2 Centres to be started outside a recognised town:  Inquire whether the establishment of an Arts and Crafts Centre constitutes a change in type of Land Use as identified in Section 22 of the Environment and Conservation Act No 73 of 1989.

 If it does constitute a change in land use, you will need to comply with the preparation of an application for exemption from the requirements of the Environment and Conservation Act (if the likely impacts of the change of use are insignificant) and expect the application to take about 3-4 months before you receive a response; OR,

 prepare an Environmental Scoping report for submission to the relevant Department (Agriculture & Environmental Affairs in KZN) and expect the application to take about 3- 4 months before you receive a response; OR,

 if the change of land use is very significant and a large area of land is involved with significant impacts a full Environmental Impact Assessment may be required; and expect the application to take about 3-4 months before you receive a response although the preparation of the EIA could also take quite a considerable period of time if there are complex environmental issues to be assessed.

 Planning authorization will also be required. This may be obtained by applying to the KZN Department of Traditional and Local Government Affairs in terms of the Natal Town Planning Ordinance or in terms of the Development Facilitation Act No 67 of 1995. The Local Municipal officials should be able to guide you as to whether an application to the authorities is needed and how you should go about making such application. The Local Municipal officials should also be able to guide you in terms of whether an Environmental Authorization for change of land use is needed in terms of Section 22 of the Environment and Conservation Act No 73 of 1989. You will most likely need professional assistance in making these applications.

CONCLUSION

The tourism industry is a service-focussed sector where people are spending their leisure money and disposable income after paying for their basic living costs. This results in a sector where trends and patterns of behaviour can change rapidly seriously impacting upon the viability of your business. There are good rewards to be achieved as you embark upon an adventure of a lifetime, but if you do not plan well it can turn into a nightmare. If necessary secure the services of professional people that can guide you through the process of preparing your business plan and environmental and planning applications for the authorizations needed. The initial cost would be well worth it in the longer term.

LIST OF USEFUL CONTACTS

Association of South African Travel Agents (ASATA): 011 4840580

Business Partners Limited: Durban: 031 266 7130 Richards Bay: 035 789 7301

Business Practices Committee: 012 310 9791

Department of Agriculture and Environmental Affairs: Head Office Ulundi: 035 874 3090 Pietermaritzburg: 033 398 1785

Department of Economic Development & Tourism: 031 310 5300

Department of Trade and Industry: 012 322 7677

Department of Traditional and Local Government Affairs: 033 395 2111

Ithala Development Finance Corporation: 031 907 8911

KwaZulu-Natal Tourism Authority (KZNTA): 031 366 7500

SA Tourism: Head Office 011 778 8000

Southern Africa Tourist Services Association (SATSA): 031 261 2525

Tourism Enterprise Programme: 011 804 5750

Town and Regional Planning Commission: 033 395 3066

Trade Associations: AFRITOUR 021 782 6979

The following lists are drawn from KwaZulu-Natal Tourism’s database on craft making organizations and craft markets. Both are potentially sources of product and possibly markets. It may be worth your while contacting them shpould you be in need of products or markets.

Craft Making Organizations in KZN

1. Name: ARDMORE CERAMICS Category: CRAFT MAKING City/Town: ESTCOURT Contact Name: Telephone No.: (036) 468 1242/083 384 4925

2. Name: BASKETS FROM AFRICA Category: CRAFT MAKING City/Town: DUNDEE Contact Name: MARIANNE EHLERS Telephone No.: (034) 212 3240/212 1789

3. Name: BATCENTRE Category: CRAFT MAKING City/Town: DURBAN Contact Name: TANDI Telephone No.: (031) 332 0451/368 5547

4. Name: CULTURAL CENTRE LADYSMITH/ EMNAMBITHI Category: CRAFT MAKING City/Town: LADYSMITH Contact Name: THE MANAGER Telephone No.: (036) 637 2992

5. Name: EMBO CRAFT SHOP & TRAINING Category: CRAFT MAKING City/Town: HILLCREST Contact Name: MS BRENDA LOCK Telephone No.: (031) 765 3697

6. Name: GLAMOSA GLASS (PTY) LTD Category: CRAFT MAKING City/Town: ESTCOURT Contact Name: CRAIG R.N.D. Telephone No.: (036) 352 3152

7. Name: ILALA WEAVERS Category: CRAFT MAKING City/Town: HLUHLUWE Contact Name: Telephone No.: (035) 562 0630

8. Name: STOKKIESDRAAI COTTAGE WEAVERS Category: CRAFT MAKING City/Town: DARGLE Contact Name: Telephone No.: (033) 234 4243

9. Name: KWAZULU CANDLES & KWAZULU WEAVERS MANUFACTURING Category: CRAFT MAKING City/Town: WINTERTON Contact Name: PIERRE TROMP Telephone No.: (036) 488 1657

10. Name: MANGOSUTHU CRAFT VILLAGE Category: CRAFT MAKING City/Town: UTRECHT Contact Name: GERNARDT SMOOK Telephone No.: (034) 331 3298

11. Name: PHEZULU SAFARI PARK Category: CRAFT MAKING City/Town: BOTHA'S HILL Contact Name: THE MANAGER Telephone No.: (031) 777 1000/777 1208 ?777 1405

12. Name: ROBS ARTS & CRAFTS (GROUP) Category: CRAFT MAKING City/Town: RICHARDS BAY Contact Name: ROBERT MTHEMBU Telephone No.: 082 674 9433

13. Name: ROSE AND QUAIL Category: CRAFT MAKING City/Town: UNDERBERG Contact Name: MS ERIKA SMITH Telephone No.: (033) 702 1154

14. Name: SHAKALAND CULTURAL VILLAGE Category: CRAFT MAKING City/Town: ESHOWE Contact Name: CHARI VAN ZYL Telephone No.: (035) 460 0912

15. Name: STERLING WROUGHT IRON Category: CRAFT MAKING City/Town: DARGLE Contact Name: GUY OR JENNY STERLING Telephone No.: (033) 234 4261

16. Name: STEWART'S FARM (KWABHEKITHUNGA) Category: CRAFT MAKING City/Town: ESHOWE Contact Name: THE MANAGER Telephone No.: (035) 460 0644

17. Name: STUDIO 3 Category: CRAFT MAKING City/Town: KLOOF Contact Name: ANNE SCHULTZ Telephone No.: (031) 764 4607

18. Name: SWISSLAND CHEESE Category: CRAFT MAKING City/Town: BALGOWAN Contact Name: THE MANAGER Telephone No.: (033) 234 4042

19. Name: THE PURPLE HOUSE Category: CRAFT MAKING City/Town: WINTERTON Contact Name: MRS LEGRANGE Telephone No.: (036) 488 1025

20. Name: THE RAINBOW ROOM ARTS AND CRAFTS OUT OF THE ORDINARY Category: CRAFT MAKING City/Town: WINTERTON Contact Name: THE MANAGER Telephone No.: (036) 4681341/ 468 1801

21. Name: THE STABLES LIFESTYLE MARKET Category: CRAFT MAKING City/Town: DURBAN Contact Name: Albe Van Rensburg Telephone No.: (031) 312 3752

22. Name: WOOD TURNER Category: CRAFT MAKING City/Town: DARGLE Contact Name: THE MANAGER Telephone No.: (033) 234 4548

23. Name: WOODWORM FURNITURE STUDIO Category: CRAFT MAKING City/Town: UNDERBERG Contact Name: MR BOB MULDER Telephone No.: (033) 701 1556/082 770 6895

Craft Markets in KZN

1. Name: AFRICAN ART CENTRE Category: CRAFT MARKET City/Town: DURBAN Contact Name: ANTHEA MARTIN Telephone No.: (031) 304 7915

2. Name: AMPHIMARKET Category: CRAFT MARKET City/Town: DURBAN Contact Name: VUSI Telephone No.: (031) 301 3080

3. Name: BAT CENTRE TRUST Category: CRAFT MARKET City/Town: BEREA Contact Name: TUMI NYUSWA Telephone No.: (031) 332 0451 4. Name: BIWEDA NGUNI PRODUCTS Category: CRAFT MARKET City/Town: MKUZE Contact Name: SHIRLEY VORSTER Telephone No.: (035) 573 1060

5. Name: COLGRAY CRAFTS Category: CRAFT MARKET City/Town: SHONGWENI Contact Name: COLLEEN BEATTIE Telephone No.: (031) 769 1262/ 083 533 4926

6. Name: CRAFT SOUTHERN AFRICA Category: CRAFT MARKET City/Town: HOWICK Contact Name: THE MANAGER Telephone No.: (033) 330 5859 7. Name: DROSDY CRAFTS Category: CRAFT MARKET City/Town: PAULPIETERSBURG Contact Name: THE MANAGER Telephone No.: (034 ) 995 1650 / 995 1729/1727

8. Name: DUMAZULU TRADITIONAL VILLAGE - CRAFT MARKET Category: CRAFT MARKET City/Town: MTUBATUBA Contact Name: THE MANAGER Telephone No.: (035) 562 2260

9. Name: EMPANGENI ARTS AND CRAFTS Category: CRAFT MARKET City/Town: EMPANGENI Contact Name: DEE HERBERT Telephone No.: (035) 772 7622/082 502 8063 10. Name: EVERYTHING ELEPHANTS Category: CRAFT MARKET City/Town: MKUZE Contact Name: DEBBIE KOHRS Telephone No.: (034) 435 1981 / 435 1982

11. Name: JABULANI ZULU HANDCRAFTS Category: CRAFT MARKET City/Town: EMPANGENI Contact Name: Telephone No.: (035) 792 8144 12. Name: MZWELELE CRAFTS Category: CRAFT MARKET City/Town: MARGATE Contact Name: THE MANAGER Telephone No.: (039) 317 4029

13. Name: OVAL ARTS AND CRAFT MARKET Category: CRAFT MARKET City/Town: PIETERMARITZBURG Contact Name: THE MANAGER Telephone No.: (033) 386 5055 14. Name: PONGOLA ARTS AND CRAFTS Category: CRAFT MARKET City/Town: PONGOLA Contact Name: PONGOLA PUBLICITY AND TOURISM ASSOCIATION Telephone No.: (034) 413 1144/083 228 1822

15. Name: WATAMU CRAFT Category: CRAFT MARKET City/Town: KLOOF Contact Name: THE MANAGER Telephone No.: (031) 764 1156 16. Name: WINTERTON LOCAL COUNCIL Category: CRAFT MARKET City/Town: WINTERTON Contact Name: THE MANAGER Telephone No.: (036) 4881620

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