Urgent Calls from South Africa's Wine Industry During the COVID Crisis

In response to President Cyril Ramaphosa's address, who has planned no new restrictions in light of the impending fourth wave of COVID-19, the concerned South African wine industry urged the government to take responsibility and boost vaccinations. They welcomed the decision to declare Level 1 and call unvaccinated South Africans urgently to get vaccinated. Kurt Moore, CEO of the “South African Liquor Brand Owners Association” (Salba), stated, “Only in this way can the impacts of a fourth wave be mitigated in the coming weeks.”

The South African wine industry provides 269,000 jobs

Ensuring the health and safety of the South Africans is crucial, but so is their livelihood. The wine industry association Vinpro pointed out that the industry provides almost 269,000 jobs and contributes 55 billion Rand to the country’s economy. “After significant setbacks from COVID-19 over the past two years, we cannot jeopardize our rebuilding efforts,” said Rico Basson, head of Vinpro.

Creating an environment for growth and recovery

“Our success will depend on how well the government can create a conducive environment for growth and recovery and how informed their policy decisions are based on solid data,” Basson further stated. “It is vital that the government understands the impacts of its decisions on the wine industry and keeps the situation of wineries in mind.”

Demand: No further alcohol sales bans in South Africa

The South African wine industry calls upon the government not to impose further alcohol sales bans in the forthcoming weeks. New restrictions could entrench illegal alcohol trade, which thrived under previous bans and accounted for more than 20% of alcohol sales in South Africa.

Thousands of South African wine businesses fighting for survival

Salba pointed out that previous alcohol bans in 2020 and 2021 posed a potential threat to over 233,547 jobs and an estimated annual GDP loss of about 60.7 billion Rand. Thousands of South African wine businesses fighting for survival are counting on the festive season for a chance to recover financially. The industry cannot afford another alcohol ban during the holiday season.

Strong reliance on wine tourism

More than 400 out of the total 529 South African wineries are small and medium enterprises heavily reliant on wine tourism. The unilateral travel restrictions have resulted in a nearly complete loss of their international tourism market overnight. This season is critical for the survival of the tourism industry.

Collaboration with the government

“It is imperative that the government is aware of the ramifications of its decisions,” representatives of the wine sector cautioned. Therefore, wine industry organizations are working closely with over ten national government departments to ensure they have the necessary information to make data-driven decisions. This also applies to the critical situation at the Cape Town port terminal, which is affecting exports.

Strict measures from the South African wine sector

The wine industry has been proactive in preventing the spread of COVID-19, implementing strict measures. In recent months, initiatives have been undertaken in collaboration with health authorities to increase vaccination rates. Efforts are also focused on responsible consumption and legal trade of alcohol in South Africa through initiatives with the “Association for Alcohol Responsibility and Education” (Aware.org).