Battered wine industry needs comprehensive, inclusive national strategy

The effects of the nationwide lockdown and blanket alcohol ban is disproportionately felt by black-owned businesses and entrepreneurs in the wine industry. As revealed during a briefing of the provincial legislature’s Covid-19 Ad-Hoc Committee, over R7.5bn has been lost in revenue due to the flip-flopping of regulations which saw the ban being lifted and reimplemented. This created severe implications for the businesses and individuals who depend on the industry with 80 wineries and 350 producers lost.

This past week, black women in the South African wine industry marched to Parliament to protest against the economic exclusion of their businesses during the development of a national wine industry strategy.

MPP Andricus van der Westhuizen said: “50% of all businesses that produce and distribute wine have indicated that they do not have the financial capability to cover short term challenges. Furthermore, 30% of all black-owned businesses said they would not be able to survive the Covid-19 pandemic.

We have seen 25,000 jobs lost in the wine industry. These are not just numbers; they represent livelihoods of families and often breadwinners in single-parent households.”

MPP van der Westhuizen added: “Our wine industry must be inclusive of all and support given to keep both the industry alive and level the playing field where barriers to entry exist for historical reasons. The wine industry is the second largest agriculture exporter and therefore a level of strategic support is necessary.

We call on the national Department of Agriculture, Land Reform, and Rural Development to adopt an inclusive approach in its wine industry strategy, and ensure the participation and support of all groups including those previously marginalised in the industry.”

The Democratic Alliance in the Western Cape remains committed to growing the province’s economy through inclusion, support, and development of our key markets.