SOUTH Africa’s alcohol industry welcomed the president’s announcement on Wednesday (16 September) to place the entire country on Alert Level 1, but raised concerns about the continued restrictions for off-consumption sales of alcohol which will now include Fridays and the curfew being extended to midnight.

These measures will come into effect at midnight on Sunday, 20 September.

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CEO of the South African Liquor Brandowners Association (SALBA), Kurt Moore said while the industry acknowledged the challenges facing the government in its efforts to stem the pandemic and prevent a second wave of infections, ‘we must begin rebuilding the economy’.

Moore said the extension of trading days to Friday for off-consumption and a two-hour extension for on-consumption to midnight is a step in the right direction, but not enough for their sector, which is struggling to recover from the two waves of bans on formal sales of alcohol during the lockdown.

With most of the indicators tracking the spread and impact of the pandemic showing a positive decline, Moore said that the key priority for the country is to focus on the economic recovery plan, as discussed at Nedlac.

He added that this is why the sector was disappointed that the government did not allow off-consumption outlets to trade in terms of their licensing conditions or at least engage in some trade on weekends.

“Critical to the economic recovery is the efficient collection of existing revenue and the urgent need to close tax leakages from illicit alcohol trade. Limitations in the weekend off-consumption sale of alcohol continue to provide an opportunity for the illicit networks to expand,” he said.

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Moore added that the illicit alcohol market accounts for an estimated 15 per cent of alcohol sales by volume and results in a fiscal loss of R6.4 billion to the economy.

The sector has committed an investment of R150 million into direct harm reduction interventions and programmes over the coming year to assist the government in dealing with the health and social burden of alcohol misuse.

The industry also reiterated its commitment to partnering in a new social compact with government to save businesses and jobs in the sector.

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Convener of the National Liquor Traders Council, Lucky Ntimane, also welcomed the decision.

“We welcome the two-hour extension in trading hours for taverns. This provides an opportunity for the sector to continue to recover. The amendment to 50 per cent capacity instead of 50 people only provides better variance of application of the rules between outlets with big or small capacity for patrons.”

Managing director, VinPro, Rico Basson, said the wine sector is a major contributor to domestic and international tourism in South Africa and therefore the continued limitations on off-consumption on Saturdays and Sundays was “disappointing” to the 530 wineries – that rely on direct sales from cellar door for home consumption within strict Covid protocol. 

CEO of the Beer Association of South Africa, Patricia Pillay said, “We are appealing to consumers to play their part in changing our drinking culture and assist in enforcing these measures. We are calling on consumers to moderate their use of alcohol and to behave responsibly as consumers. We advocate a zero tolerance for drinking and driving, and the need to take steps to reduce the numbers of drunk pedestrians on the streets.”

Caxton Local Media Covid-19 reporting