Beer industry rejects extended booze ban

More jobs will be lost as small craft brewing businesses would not survive the extended alcohol ban, said the Beer Association of South Africa (Basa).

This was in response to President Cyril Ramaphosa extending the alcohol ban, along with other restrictions, as part of adjusted lockdown level 3 on Monday evening.

Basa CEO Patricia Pillay said 30% of local breweries have been forced to permanently shut their doors while 165 000 people have already lost their jobs.

“An extended ban on alcohol will destroy many of the remaining small businesses, doing untold economic damage to the sector in general and the 415 000 livelihoods it supports.

“We are aware of the immense pressure Covid-19 has placed on our healthcare system, however, this cannot be at the expense of people’s livelihoods.”

She said their organisation was also deeply concerned that the legitimate beer sector will never recover from this extended ban.

“Already prior to Covid-19, World Health Organisation estimates showed that about a quarter of all alcohol consumed in South Africa was sold illicitly.

“We believe that illicit trading will now increase.

“Besides its link to criminality, the illicit and unregulated trade and consumption of alcohol poses serious health risks such as blindness, liver damage and even death.

“We will be requesting an urgent meeting with the presidency and various ministries to unpack the rationale being used for the extension of the ban.

“We will also resubmit our proposals to encourage moderate, responsible consumption. We will also reiterate our proposal for off-site consumption trade to be resumed within the framework of the existing curfew, restriction on gatherings, and events.”

She said Basa would also continue to ensure that businesses are Covid-19 compliant through the provision of training and guidelines to outlets across the country.

“Basa has already provided 50 000 educational posters to establishments. It has adopted a zero-tolerance approach to non-compliant businesses by cutting off supply to any outlets and establishments found guilty of flouting Covid-19 regulations.

“This extended alcohol ban will be the death knell for many small craft brewers. It is a great shame that the government has embarked on this action with very little consultation and very little thought given to their plight. Nevertheless, we will continue to engage with the government on the ban and how the impact on people’s livelihoods can be mitigated in the weeks ahead.”

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