(3 minutes read)
· The South African liquor lobby is at its wits end. They have
two high points to chase: conversion of bars into beer-collection
points and staggered liquor-store opening hours.
· The industry is optimistic about the meeting with the
government officials and feels that alcoholic drinks may be available
for sale by the end of the month
South African liquor lobby is at its wits end. They have two high
points to chase: conversion of bars into beer-collection points and
staggered liquor-store opening hours. The 50-day ban on alcohol sales
during the lockdown has put the industry in doldrums. Industry
leaders met with government officials recently and discussed how to
resume trading by easing the lockdown. The industry is optimistic
about the meeting with the government officials and feels that
alcoholic drinks may be available for sale by the end of the month.
But they refuse to divulge the issues they had taken up with the
government and the responses from the government thereto.
The booze ban was imposed on March 27 to dampen the temptation for
social gatherings and ease pressure on hospital emergency wards.
That has earned South Africa a reputation as one of the one of the
countries having strictest lockdowns in the world but to the
consternation of the boozers. Tobacco products are also banned.
Citizens and citizens have been told to exercise outdoors between 6am
and 9am.
Experts feel that the impact on the industry is severe. Over 80,000
small businesses ranging from farmers to craft brewers are on the
verge of collapse as a direct result of the alcohol ban. Share
values of liquor companies slumped sharply. The liquor sale network in
South Africa is somewhat unique. It is sold through a network of
informal taverns and over-the-counter outlets.
The industry is thinking of trying a different business model to
avoid congregation of crowds and has suggested to the government to
sell through 54,000 smaller licensed establishments serving local
communities. The owners of the small liquor outlets will be
supplied with masks and sanitizers to protect them from the contagion
while selling to customers. They also suggest that drinks should be
sold only for off premise consumption and propose staggered time for
liquor sales from 9 am to 6 pm Monday through Friday and from 9 am to
1 pm on Saturday. They also suggest regulating buying slots based
on the first letter of their family names.
The department of agriculture and land reform says over 15 000 farmers
have been approved to receive over R500 million from the Agricultural
Disaster Fund in South Africa. This support is aimed at ensuring
that South Africa does not add food insecurity because of the
pandemic.
