INDEX INDEX Atlantis
INDEX INDEX Atlantis Special Economic Zone (ASEZ)....................................................................................12-15, OBC Beach Hut Trust.............................................................................................................................................................39 Cape Chamber of Commerce & Industry...........................................................................................2-3, 16 College of Cape Town.................................................................................................................................. 9, 42-43 Council for Geoscience.................................................................................................................................... 30-33 Petroleum Agency South Africa................................................................................................................. 28-29 Standard Bank.............................................................................................................................................. IFC, 25, 45 Vinpro...............................................................................................................................................................................IBC Vodacom................................................................................................................................................................... 20-21 Wesgro....................................................................................................................................................................... 10-11 Western Cape Business Opportunities Forum (WECBOF)..................................................................17 WESTERN CAPE BUSINESS 2022 48
SA wine industry set to rebuild and bounce forward Wine and wine tourism will remain resilient. By Rico Basson, Vinpro MD FOCUS Despite setbacks brought on by Covid-19 over the past two years, South Africa’s wine and brandy industry is ready to not only bounce back to where we were before the Covid-19 pandemic hit, but to bounce forward. This sector, which provides job opportunities to close to 269 000 people and contributes R55-billion to the economy, is on a path to rebuild. To achieve our vision of being robust, adaptable and competitive, the industry focuses on boosting exports and local sales, promoting inclusive growth and responsible consumption, and striving for sustainability in all facets of business. Apart from cutting off wine businesses’ revenue in excess of R8-billion, trade restrictions in 2020 and 2021 resulted in a wine surplus, which drove down producer and cellar pricing and placed further pressure on the finances of wine businesses. To remedy this situation, the industry will have to continue to implement measures to reduce the surplus, including allocating grapes for grape juice concentrate and finding new markets. South Africa could seize export opportunities due to lower global wine production in 2021. East Africa, the UK and USA, Canada, China and Europe remain key markets. Logistical challenges at the Cape Town Port Terminal are urgently being addressed to support these exports while negotiations to secure preferential trade agreements with China and African countries continue. Wine tourism is an important driver of growth in the local market, but its success will depend on no further alcohol trade restrictions. Therefore, the wine industry continuously engages with more than 10 national government departments to ensure fact-based decisions are made regarding Rico Basson, Vinpro MD trade restrictions, together with various targeted initiatives to promote responsible consumption and legal trade. We anticipate that transformation and the development of new businesses will gain momentum through dedicated funding and strategic initiatives. Furthermore, South Africa is a world leader in climate change and in line with Sustainability 360 as the theme of the Cape Wine 2022 international trade exhibition from 5 to 7 October 2022, we believe that sustainability in its various facets will become even more intertwined in the activities of wine businesses. The road to recovery will be long and hard, but the wine and wine tourism industries will remain resilient, celebrating milestones along the way towards a stronger and more sustainable industry. About Vinpro Vinpro represents 2 600 South African wine grape producers, cellars and wine-related businesses, while providing strategic direction, rendering specialised services and supporting people development. ■ Contact details Vinpro Tel: +27 21 276 0429 | Email: info@vinpro.co.za | Website: www.vinpro.co.za
