Underground alcohol trade networks brought about by the bans on the sale of alcohol as part of Covid-19 restrictions have now taken root and claim a 12% stake (R20.5 billion) of the R177.2 billion industry’s market value.
A general view of liquor for sale on December 03, 2020 in Durbanville, South Africa. It was reported the National Coronavirus Command Council (NCCC) has recommended the restriction of alcohol sales amid fears of a second COVID-19 surge . Picture: Gallo Images/Jacques Stander
The alcohol industry has released a statistical analysis to support their argument that the reduction of trauma admissions during the Covid-19 coronavirus lockdown could not be primarily attributed to the banning of alcohol.
The analysis sought to draw attention to other factors, including curfew, which has been mainly cited, to be considered and not for the focus to be on alcohol, saying it was not the only thing on which restrictive measures were imposed during the lockdown.
For more than 140 days over the past 12 months, South Africans were unable to legally buy booze due to COVID-19 restrictions. The divisive regulation was practically unique to our nation, and following FOUR separate alcohol bans, the liquor industry has been brought to its knees. And yet, after all that… it might have all been a complete waste of our time.
South Africa trauma numbers ‘not driven by booze limitations’
A new study has poked some massive holes in the government’s logic. Those serving in the National Coronavirus Command Council have consistently argued that trauma cases in our hospitals decline when an alcohol ban is in place – yet their reasoning somewhat falls apart, when you weigh our numbers against countries that did not enforce prohibition.
Is liquor industry s plea for tax break the start of unaffordable tax revolt ?
13 January 2021 7:09 PM
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The industry wants excise tax payment deferred until the alcohol ban is lifted. Wide-ranging reaction on The Money Show.
South Africa s big liquor players want the payment of excise taxes deferred while the alcohol sale ban is in place.
The SA Liquor Brand Owners Association (Salba) says the re-imposition of the ban has left it no choice.
The group says says the industry pays the South African Revenue Service (Sars) an average of R2.5bn per month in excise taxes.
But alcohol companies have to pay the tax on end products which are sitting in their warehouses and can t be sold during the prohibition.