Alcohol sales ban forces SAB to cancel R5bn investment

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The investments that had been considered had included upgrades to operating facilities and the installation of new equipment at selected plants

SA Breweries announced on Monday that it had “halted” R5bn in investments in the country over the next two years because of the ban on alcohol sales.

“This decision is a result of the first, and the current, suspension of alcohol sales, which has led to significant operating uncertainty for ourselves, our partners, as well as colleagues in the industry, including participants in the entire value chain, and which affects over one-million livelihoods across the country,” he said.

“It is forecast that the jobs lost across the entire industry as a result of the alcohol ban will soon reach 120,000 people and the tax lost from the first ban is sitting at over R12bn,” said SAB.

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