The latest prohibition of the sale of alcohol has resulted in the industry buckling under financial pressure.
“This means our industry has a liability to pay excise tax on end products that are in warehouses, and cannot be sold as a result of the prohibition of sales with immediate effect announced last week on Sunday,” he said. “However, the government’s nationwide ban on the sale of alcohol has far-reaching repercussions. A more targeted and nuanced approach is required, and the industry has appealed to the government to enter into discussions on reasonable and viable alternatives,” Mngadi said.
Earlier this month President Cyril Ramaphosa announced an immediate reinstatement of the ban on alcohol sales: he said that there has been an increase in trauma unit admissions at hospitals, which placed additional pressure on facilities struggling to cope with the coronavirus pandemic.