R500m worth of looted alcohol now on the streets, being sold in illicit market

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As SA's liquor industry counts the cost of last week’s looting and four booze bans in lockdown, it's appealing to the government for a resumption of trade and collaboration to detail a path to economic recovery.

his has come at an estimated cost of R64.8bn to the country’s GDP, or 1.3% of GDP.

He said the industry questioned whether the theory that the ban on liquor sales has reduced the number of trauma admissions had any merit and had shown that it was instead the restrictions on mobility under lockdowns and curfews that freed up hospital beds. The four alcohol bans resulted in a total loss in retail sales revenue of R45.1bn, equivalent to 15.8% of the sector’s projected sales for 2020 and 2021. Excluding the impact of last week’s looting, said the industry, 248,759 jobs were already at risk across the industry — about 1.59% of the national total of formal and informal employment for 2020.

The independently-owned liquor store channel is “in financial ruins”, said Sean Robinson, chairperson of the LTASA. “It’s devastating and it's heartbreaking. If the government doesn’t lift the liquor ban on Monday July 26, many of our members will lose their businesses and never reopen.’’

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