Cape Town - An impact assessment on the trade of alcohol during lockdown, compiled by the Western Cape Department of Agriculture, has found micro cellars and craft breweries were hardest hit by sales bans.
It noted that 30% of craft breweries have already closed their doors, and 90% of the balance are at risk. “At the farm level, gross margins declined by more than 50% to as low as R3 500 per hectare during 2020. This leaves minimal scope for overheads, depreciation, interest, taxes, etc.”
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