South Africa - Wine Business

3 important questions on South Africa - Wine Business

What does KWV stands for and what did and do they do now in South Africa?

  • Ko-operatieve Wijnbouwers Vereniging van Zuid Afrika.
  • Before the 1990s (democracy in 1994) it had regulatory powers to
    • set quotas on production and planting volume
    • fixed prices
    • control importation
    • approve wine purchases between producers and merchants
  • It was not a free-market support. It became the dominant force in the South African wine industry.
  • Became a private business in 1997

What is WOSA in South Africa?

  • When South Africa re-entered the international arena in the early 1990s, Wines of South Africa (WOSA), funded mainly by export levies, was established to promote the South African wine category in international markets. Half of all South African wine is sold in the home market.

The Distell Group in South Africa dominates the market with more than 40% of volume sold. What do you know about this group?

  • Dominant wine and spirits producer (>40%),
  • the 11th-largest wine company in the world.
  • Formed in 2000 from the merger of Stellenbosch Farmers Winery and Distillers Corporation,
  • it owns 1,500 ha of planted vineyard
  • It enjoys 40% by value of the country’s domestic wine business,
  • between 25 and 30% of the packaged wine exports,
  • and over 70% of the domestic brandy trade.
  • Its major premium wine labels include Nederburg and Fleur du Cap, while its popular and long-established brands include Chateau Libertas, Grand Mousseux, and Tassenberg.
  • Imported in NL by Walraven Sax.

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