OnTap Magazine

6 | Spring 2025 | ontapmag.co.za Hi friends, You’ve probably heard me say it before, but I’ll say it again: beer in South Africa is so much more than a drink. It’s part of our history, our celebrations, and our economy. In 2023 alone, our industry added a whopping R96.5 billion to the country’s GDP and kept over 210,000 people in jobs . That’s no small froth. Yet the beer sector faces pressures like never before. The latest national budget gave us another excise tax hike of 6.75%, and with VAT on top, close to 40% of the price of a 340ml beer is tax . For small and craft brewers, this can be the difference between keeping the lights on and closing the doors. When legitimate businesses struggle, the illicit market fills the gap. Already, nearly one in five alcoholic beverages in South Africa is illicit — a growing threat to public safety and government revenue. It’s not all doom and gloom. Over the past year, BASA has strengthened government relationships, challenged myths about beer, and highlighted its vital role in job creation, tourism, township economies, and heritage. We’ve also invested in the people behind the industry: from short courses for tavern owners and micro-brewers, to partnerships with universities to grow the next generation of skilled brewers — particularly young black South Africans and women. Looking ahead, here’s what’s on tap: • Changing the conversation about beer – campaigns like “Go Zero” promote low- and zero-alcohol options responsibly. • Pushing for fairer excise taxes – township micro- breweries shouldn’t be treated the same as multinational giants. • Getting SMME support agencies on board – ensuring small alcohol-related businesses have access to growth support like other sectors. At the end of the day, we’re asking for a policy environment that gives beer, and the people behind it, a fair shot at success . Do that, and we unlock growth, innovation, and opportunity for all. Until then, I’ll keep raising my voice (and my glass) for a smarter beer policy. Here’s to brewing a future that works for everyone. CHEERS, CHARLENE LOUW CEO of BASA REFLECTIONS OVER A COLD ONE: WHY SOUTH AFRICA NEEDS A SMARTER BEER POLICY