Payment for wine lists under the Asmal spotlight
27 November 2007

Wine Council makes some more threatening noises

The SA Wine Industry Council (Sawic), the overarching industry body which seems to be taking up more clout under chairperson Kader Asmal, is seriously concerned about big producers paying restaurants to list their wines. This is to be investigated, as it might be illegal under competition regulations.

Asmal was speaking in Stellenbosch yesterday, after a Board meeting of the Council. He said legislation may have to be introduced. ‘The SA Wine Council has a responsibility to ensure that the wine industry subscribes to ethical business practices.’ The widespread practice, he said, put smaller producers and black economic empowerment producers at a disadvantage. A workshop is planned for next year where ‘the full extent of the situation will be researched, as well as providing plans as to how to curb these practices’.

The issue of cruchen blanc being labelled and sold as ‘riesling’ locally, also came up for discussion again, Asmal said. The Wine and Spirits Board has now made a commitment to investigate the matter, and the Council is insisting that ‘the review must be open and transparent, with submissions being made by interested parties’.

These signs of a determination to further the interests of smaller producers (many of whom feel that wine big business has for too long had the authorities rather too respectful to its concerns) will be widely welcomed.

Amongst other matters, Professor Asmal  also spoke of the proposed Centre for Wine Marketing and Product Development at the University of Stellenbosch, funding for which seems to be nearly finalised. The Centre would focus on education, research and extension work – aiming ‘to develop and institutionalize a learning and research initiative in wine marketing and sales management, wine market and brand development and product development’.