Abstract
Since 1994, the South African wine industry has been challenged to effect a complex transformation which has involved re-engaging with international markets whilst tackling an array of social, environmental and political challenges. The multiple dimensions of this transformation are reviewed within this chapter. The first section provides a geographical and statistical overview of the industry and assesses some of the reasons for its successes in engaging with the demands of international markets. A fascinating aspect of the industry’s recent biography has been the emergence of a number of initiatives with ethical dimensions that seek to address environmental and social concerns. A sample of these including Fairtrade, Wieta (the wine and agri-industry ethical trade initiative) and the Biodiversity and Wine Initiative is reviewed. The chapter concludes by considering some of the interrelationships between market and ethical imperatives alongside an overview of the ongoing challenges currently confronting the industry. These include maintaining profitability within the highly competitive global marketplace, retaining value added within South Africa, developing globally recognised brands, gaining recognition for the quality and diversity of higher value wines, streamlining ethical codes and effecting meaningful black economic empowerment.
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Notes
- 1.
Dr. Paul Cluver is a leading figure in the South African wine industry, owning his own wine estate in the Elgin region. His wider roles have included acting as Chairman of WOSA and Capespan. Cluver has also played a lead role in the establishment of the BWI, Thandi and the Green Mountain Eco Route tourism initiative.
- 2.
Bonn based FLO sets the standards for Fairtrade products, which are accredited by FLO-CERT, a company which offers Fairtrade certification services.
- 3.
Fairtrade is an organised social movement that aims to help producers in developing countries through the payment of minimum prices and a social premium for investment in community projects. Fairtrade sales are growing rapidly year on year with global sales in 2008 representing US$4.1 billion (Fairtrade Foundation 2009) “Facts and Figures on Fairtrade”, http://www.fairtrade.org.uk/what_is_fairtrade/facts_and_figures.aspx, accessed 16/07/2009.
- 4.
The Thandi project analysed here refers to local community oriented activities occurring near Elgin, although it should be noted that the Thandi banner is used by Capespan to promote Fairtrade fruit production operating more widely within South Africa.
- 5.
In early 2009, WIETA formally changed its name to AETI (SA) – Agricultural Ethical Trade Initiative – to reflect the organisation’s changing remit, which for a variety of reasons increasingly focuses upon the fruit and flower sectors.
- 6.
There are three main types of wine producer in South Africa: estate wineries (producing wine from grapes grown on their own land), co-operatives (processing grapes of farmer member shareholders and pressing around 80% of the harvest) and independent cellars and wholesalers (buying in grapes and/or wine for bottling under their own brand names or third-party brands).
- 7.
Interviews and site visits were undertaken at the following BWI Champion estates during February/March 2009 at Waterkloof, Oak Valley, Paul Cluver, Vergelegen and Hermanuspieterfontein.
- 8.
Alien vegetation refers to plants imported from external ecosystems. Many thousands of alien species exist in South Africa, posing severe threats to indigenous vegetation.
- 9.
Sources: Site visit 11 March 2009, including interviews with Conservation Manager Gerald Wright and winemaker Andre Van Rensburg; interview with Inge Kotze, BWI Co-ordinator, 27 February 2009.
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Bek, D., McEwan, C., Binns, T. (2012). The South African Wine Industry: Meeting the Challenges of Structural and Ethical Transformation. In: Dougherty, P. (eds) The Geography of Wine. Springer, Dordrecht. https://doi.org/10.1007/978-94-007-0464-0_8
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