In the Magazine

South Africa Report 2007

04 October 2007 By db staff writer

PublishedÂ October 2007	SOUTH AFRICA REPORTÂ 07CAPE COMEBACK: Has SA turned the corner? NATURE CALLS: Biodiversity campaign up close BAND TOGETHER:Â Wine tourism on the rise
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EDITORIAL

IT Was with some trepidation that the drinks business team sat down midway through the summer to begin planning for our annual South Africa Report. With 36 pages to fill with analysis of a category that appeared unable to break the steady cycle of decline that has seen sales figures decimated in the last 18 months, it was a struggle to find positives to latch on to. Good news from the Rainbow Nation was certainly thin on the ground, and the outlook for this supplement looked distinctly gloomy.
But as the trade prepares to gather for this autumnâ€™s Mega Tasting, it appears that the corner has at last been turned.
Admittedly, we canâ€™t bring you reams of Nielsen numbers indicating that South Africa has regained all of the ground lost since the much-hyped Kumala syndrome consigned the category to its sick bed. But the figures clearly indicate that the steep decline has levelled off in the last few months and â€“ more importantly from a long-term perspective â€“ the steady foundations on which South Africaâ€™s wine trade is built give plenty of cause for optimism.

The industry has been toiling feverishly to halt the decline, nowhere harder than at Constellation, where a Herculean effort has been required to stop the rot at Kumala. But South Africa has also been blessed with myriad advantages that other producing countries would pine for.
Excellent perception in consumersâ€™ minds (from both a vinous and more general perspective); an entrepreneurial culture that embraces innovation; distinctive varietals; superb â€“ and diverse â€“ growing conditions; a special place in the hearts of the UK retail community; not to mention massively improved standards of winemaking expertise. The South African trade has plenty of reasons to be cheerful.
But complacency is simply not an option. Suppliers should be thankful that they are sitting on top of a goldmine of potential, but to maximise this fully will require skill, creativity and a united approach to drive the entire category forward. South Africa looks to have finally turned around its fortunes â€“Â but if it is to return to the dizzying heights of yesteryear then this is where the hard work really begins.

Ben Grant – report editor