In a media statement release last month industry representative The Beverage Association of South Africa (BevSA) on behalf of the industry, said it welcomes Finance Minister Enoch Godogwana 2023 Budget Speech.

“We have noted the positives in his address, and we are happy with his announcement that the Health Promotion Levy (HPL) will remain unchanged for the next two fiscal years,” says BevSA executive director Mpho Thothela.

Adding that this is a positive announcement in favour of the industry as it allows it to continue to rebuild its various sectors.

“The announcement comes in as a positive mark and highlights the great work we do as BevSA and the entire sugar value chain in working with government to find mutual ground and beneficial solutions to help our respective industry recover and grow.”

He adds the association has and continues to send its submissions to government to ensure inclusion in decision making processes.

“We are pleased and happy to continue our efforts to rebuild and reshape our sectors for great recovery and positive revenue generation,” he says.

He adds that It is true that the industry has been hard hit in recent years, firstly since the implementation of HPL in 2018, the loss of jobs as well as revenue decline.

Additionally, the Covid-19 pandemic has further fuelled the struggle for the industry to recover and also causing us to spend more resources on the safety prescribes of compliance during the pandemic.

Further the social unrests experienced as well as the recent floods impacting the sugar industry have added more strain to the challenges making it difficult for the industry to stay on track to rebuild and stabilise.

“We are happy to have a breather for the next 24 months and we will continue to engage government for permanent solutions through the Sugar Master Plan and any other engagement platforms available,” he adds.

He stresses that two years is a short time, and during this period the industry will continue its work to engage government to work on measures and solutions that will be economically viable for all and encourage growth, sustainability and job creation in the main.

“The issue of loadshedding continues to be a painful reality hampering growth across all economic sectors of this country,” he notes, adding that “action plans that have been established to address this issue should be implemented diligently and without delay.

The industry looks forward to government infrastructural upgrades and maintenance programmes which will assist in creative a conducive environment for business to thrive.

As an industry, it is further encouraged by many other tax rebates and benefits announced by the Minister and is certain that these tax measure will contribute positively to a much-needed economic recovery of our economy.

“We commend our government thus far and we say, let this view be the beginning of the expression that you share our sentiments in as far as our challenges are concerned and that you will continue to give us access to your public offices for further engage- ments,” Thothela concludes.