As contributors to South Africa’s beer value chain, small retail businesses across South Africa play an important role for the local economy, enabling job creation, supporting township and rural development and driving economic inclusion.

In celebration of local retailers, JSE-listed beer maker South African Breweries (SAB) shed light on the importance of small retail businesses during its ‘Cheers to Retailers’ event, held on August 4.

During the event, SAB sales VP Jaco Parreira highlighted the importance of collaboration and responsible trading to drive economic growth and job creation.

Parreira pointed out that SAB has invested R544-million since 2021 in retailer support, including infrastructure upgrades and skills development.

During her keynote address, Gauteng Economic Development chief director Crezelda Venter highlighted the complexity of the liquor industry, describing the role of liquor traders in the township economic growth as multifaceted.

“It encompasses important economic questions such as employment creation, local supply chain development . . . as well as socioeconomic questions such as community engagement and infrastructure investment.

“However, on the other hand, it presents challenges related to public health and community safety that we absolutely cannot ignore,” she said, highlighting regulatory barriers and security risks as other issues facing the sector.

“Over the past few years, we have seen cases of mass shootings in shebeens and taverns in townships across the country,” she said.

“The rise in such incidents necessitate reflection from all stakeholders, including us as the Gauteng Provincial Government, because despite this problem, the role of the industry in our economic development is undeniable,” she continued, noting the importance of liquor traders in creating employment and fostering opportunities for entrepreneurship.

Venter noted that these co-existing challenges and opportunities have necessitated state intervention.

Recognising the significance of liquor traders, she said the Gauteng government, through the Gauteng Liquor Board and the broader Gauteng Department of Economic Development has sought to create a more enabling policy environment, including the streamlining of licensing processes and supporting access to finance.

Additionally, she said the Gauteng government is working with liquor traders to ease liquor license processes, including addressing backlogs, implementing an online application system and increasing the amount of compliance officers.

Venter also noted that there are efforts to promote responsible alcohol consumption through education, community partnerships and the enforcement of age restrictions and trading hours.

“Realising the full potential of liquor traders as engine of inclusive growth will require balanced policy intervention, active community engagement and commitment to responsible trading practices.

“By supporting and integrating liquor traders into broader economic development strategies, townships can therefore harness the entrepreneurial potential for sustainable growth and improved social outcome,” Venter said.