As the continent of Africa is battling the coronavirus, the people and governments hope that more efforts towards preserving the economy will collapse and try to save lives that are dependent on the economy by stimulating a more effective and faster vaccination program.
The alcohol market is a huge business in Africa, but since Covid reached the continent, governments closed down bars, clubs and halted breweries in order to decrease the spread of the virus in the society and to free up hospitals, as the hospital covid cases were mainly people who were suffering from alcohol problems. This resulted in a lower demand for the wine coolers like the wijnkoelkast inbouw as people drink less alcoholic products like wine.
The impact of Covid and the government's regulations decreased companies' trust in the economy and thereby lowered the amount of investments. This also had an impact on the farmers who were suffering from less demand for their products that was used for the brewing of crafts.
For the country South Africa, prohibition led to a huge meltdown in retail sales. Nearly 1 billion dollars has been lost in revenue and also taxes and excise duties during Covid and the prohibition.
The companies are suffering from its heaviest crisis in decades, whereby over 25% of the local breweries in South Africa have been forced to shut down their company.
In Rwanda the national brewer it’s profit decreased in the first half of 2020, which lead to suspended dividends and a lower share price which eventually recovered during the second half of 2020.
The European brewer Heineken, which accounts for 90% of the market in Africa, announced job cuts and postponed new investments in the continent.
People started buying cheaper wines during this difficult period, which will be temporary and will be back to normal once the storm is over. The same yield for the wine accessories market like the sales of wijnklimaatkast and other products related to wine drinking.
Last year the harvest of wine started around two weeks later than normal, because of the cooler climate of the past season. The wine grapes producers harvested their latest grapes in May.
The harvest kicked off around two weeks later than normal due to unusually cool weather conditions throughout the season, which persisted throughout harvest time and resulted in some wine grape producers harvesting their last grapes in May. Thanks to sufficient water resources during the drought, many regions were able to establish good and sustainable vine growth.
An emerging wine market of the continent of Africa is Angola, along with Nigeria. Thanks to the prosperity from the oil and diamond industry and the end of the civil war, the rich got richer. The rich people are like a group of 5% of the country and they are ensuring that the wine market is growing more and more. More luxury items such as wijnklimaatkast 2 zones and other furniture are being sold to people who can afford it.
Tunisia is after it’s attempt to stimulate agriculture in the 1960's, back on track again. The country 's wine industry is developing again by adapting a similar model as 70 years ago, which is a perfect case study.