The National Treasury reports the government lost R9.5bn in alcohol and tobacco taxes combined during the first four months of the fiscal year.
The illicit market has a detrimental effect on the overall economy as it does not contribute to the government fiscus. It also harms the entire value chain that sustains thousands of farming, packaging, distribution and township-based entities, Mngadi said.
“We are deeply concerned about the safety risks associated with the consumption of illegal concoctions and the commercial growth of an illicit alcohol network. Unregulated alcohol is not subject to stringent quality control measures. As witnessed during the two bans on alcohol sales, the illegal manufacture of alcoholic concoctions posed serious health risks to consumers. We urge consumers to purchase their preferred products from licensed outlets only,” Mngadi said.
TimesLIVE