Patrice Rassou, senior portfolio manager at Sanlam Investment Managers, added: "As always, we expect alcoholic beverages and tobacco to be hit by increased excise duties."
Ernst & Young tax practitioner Brigitte Keirby-Smit said lower company income tax, and depressed consumer spending have adversely affected revenue collections for the Treasury.
Therefore, excise duties are likely to rise substantially on alcohol and tobacco products.
Last year excise duties on sparkling wine rose by 9.4%, unfortified wine by 7.6%, fortified wine by 9.4%, malt beer by 9.5%, alcoholic fruit beverages by 9.9% and spirits by 14.7%.
Excise on cigarettes rose 12.9%, cigarette tobacco by 5.5%, pipe tobacco by 8.63% and cigars by 13%.
These increases resulted in the sales of wines declining by 5% and of spirits by 7% last year, Kruger said.
"We trust that the Minister will take the current state of the wine and spirit industry and the important role that it plays in the economy of our country into account, with it supporting employment opportunities to the tune of 275 000.
"We believe that single digit percentage increases in respect of wines and spirits will be fair and reasonable in respect of all stakeholders," Kruger said.
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