EU injects €15m to drive inclusive growth in SA wine sector
The funding follows from the EU-SADC Economic Partnership Agreement (EPA), which not only offers tariff-free exports but also includes financial support mechanisms to foster transformation and development within local industries.
Funding to grow Black-owned brands and skills development
The €15m, administered under the EU’s Development Cooperation Instrument, will be allocated to priority areas such as improving access to land and infrastructure, training farmworkers and black farmers, developing black-owned brands, and promoting worker wellness, housing and gender equality within the wine and spirits (grape-based) value chain.
"One of our key strategic pillars at South Africa Wine is to drive inclusiveness and growth in the wine industry through targeted programmes that support black farmers, invest in people development, and champion ethical trade," says Rico Basson, CEO of South Africa Wine.
"This EU funding is a major injection that will help accelerate momentum and scale impact where it’s most needed. This is about creating more opportunities and building long-term success for our sector."
Fund management and application process
The Department of Agriculture, Land Reform and Rural Development (DALRRD) will manage the fund in partnership with the Land Bank, which will administer enterprise development-related financing (€10m), and the National Agricultural Marketing Council (NAMC), which will oversee marketing, skills development, and ethical trade support. Calls for applications will be announced in the coming weeks.
"This support from the EU can help change lives," says Ronald Ramabulana, chairperson of South Africa Wine. “It’s an opportunity to open up the industry and back hard-working entrepreneurs who want to build sustainable wine businesses."
Focus on transformation and ethical standards
Priority will be given to majority black-owned enterprises, with emphasis on women, youth, and farmworkers. A blended funding approach combining grants and loans will encourage financial sustainability, and applicants will need to meet established ethical and social development criteria.
South Africa Wine confirmed it will work alongside stakeholders to disseminate information, support applicants, and help ensure the funding reaches the projects and people where it can have the most meaningful impact.