News

Industries

Companies

Jobs

Events

People

Video

Audio

Galleries

Submit content

My Account

Advertise with us

SA wine industry maps bold future amid global and local pressures

Industry leaders, experts, and innovators gathered at the Stellenbosch University Conservatory for the South Africa Wine Summit 2025 to discuss the future of South African wine. The summit placed a strong emphasis on authentic storytelling, sustainability, and innovation, tackling the changing expectations of global consumers in search of brands with purpose.
Source: jill111 via
Source: jill111 via Pixabay

Daneel Rossouw, head of sales agriculture for Nedbank, the event's main sponsor, highlighted how the new US tariffs have only added to local challenges from tax increases and competition from other alcoholic beverages.

Despite these challenges, the industry has contributed R56bn and 270,000 jobs to the national GDP. He says this is an important context when considering solutions.

As net exporters, agribusinesses in the Western Cape must diversify and consider new markets, requiring expert advice. This is where banks can play an important role.

“Banks are no longer the traditional funding institutions, but we can take on a role as trade advisors,” he says. "We are uniquely positioned to maximise profitability and sustainability through technology and innovation. Agriculture is a long-term investment that plays a significant role and is vital to the economy.”

Heritage and innovation

South Africa Wine CEO Rico Basson said more producer cellars are becoming involved in tourism and have ventured into brand building, but it takes 30 to 50 years to build a wine brand.

"Successful producer cellars have adopted the model of less is more,” he says. Meanwhile, the industry is successfully employing technology and data to address uncertainties and reinvest in vineyards. “Nothing is being planted without a plan or a market. Producers are using science to choose the right sites."

“Heritage and innovation are twins, not opposites,” Rico adds. “Let’s bank our 366 years of heritage and rely on innovation as a bridge to greater diversity, talent and inclusiveness. We have the data and research to help shape the narrative.”

The only certainty is uncertainty

South African wine businesses are facing tough times. That was the message from Nicky Weimar, Chief Economist at Nedbank. “There are strong crosswinds at work,” she said.

Local and global challenges, from weak infrastructure to uncertain trade policies, make it hard to plan. “Producers and exporters are up against rising costs, crime, and a lack of reliable services,” Nicky explained.

Still, there are signs of hope. “Consumer spending is picking up, and incomes are growing again. Better performance at Eskom and the ports is also helping. But the future remains fragile. We are still dealing with global uncertainty, and the rand is vulnerable. Wine businesses must stay alert, plan carefully, and adapt quickly to changing conditions,” she warned.

There is hope for agriculture

Western Cape Minister of Agriculture, Economic Development and Tourism Dr Ivan Meyer, brought a message of hope to the South Africa Wine Summit. “There is hope for agriculture,” he said. “But we must act with urgency and unity.”

He explained how global politics, like new tariffs and tensions with the US, could hurt exports of wine and other farm goods. “We must protect trade deals like AGOA,” he said. “Half of what we produce is sold overseas. We cannot afford to lose those markets.”

He also called for action from the wine industry. “Let’s work together to show the US what they will lose if AGOA ends,” Dr Meyer said. He encouraged producers and exporters to support Premier Winde’s diplomatic efforts and to share contacts and insights to help lobby for South Africa.

“We must build strong partnerships, invest in youth and research, and prepare for the future,” he said. And then, with a smile, he concluded, “Farmers don’t just plant crops, they plant hope. Now let’s drink a glass of South African wine.”

Driving domestic growth

South African wine tourism shows strong growth potential, with domestic visitors making up 58% of Cape Winelands room nights in 2024.

During a panel discussion with industry leaders, Marisah Nieuwoudt, tourism manager at South Africa Wine, emphasised that booming wine tourism requires smart investment in experiences that create lasting memories. Melanie Leloup, trade relations manager: domestic market for South African Tourism, said South Africans rely on word of mouth, and initiatives like the Sho’t Left campaign allow brands to be part of the conversation.

Sarel Meyer from Stettyn Family Vineyards highlighted how producers can increase profits by diversifying beyond traditional wine sales. Key upgrades include personalised tastings, family-friendly spaces, and unique selling points for different audiences.

The message was clear: wine farms must invest in infrastructure, talent, and technology to attract more visitors and turn them into loyal customers.

The industry faces a significant challenge in attracting millennials and Gen Z consumers, who comprise 66% of South Africans aged 35 and under.

Megan van der Merwe from Beau Constantia shared practical solutions for reaching younger visitors through digital innovation and data collection. Wineries can track visitor behaviour and convert them into repeat customers using Wi-Fi analytics and customer relationship management tools.

Her data showed that just 5% of guests who shared their contact details bought an extra bottle, generating nearly R275,000 in additional revenue.

The key takeaway is to know your customers, make wine experiences memorable, and use technology to build lasting relationships with the next generation of wine drinkers. “Customers don’t remember what you tell them but how you make them feel,” she said.

A standout vintage

Dr Etienne Terblanche, manager of consultation services at Vinpro, shared insights from the 2025 harvest, calling it “a resilient vintage in the face of tough conditions.” Despite heat spikes, uneven rainfall, and late budding, many producers reported high-quality wines. “Some of the best wines I’ve seen in two decades,” said winemaker Eben Sadie.

Charles Hopkins of De Grendel agreed, adding: “The wines show great balance and freshness.” Etienne noted the industry’s hard work paid off, proving that small, wise choices today can build a stronger future. “It was not an easy season,” he said, “but the wines tell a story of focus, care, and hope.”

He also highlighted how the 2025 harvest showed the power of adaptation. “Farmers faced heat, floods, and water stress, but kept focus,” he said. He praised how many winegrowers made small but smart decisions, like adjusting picking dates or protecting vines at the correct times. “That’s what resilience looks like,” he added. “It’s not about avoiding challenges; it’s about responding to them well.”

The world is changing

South African wine is entering a new era, powered by technology, shaped by climate awareness, and centred around the consumer. Tech and wine consultant Joanna Dabrowska urged producers to embrace innovation without losing their story.

“South Africa’s strength lies in authenticity, resilience, and immersive experiences,” she said. From AI in vineyards to digital storytelling through QR codes, the future is already here, and it’s innovative, sustainable, and deeply personal.

Dabrowska emphasised how global shifts change expectations: “Transparency is the new imperative. Consumers want to see carbon footprint, biodiversity efforts, and packaging impact.”

With demand rising for ethically made, lower-alcohol wines and direct-to-consumer experiences, South African producers are well placed to lead. Her advice? Use tech to support your story, not replace it, and always think long-term. “AI won’t take your job,” she added. “But the person who uses AI will.”

Big shifts

South Africa faces significant shifts, globally and at home. Doris Viljoen, director at the Institute for Futures Research, said we need to be alert, adaptive, and brave. “We must zoom out, look for patterns, and find partners in unlikely places,” she said. Her message was clear: if we want to thrive, not just survive, we must act with foresight and curiosity.

Viljoen warned that rising temperatures, water stress, and weak infrastructure are real risks. But there are also new tools and innovative tech that can help. “Be brave enough to step into the mess,” she urged. The future is already here, from wearable plant sensors to AI that thinks for itself.

“It’s time to ask: what else is going on, and how long do we have?” Viljoen said. The wine industry must embrace change because waiting is not an option.

Unpacking the South African wine consumer

Brandon de Kock from WhyFive shared powerful insights into what South Africans are drinking and why it matters.

“Younger people are drinking less,” he said, “but when they do, they want quality.” He showed how the consumer class is growing, especially at the top end, and that wine still has a strong place, but only for brands that cut through the clutter.

“Of over 1,000 wine brands, just 4% are doing 80% of the sales,” he warned. His key message is, “Know your customer. Make it easier to choose wine, and don’t be afraid to go slowly. Just don’t stand still.”

De Kock also reminded the audience that younger drinkers live in a fast-moving, digital world. He encouraged the industry to rethink how wine is marketed and sold, especially to a new generation that values simplicity and authenticity over tradition. “Legacy means nothing to them; they want convenience, experience, and stories they can connect with.”

The South Africa Wine Summit was made possible by main sponsors, Nedbank, and co-sponsors Ardagh Glass Packaging, Agrimark, and the Western Cape Government. “Your support is a vote of confidence in our industry,” said Rico. “Thank you for believing in the power of collaboration and investing in South African wine’s future.”

Related
More news
Let's do Biz