Players within the tobacco and alcohol industries of South Africa have kicked against the latest hike in excise tax.
The 8% increase in excise tax was announced on Wednesday, February 24, 2021 by
Finance Minister, Tito Mboweni during the Budget presentation.
But stakeholders have agitated, saying the increment will further strain both industries and drive people towards the illicit market.
South African liquor Brandowners Association (SALBA), CEO Kurt Moore, stated that the tax adjustments did not take into consideration a significant increase in the size and efficiency of the illicit market that has grown during the sales bans under the Covid-19 lockdown.
By Melvin Tarlue