A delegation from Systembolaget, a Swedish liquor monopoly according to a media release issued on behalf of Wines of South Africa (WOSA), has declared itself to be ‘very impressed’ with the social responsibility work being done by our local wine industry.
Led by Chairman Dr Cecilia Seidegård and CEO Magdalena Gerger, the Systembolaget delegation visit earlier this month included the full board of directors of the company, a visit to the Cape Winelands which had been planned a year ago, and was not initiated as a result of the more recent farm worker strikes. The Western Cape Minister of Agriculture Gerrit van Rensburg accompanied the visit to the wine farms by the delegation.
Sweden is an important export market for the South African wine industry, buying 33 million litres of wine a year, across ‘several hundred labels’. Two years ago our country was Systembolaget’s largest supplier.
Ms Gerger said that her company wants to promote a supply chain of wines that is ‘fair and honest towards people and the environment’, important requirements for Swedes. Faitrade registered wines are well supported, and our country was praised by her for its strong support of Fairtrade and for being at its forefront internationally. The reasonably new WIETA accreditation may become a Systembolaget tender criterion, she said. She did however add that there is room for improvement, encouraging wine producers to improve conditions for their workers.
Systembolaget conducts audits regularly on its source countries, and the delegation conducted their audit while in the Winelands. Ms Gerger said that should a wine estate’s audit result not be satisfactory, an action plan would be developed and it would be re-audited twelve months later. Should the owner not make the required changes, the relationship would be terminated. She added: “We believe anyone involved in the making of the products we sell should earn a living wage. We are at present involved in the revision of the Code of Conduct for the Nordic countries, and there is every indication that the revised code, which is expected to come into effect in 2014, will contain a ‘living wage’ condition.”
Minister van Rensburg welcomed the visit by the delegatiom, and said that his government believes that ‘real improvement in social conditions can only be brought about through economic growth’. He said that his government welcomed the ‘trade relations with Sweden’.
Strikes of farmworkers, including those working on wine farms, in January this year and November last year, severely damaged South Africa’s image as a tourist destination. The effect on wine sales is not yet known, COSATU Western Cape leader Tony Ehrenreich having called for a boycott of South African wine purchases by overseas wine lovers as well as by retailers at the time of the strikes.
Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com Twitter: @WhaleCottage