South Africa Lowers Minimum Alcohol Content for Spirits to 40%

Pretoria, South Africa – The Department of Agriculture has officially revised liquor regulations, reducing the minimum alcohol by volume (abv) for spirits from 43% to 40%. The change, which came into effect in March 2025, aligns South Africa with international industry standards.

Why the Change Matters

Until now, South Africa enforced one of the highest minimum thresholds for spirits worldwide at 43% abv, compared to the global benchmark of 40%. The new regulation is part of amendments to the Liquor Product Act, aimed at improving trade and production efficiency.

Industry players have welcomed the decision, highlighting benefits such as:

• Simplified imports and exports – International suppliers no longer need to produce separate batches for the South African market.
• Reduced tax burden – Lowering the abv threshold decreases the spirits excise tax by around R7 per 750ml bottle, offering relief to local producers.
• Global competitiveness – South Africa’s liquor sector is now better positioned in the international marketplace.

READ: South Africans Spend More on Gambling Than Any Other Entertainment – Stats SA |

Industry Reactions

Diageo South Africa’s Corporate Relations Director, Sibani Mngadi, said the move balances global alignment with local sustainability.

“This amendment improves efficiency for international suppliers and reduces the tax burden on local producers. It provides some relief from the sharp increases in annual excise duties,” Mngadi explained.

What Remains Unchanged

The Department clarified that the update will not affect taste or product quality, and producers may still sell spirits with abv above 40%.

Key categories unaffected include:

• Potstill and vintage brandies – minimum abv of 38%
• Agave spirits (tequila and mezcal) – minimum abv of 35%

Introduction of Flavoured Spirits Category

In addition to lowering the minimum abv, the amendments also introduced a new flavoured spirits category, covering:

• Flavoured whisky
• Flavoured gin
• Flavoured brandy
• Vodka, cane spirits, and rum

These products will carry a minimum abv of 35% and will be managed separately from the “spirits aperitifs” category, which retains an abv range of 24% to 35%.

READ: Mining and Manufacturing Boost South Africa’s GDP to 0.8% in Q2 | Inflation 2025

Boost for Local and Global Liquor Markets

The regulatory changes are expected to strengthen South Africa’s liquor industry, making it easier for producers to compete globally while also easing financial pressure from rising excise taxes.

For consumers, this means greater variety, more competitive pricing, and a liquor market that keeps pace with international standards.