South Africa: Growth Potential for United States Wine Exports to South Africa
The decline in the production and stocks of wine in South Africa is expected to result in an increase in domestic prices, and in potential shortages of distilling wine and wine for brandy production, which may lead to an increased demand for imports. Imports from the United States are currently minimal due largely to a high import tariff of up to 25 percent. However, there may be potential for growth in United States premium wine exports to South Africa, especially wines with a price point of between $20 to $60 from restaurants, hotels, wine clubs and private premium wine consumers. The potential shortages of distilling wine and wine for brandy production also presents an opportunity for United States suppliers.