Restrictions looming for liquor advertising
FMCG SUPPLIER NEWS
Wine.co.za - Sep 19th 2011, 09:07
The recent call for a total ban on the advertising of alcohol by the national Minister of Health prompted the organisers of the 3rd Annual Western Cape Liquor Conference include this issue for discussion at the conference held on the 9th of September.
One of the speakers Dr. Leslie London of the University of Cape Town, argued that a ban on liquor advertising was a cost efficient method of combating alcohol abuse.
In reply to his address one of the participants referred to the study by media analyst Mr. Chris Moerdyk on the effect of an advertising ban on the wine industry which was reported in the September issue of Wineland magazine.
According to Moerdyk a total ban on liquor advertising would lead to a loss of R1.8 billion in advertising revenue in the mass media, a loss of R2.6 billion for sponsorships and development programmes in sport as well as job losses in the wine industry.
Danie Cronje, the Director of Liquor Law Services at Cluver Markotter Incorporated commented that the ban on advertising would prejudice new entrants to the wine industry and will only benefit larger role players who have already established their brands.
During a group discussion by interested participants it was agreed that a total ban was not the way forward but that restrictions were required.
According to Cronje this means that roleplayers in the wine industry would have to ensure that they monitor any developments regarding the drafting of legislation containing proposed restrictions in order to protect their interests.
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