SA: Wine farms look wobbly
SA: Wine farms look wobbly
Sep 30, 2012 6
(BDLive) - WINE farmers are struggling as high costs have slashed profits. Over the past seven years, total production costs have increased by 61% to R30582 a hectare, largely due to increases in the prices of fuel, electricity and water.
Net farming income fell from R1 per 750ml of wine in 2004 to 38c in 2011, according to a VinPro and Winetech report.
Yet this has not stopped people from wanting to own wine farms.
FNB CEO Michael Jordaan owns Bartinney.
Two of FirstRand's co-founders, GT Ferreira and Paul Harris, have farms in the Stellenbosch region - Tokara and Audacia.
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