What It Takes to Start a Wine Business

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What it takes to start a wine business in South Africa

Starting a wine business does not require owning vineyards. Many brands buy grapes or finished wine, have it made and bottled under contract, and concentrate on the brand and the selling. That route removes the largest capital cost in the industry and leaves you facing the actual constraint, which is distribution.

The regulatory requirements are substantial and they apply whether or not you own land.

The negociant route

Buying grapes or bulk wine and having it produced under contract at an existing cellar lets you build a brand without buying land or equipment. You control blend, packaging and positioning.

The trade is margin and control: you depend on the cellar’s capacity and quality, and on securing fruit each season. Contracts for both should be written and should cover what happens in a poor harvest.

Certification and labelling are not optional

Wine sold in South Africa is subject to a certification scheme governing origin, vintage and variety claims, with sampling and approval before a wine may carry those claims on the label.

Labelling is separately regulated, covering alcohol content, volume, allergen declarations such as sulphites, and the responsible party. Build certification timelines into your launch plan, because approval takes time and cannot be compressed.

Liquor licensing applies to you

Producing and distributing liquor requires registration with the National Liquor Authority for manufacturers and distributors, with annual renewal.

Selling to the public, including from a tasting room or online to consumers, requires a licence from your provincial liquor authority. These are separate applications and both take months.

Route to market is the real problem

Retail shelf space is contested and requires listing, consistent supply and volume. Restaurants buy in small quantities with long payment terms. Export pays well and carries the highest compliance burden. Direct sales carry the best margin and the highest marketing cost.

Decide which you are building for before you decide how much to produce. Wine made without a confirmed route to market becomes stock you are financing, and it is a slow, expensive way to learn the lesson.

Frequently asked questions

Do I need a farm to start a wine brand?

No. Buying grapes or bulk wine and producing under contract at an existing cellar removes the largest capital cost.

What is certification for?

It governs claims about origin, vintage and variety, requiring sampling and approval before a wine may carry them on the label.

What licences do I need?

Registration with the national authority as a manufacturer or distributor, plus a provincial licence to sell to the public.

How long does licensing take?

Months rather than weeks for both, and they are separate applications. Build that into the launch plan.

What is the hardest part?

Route to market. Wine produced without a confirmed buyer becomes stock you are financing indefinitely.

Originally published in January 2018. Updated September 2026 into guidance on starting a wine business rather than a single founder profile.

Tshepho Joel - author photo

Edited by
Tshepho Joel

Tshepho Joel is an experienced digital strategist with a proven track record of lifting user retention, leads, and revenue. Drawing on a robust background in performance marketing, he brings a data-driven, results-first eye to his work. Above all, he is dedicated to helping South African entrepreneurs start, fund, and grow their businesses.

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