Licentia Franchise SA

LEGISLATION

The National Liquor Act 2003 (Act No. 59 of 2003) governs the distribution and sale of liquor in South Africa. The National Liquor Authority (NLA), operating under the Department of Trade, Industry, and Competition (DTIC), is responsible for regulating the manufacturing, distribution, and sale of liquor at the national level.

The three-tier system separates the responsibilities of manufacturers, wholesalers, and retailers. In this system:
• Manufacturers supply alcoholic products to wholesalers.
• Wholesalers distribute products to retailers.
• Retailers sell liquor to consumers.

Each tier is regulated and licensed separately by the National Liquor Authority (NLA).

A Liquor Manufacturer

A Liquor Manufacturer License allows the manufacturing, distilling, or blending of alcoholic beverages, including spirits, beer, and wine, for distribution to licensed wholesalers and retailers. The manufacturing process is subject to regulations that ensure compliance with national standards for safety and responsible business practices.

Manufacturers must adhere to production volume limits:
• Beer: 100 million liters annually.
• Sorghum Beer (traditional African beer): 50 million liters annually.
• Wine: 4 million liters annually.
• Spirits: 2 million liters annually.

A Liquor Distributors / Wholesales

A Liquor Distributor/Wholesale License permits the license holder to purchase liquor from manufacturers and sell it to other licensed merchants, wholesalers, or exporters. The license holder cannot sell liquor to retail consumers. To become a distributor, the applicant must comply with the National Liquor Act 59 of 2003 and related NLA regulations. This license allows the holder to distribute alcoholic beverages only to entities that are also licensed under the Act.

LEGISLATION

The National Liquor Act 2003 (Act No. 59 of 2003) governs the distribution and sale of liquor in South Africa. The National Liquor Authority (NLA), operating under the Department of Trade, Industry, and Competition (DTIC), is responsible for regulating the manufacturing, distribution, and sale of liquor at the national level.

The three-tier system separates the responsibilities of manufacturers, wholesalers, and retailers.
In this system:
• Manufacturers supply alcoholic products to wholesalers.
• Wholesalers distribute products to retailers.
• Retailers sell liquor to consumers.

Each tier is regulated and licensed separately by the National Liquor Authority (NLA).

A Liquor Manufacturer

A Liquor Manufacturer License allows the manufacturing, distilling, or blending of alcoholic beverages, including spirits, beer, and wine, for distribution to licensed wholesalers and retailers. The manufacturing process is subject to regulations that ensure compliance with national standards for safety and responsible business practices.

Manufacturers must adhere to production volume limits:
• Beer: 100 million liters annually.
• Sorghum Beer (traditional African beer): 50 million liters annually.
• Wine: 4 million liters annually.
• Spirits: 2 million liters annually.

A Liquor Distributors / Wholesales

A Liquor Distributor/Wholesale License permits the license holder to purchase liquor from manufacturers and sell it to other licensed merchants, wholesalers, or exporters. The license holder cannot sell liquor to retail consumers. To become a distributor, the applicant must comply with the National Liquor Act 59 of 2003 and related NLA regulations. This license allows the holder to distribute alcoholic beverages only to entities that are also licensed under the Act.

NOTICE

The Manufacturing, Distribution, and Wholesale Liquor License must be renewed annually through the National Liquor Authority (NLA) by completing the prescribed forms and submitting the required documents. Renewals must be submitted one calendar month before the expiration date of the license.

A two-month grace period may be granted after the expiry date, but penalties will apply. If the registration is not renewed within the grace period, the license will be canceled.

NOTICE

The Manufacturing, Distribution, and Wholesale Liquor License must be renewed annually through the National Liquor Authority (NLA) by completing the prescribed forms and submitting the required documents. Renewals must be submitted one calendar month before the expiration date of the license.

A two-month grace period may be granted after the expiry date, but penalties will apply. If the registration is not renewed within the grace period, the license will be canceled.