A growing taste for premium spirits among an emerging South African middle class has spurred an explosion in boutique gin producers, some of whom are flavoring their drinks with unique local ingredients.
About a dozen new craft gins have gone on sale in the country in the past 12 months, according to Lorna Scott, founder and owner of the Inverroche distillery, in Stilbaai, about 340 kilometres (212 miles) southeast of Cape Town. "At the base of this gin craze is a strong move towards finding flavors that have very strong local roots," she said by phone from the coastal resort town, where she infuses gin with fynbos – plants found only in the region – in batches of a few hundred at a time.
Scott and rival boutique producers are providing increased competition for the likes of Diageo Plc, whose brands including Gordon’s have long been big sellers in the local gin market. South African drinkers are developing a taste for flavors of African ginger and Kalahari truffles in their spirit and Johannesburg will host its first two-day gin and tonic festival this week.
Craft operations like Scott’s and others, including the Woodstock Gin Company and Musgrave, are seeking to accelerate a switch to gin among more-affluent South Africans. About 5.3 million black adults are middle-class, in households earning as much as 50,000 rand ($3,455), the University of Cape Town’s Unilever Institute of Strategic Marketing estimates. That compares with about 2.7 million middle-class white adults, out of a population of 55 million. Gin consumption is forecast to rise by 4.3 per cent to 6 million litres this year, local industry figures show.
The fashion for premium gin has even attracted winemakers, with Blaauwklippen estate producing a range that incorporates flavors from Karoo shrubs and rooibos tea plants. Gin’s new incarnations have led to a drink that is "sexy and trendy" to South African consumers, Blaauwklippen Cellar Master Rolf Zeitvogel said by phone from Stellenbosch, near Cape Town.
Scott and her peers are also pursuing export markets. Inverroche is available in the UK, where it costs about $50-$56 a bottle, Norway, Denmark , Sweden, Belgium, Germany, the Netherlands, Switzerland and Singapore. Last week saw the first order from Canada.
"We can’t supply more than what we produce, so it’s all limited," Scott said. "I’ve got a policy whereby I do 30 per cent exports and 70 per cent local."
News by Bloomberg, edited by ESM. To subscribe to ESM: The European Supermarket Magazine, click here.
