Price of alcohol and cigarettes to increase with immediate effect


alcohol and cigarettes
Photo: Getty

On Wednesday (24 February), the National Treasury said that Government will increase the excise duties on alcohol and cigarettes by 8%.

While presenting his 2021 Budget Speech on Wednesday, finance minister Tito Mboweni confirmed the following price increases on alcohol and cigarettes that will come into immediate effect:

  • A 340ml can of beer or cider now costs an extra 14 cents
  • A 750ml bottle of wine now costs an extra 26 cents
  • A 750ml bottle of sparkling wine now costs an extra R1.15 cents
  • A bottle of 750 ml spirits, including whisky, gin or vodka, increased by R5.50
  • A packet of 20 cigarettes now costs an extra R1.39
  • 25 grams of piped tobacco now costs an extra 47 cents
  • And a 23-gram cigar is R7.71 more expensive

Mboweni said that excessive alcohol consumption clearly leads to negative social and health outcomes and that “consumers do react to price increases, and higher prices should lead to lower consumption of alcohol products with positive spinoffs.”

This announcement comes as provincial governments consider increasing the price of alcohol by means of introducing The Liquor Amendment Bill, first drafted in 2016.

The DA firmly supports changes to alcohol laws in the country. While Western Cape premier Alan Winde agrees that the economic damage caused by the national ban on alcohol during 2020 was unsustainable, he also acknowledged that provincial data showed that there are clear problems with alcohol abuse in the country.

Read More | Strict alcohol laws on the way including new legal drinking age and higher taxes

Alongside The Liquor Amendment Bill, the DA is also pursuing amendments to the Western Cape Liquor Act. “These amendments will, directly and indirectly, reduce alcohol harms, as well improve the efficiency of the Western Cape Liquor Authority,” Winde said.

Winde confirmed that a handful of these amendments will be presented to a Regulatory Impact Assessment committee next week and by month-end, The DA will submit its formal submission to cabinet.

Find out more about The Liquor Amendment Bill, right here and find more trending content, here.


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