Liquor Products Amendment Act

1. Section 1 of the Liquor P r o d u c ts Act, 1989 (hereinafter referred to as the principal Act), is hereby a m e n d e d— (a) the substitution by definition: for the definition of " c o n t a i n e r" of the following " ' c o n t a i n e r' m e a ns a e x c e e d i ng [5] five l i t r e s ; ": [receptacle] container with a capacity not (b) by the substitution definition: for the definition of " d e p a r t m e n t" of the following '"•department' m e a ns a nd M a r k e t i n g] A g r i c u l t u r e : ": the D e p a r t m e nt of [Agricultural E c o n o m i cs (c) by the substitution for the definition of " g r a p e s" of the following definition: " ' g r a p e s' m e a ns fruit of plants of Vitis [vinifera];'"; and (d) by the insertion after the definition of " i m p o rt certificate" of the following definition: " ' i n t e r n a t i o n al o b l i g a t i o n s' Property Rights or the W i ne and Spirit A g r e e m e n t ; ". includes the T r a d e - R e l a t ed Intellectual Act No. 32, 2008 LIQUOR PRODUCTS AMENDMENT ACT. 2008 A m e n d m e nt of section 2 of Act 60 of 1989, as a m e n d ed by section 1 of A ct 11 of 1993

2. Section 2 of the principal Act is h e r e by a m e n d e d— (a) by the substitution for subsection (2) of the following subsection: " ( 2) (a) T he board consists of— least eight persons with the the liquor relevant k n o w l e d g e, skills or at expertise in viticulture, oenology, distilling, regulatory e n v i r o n m e nt of or microbiology; three officers of the D e p a r t m e nt nominated by the D e p a r t m e n t; one person nominated by the Agricultural Research C o u n c i l; and one person designated by the Minister. production, industry, liquor safety food (i) (ii) (iii) (iv) (b) T he Minister shall appoint the m e m b e rs of the board c o n t e m p l a t ed in p a r a g r a ph (a)(i) subject to paragraph (d). and shall designate one of the m e m b e rs of the board as chairperson. (c) The Minister shall notify Parliament in writing of the a p p o i n t m e nt of the m e m b e rs of the board within 30 d a ys after such an a p p o i n t m e n t. (d) T he process for the a p p o i n t m e nt of the m e m b e rs of the board shall be as follows: (i) T he Minister shall, by notice in the Gazette in every p r o v i n ce of the Republic, and in any national n e w s p a p er circulating invite persons, stakeholders and the industry to submit to the Minister, within a period m e n t i o n ed in the notice, the n a m es of persons w ho c o m p ly with the criteria referred to in paragraph the Minister shall establish a selection c o m m i t t ee consisting of at least four persons and designate a chairperson for the c o m m i t t e e; and the selection c o m m i t t ee shall, from the n o m i n a t i o ns submitted to it, compile a short-list of eligible candidates and submit its r e c o m m e n­ dation b o a r d . "; the a p p o i n t m e nt of m e m b e rs to the Minister for (a)(i); the to (ii) (iii) (b) by the substitution for subsection (3) of the following subsection: " ( 3) No person shall be appointed as a m e m b er [or alternate m e m b e r] of the b o a r d— (a) unless he or she is a South African citizen p e r m a n e n t ly resident in the R e p u b l i c; if he or she is an unrehabililated insolvent; if he or she has [ m o re t h an o n c e] been convicted of an offence under this A c t: or if he or she has been convicted of any offence for which he or she has been sentenced to i m p r i s o n m e nt without the option of a fine.'"; (b) (c) (d) (c) by substitution for subsection (4) of the following subsection: " ( 4 )( a) A m e m b er [or an alternate m e m b e r] of the board shall hold [his] office, subject to [the p r o v i s i o ns of] subsection ( 5 ) , [— (i) (ii) in t he c a se of an officer, at t he M i n i s t e r 's p l e a s u r e; a nd in a ny o t h er c a s e, for s u ch p e r i o d, but] for a period not e x c e e d i ng [five y e a r s, as the M i n i s t er m ay d e t e r m i ne at the t i me of a p p o i n t m e nt of that m e m b er or alternate m e m b e r] three years, and such m e m b er [or a l t e r n a te m e m b e r] shall after the expiration of [the s a i d] such period, continue in office [for a further p e r i o d, but not e x c e e d i ng three m o n t h s ,] until his or her successor has been appointed. (b) If a m e m b er [or an a l t e r n a te m e m b e r] of the board ceases to hold office for any reason, the Minister may. subject to [the p r o v i s i o ns of] subsection (2), appoint any person in his or her place for the unexpired period of his or her term of office. (c) Any person w h o se term of office as a m e m b er [or alternate m e m b e r] of the board has expired, shall i m m e d i a t e ly thereafter be eligible for reappointment without c o m p l y i ng with the process c o n t e m­ plated in subsection (2)(d). (d) A m e m b er of the b o a rd m ay not serve m o re than t wo c o n s e c u t i ve t e r m s . "; Act No. 32, 2008 LIQUOR PRODUCTS AMENDMENT ACT. 2008 (d) by the substitution for subsection (5) of the following subsection: " ( 5) (a) A m e m b er [or an alternate m e m b e r] of the board shall vacate [his] office if he or s h e— (i) (ii) (iii) [(iv) [if he b e c o m es subject to any disability m e n t i o n ed in] b e c o m es disqualified in terms of subsection (3); [if h e] b e c o m es of unsound mind; [if, in the c a se of a m e m b e r, he] h as been absent from m o re than two consecutive meetings of the board without the leave of the [ c h a i r m a n] chairperson if, in the case of a m e m b er or an a l t e r n a te m e m b er n o m i n a t ed by a b o dy specified in s u b s e c t i on (2)(a)(i), (ii) or (iv), the body c o n c e r n ed notifies the D i r e c t o r - G e n e r al in w r i t i ng t h at such m e m b er or alternate m e m b er shall no l o n g er s e r ve on the board as n o m i n ee of that b o d y ]. (b) [ T h e] Subject to the P r o m o t i on of A d m i n i s t r a t i ve Justice Act, 2 0 00 (Act N o. 3 of 2000), the Minister may at any time r e m o ve a m e m b er [or an alternate m e m b e r] of the board from [his] office if in the opinion of the Minister, sound reasons exist for doing s o . "; (e) by the substitution for subsection (6) of the following subsection: "(6) [(a) T he m e m b er referred to in s u b s e c t i on (2)(a)(v) shall be the c h a i r m an of the b o a r d .] (b) T he m e m b e rs of the board shall at the first meeting of the board, and thereafter w h e n e v er necessary, elect a [ v i c e - c h a i r m a n] d e p u ty chairperson from [ a m o ng the m e m b e rs referred to in s u b s e c t i on (2) (a)(i), (c) (ii), (iii) a nd (iv)] a m o n g st t h e m s e l v e s. If both [ v i c e - c h a i r m a n] deputy chairperson are absent from a m e e t i ng of the board, the m e m b e rs present shall from [ a m o ng their n u m b e r] a m o n g st t h e m s e l v es elect a [person] m e m b er to preside at [that] such m e e t i n g . ": and by the substitution for subsection 9 of the following subsection: the [ c h a i r m a n] chairperson and the (f) " ( 9) [There m ay be paid to a m e m b er and an a l t e r n a te m e m b er of the b o a rd a n d] A m e m b er of the board and a m e m b er of a c o m m i t t ee referred to in subsection (8) w ho are not in the full-time e m p l o y m e nt of the State, shall be paid from the funds of the board such a l l o w a n c es as the Minister may. with the c o n c u r r e n ce of the Minister of F i n a n c e, d e t e r m i ne in general or in any particular c a s e . ". A m e n d m e nt of section 4 of A ct 60 of 1989

3. Section 4 of the principal Act is hereby a m e n d ed by the substitution for subsection (1) of the following subsection: " ( 1) No person shall sell or produce for sale any p r o d u c t— (a) with an alcohol content of more than one per cent for drinking p u r p o s es [,] ^ (b) or including but not to a p o w d er form, w h i c h, c o m b i n ed with any substance or liquid, will h a ve an alcohol content of m o re than one per cent and is intended for drinking purposes, limited unless that product is a liquor p r o d u c t . ". A m e n d m e nt of section 5 of A ct 60 of 1989

4. Section 5 of the principal Act is hereby a m e n d ed by the substitution for subsection (1) of the following subsection: "(1) W i ne shall be p r o d u c e d— (a) (b) [be p r o d u c ed f r om fresh] from grapes of a prescribed cultivar [that are in s u ch a c o n d i t i on that, after h a v i ng b e en p r e s s e d, alcoholic f e r m e n t a t i on c an o c c ur in the u n d i l u t ed j u i ce thereof]; [be p r o d u c e d] b y— (i) the alcoholic fermentation, in a c c o r d a n ce with generally a c c e p t ed cellar practices, of the juice of [such fresh] grapes c o n t e m p l a t ed in paragraph (a) or the reconstituted juice obtained from a c o n c e n t r a te of the juice of such grapes or of a mixture of such juice and such reconstituted juice; Act No. 32, 2008 LIQUOR PRODUCTS AMENDMENT ACT. 2008 (ii) c o m p l e t i ng or terminating such alcoholic fermentation; or (iii) the addition of a prescribed spirit derived from grapes[,] to [the] j u i ce of such [fresh] g r a p es or such fermented juice; and (c) [be p r o d u c e d] r e q u i r e m e n ts for wine or a particular prescribed class thereof.". in such a m a n n er it c o m p l i es with that the prescribed A m e n d m e nt of section 11 of A ct 60 of 1989

5. Section 11 of the principal Act is hereby a m e n d ed by the substitution for subsection (1) of the following subsection: " ( 1) No person shall sell any liquor product in a container, unless the prescribed particulars of such liquor product are indicated in the prescribed m a n n er on the label [thereof] of such container and on the p a c k a ge of such c o n t a i n e r . ". Insertion of s e c t i on 1 3A in A ct 60 of 1989

6. T he following section is hereby inserted in the principal Act before section 14: " R e s t r i c t i on on use of g e o g r a p h i c al n a m es 13A. (1) T he Minister may, the R e p u b l i c 's international obligations or a g r e e m e n ts with other countries, by notice in the Gazette restrict the use of specified geographical n a m es in c o n n e c t i on with the sale or export of a specified liquor product, on such c o n d i t i o ns as m ay be specified in such notice. into account taking (2) A notice issued in terms of subsection (1) shall also apply w h e re the g e o g r a p h i c al n a me c o n c e r n e d— (a) is used in conjunction with an indication of the true origin of the liquor product; is translated; or is a c c o m p a n i ed by an expression such as ' i m i t a t i o n' or any similar e x p r e s s i o n . ". ' k i n d ', ' t y p e ', ' s t y l e '. (b) (c) A m e n d m e nt of section 14 of A ct 60 of 1989

7. Section 14 of the principal Act is hereby a m e n d ed by the substitution for subsection (1) of the following subsection: or (b) of t he W i ne a nd Spirit Control A c t, 1 9 70 ( A ct N o. 47 of 1970), or " ( 1) T he Minister may, on the r e c o m m e n d a t i on of the board, by notice in the establish a s c h e me in respect of [wine, b r a n dy r e f e r r ed to in section Gazette1 9(l)(a) a g r a p e - b a s ed l i q u o r] a liquor product derived from g r a p e s, with a view to further regulating particular matters relating to the production and sale of such liquor products, including the granting of [ a u t h o r i z a t i o n s] authorisations for the use of particulars referred to in section 1 l(3)(a) and (4) in c o n n e c t i on with the sale of the said liquor p r o d u c t s . ". A m e n d m e nt of section 16 of A ct 60 of 1989

8. Section 16 of the principal Act is hereby a m e n d e d— (a) the substitution by p a r a g r a p h: in subsection (3) for p a r a g r a ph (a) of the following obligations of the R e p u b l i c, an import certificate shall be issued only (i) "(a) Subject to [the p r o v i s i o ns of] paragraph (b) and the international if— the product concerned is w i n e, an alcoholic fruit b e v e r a g e, a spirit, a grape-based liquor or a spirit-based liquor; and in the case of a product imported in the c o n t a i n e rs in w h i ch it is to be sold in the Republic, the [labels] particulars on those containers and on the p a c k a ge of such c o n t a i n e rs c o m p ly with the applicable r e q u i r e m e n ts of this A c t . "; (ii) (b) by the deletion in subsection (3)(b) of s u b p a r a g r a ph (iv); and Act No. 32, 2008 LIQUOR PRODUCTS AMENDMENT ACT. 2008 (c) the substitution by paragraph: in subsection (4) for paragraph (a) of the following "(a) An import certificate shall be issued on the conditions d e t e r m i n ed by the a d m i n i s t e r i ng officer [or, in t he case of a p r o d u ct referred to in s u b s e c t i on (3)(b), the b o a r d ] . ". A m e n d m e nt of section 17 of A ct 60 of 1989

9. Section 17 of the principal A ct is hereby a m e n d ed by the substitution in subsection (3) for paragraph (b) of the following paragraph: "(b) in the case of a liquor p r o d u ct derived from g r a p es and w h en required by regulation, the product the board has concerned to be suitable for e x p o r t . ". the prescribed m a n n er found in A m e n d m e nt of section 23 of A ct 60 of 1 9 8 9, as a m e n d ed by s e c t i on 4 of A ct 11 of 1993

10. Section 23 of the principal A ct is hereby a m e n d ed by the substitution for subsection (2) of the following subsection: " ( 2) A ny person w ho is convicted of an offence u n d er this Act s h a l l— (a) (b) (c) (d) on a first conviction of an offence referred to in p a r a g r a ph (a), (c). (d), (e), (f) or (g) of subsection (1), be liable to a line [not e x c e e d i ng R8 0 0 0] or to i m p r i s o n m e nt for a period not [ e x c e e d i n g] less than t wo years or to both [that] a line and [that] such i m p r i s o n m e n t; on a second or s u b s e q u e nt conviction of an offence m e n t i o n ed in p a r a g r a ph (a), w h e t h er it be the same offence or s o me other offence m e n t i o n ed in that paragraph, be liable to a fine [not e x c e e d i ng R 16 0 0 0] or to i m p r i s o n m e nt for a period not [ e x c e e d i n g] less than four years or to both [that] a fine and [that] such i m p r i s o n m e n t; on a first conviction of an offence referred to in p a r a g r a ph (b), (h). (i), (j), or (k) of subsection to i m p r i s o n m e nt for a period not [ e x c e e d i n g] less than six m o n t hs or to both [that] a fine and [that] such i m p r i s o n m e n t; and on a second or subsequent conviction of an offence m e n t i o n ed in paragraph (c). w h e t h er it be the s a me offence or s o me other offence m e n t i o n ed in that paragraph, be liable to a fine [not e x c e e d i ng R4 0 0 0] or to i m p r i s o n m e nt for a period not [ e x c e e d i n g] less than o ne year or to both [that] a fine and [that] such i m p r i s o n m e n t . ". liable to a fine [not e x c e e d i ng R2 0 0 0] or (1), be A m e n d m e nt of section 27 of A ct 60 of 1989

11. Section 27 of the principal A ct is hereby a m e n d ed by the addition of the following paragraphs: "(m) (n) of quantity and m a r k i ng the and used in the production and storage of liquor p r o d u c t s; the c i r c u m s t a n c es and conditions u n d er w h i ch the a d m i n i s t e r i ng officer or the board, as the case m ay b e, may allow for a relaxation of a r e q u i r e m e nt in terms of a regulation or a s c h e m e , ". r e c e p t a c l es tanks, c a s ks other Transitional p r o v i s i on

12. A ny m e m b er of the board in office i m m e d i a t e ly prior to the c o m m e n c e m e nt of this Act, shall remain in office until the appointment of the m e m b e rs of the b o a rd in t e r ms of the L i q u or Products Act. 1989 (Act N o. 60 of 1989), as a m e n d ed by this Act. S h o rt title and c o m m e n c e m e nt

13. T h is Act is called the L i q u or P r o d u c ts A m e n d m e nt Act, 2 0 0 8, and c o m es to operation on a date fixed by the President by p r o c l a m a t i on in the Gazette.