May 26, 2022

DYK – It Is A Requirement To Submit A B-BBEE Certificate When Applying For A Liquor Licence?

The Department of Trade and Industry (DTI) requires an entity to be registered with the National Liquor Authority if they wish to trade as a manufacturer or distributor of liquor. The (DTI) requires that several documentation and requirements be submitted to proceed with an application to obtain a manufacturer or distribution license.

An essential requirement to obtain the license mentioned above, is to submit a B-BBEE certificate. A B-BBEE certificate will also be required upon the annual renewal of such license. Depending on the entity’s turnover, either a Generic or QSE scorecard needs to be rated to obtain the said B-BBEE certificate. A B-BBEE level 4 affidavit will only be required should the entity’s turnover not exceed R 10 million.

It can be assumed that a compliant B-BBEE level will be required; however, it is not clear whether a –non-compliant certificate will be accepted and how strictly this requirement will be implemented to succeed with an application or renewal of the above-mentioned license.

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