The Value of Luxury

Monday, 21 May, 2018
Tshepang Molisana
Maxhosa knitwear is an international mohair brand whose humble origins are rooted in South Africa's Eastern Cape. Recently, the fine wool brand has found itself at the heart of a conversation about the delicate balance between luxury and a non-inclusive economy.

The crisis began with a tweet sharing the brand's new range of rugs, priced from R20,000 upwards. Many social media users felt outraged at a luxury item that they felt outpaced South Africa's poverty. The indignation begged the question, 'is there room for home grown luxury goods in South Africa's slow growing economy that is rife with poverty and unemployment'?

Wine Cellar hosted a tasting of South Africa's most expensive white wines at their Cape Town and Johannesburg cellars. Winemaker, Jolette Steyn holds a WSET Level 3 certificate as well as a Masters degree in Oenology. At the Johannesburg presentation of Wine Cellar's Luxury white wine tasting, Jolette imparted, "luxury is something that is desirable but is not easily obtainable."

In 2015, the average price of a bottle at Wine Cellar's Luxury White Wine Tasting was R465. In 2018, the average price for a bottle at this tasting was a sharp R754. Has inflation hit South African wine pockets with all its might, or is there room in South Africa's luxury market for a bottle of Capensis 2014, priced at R950? Is there room for a luxurious mohair rug or are South Africans priced out of our own luxury market?

Economic data begs to differ.

According to Statistics South Africa, at the 2018 International Travel Trade Show hosted in Germany in March 2018, South African Tourism CEO Sisa Ntshona imparted how vital tourism is for the South African economy and how the sector should be nurtured to ensure sustainable and inclusive growth.

Stats SA's annual Tourism Satellite Account for South Africa report indicated that tourism contributed 2,9% to South Africa's Gross Domestic Product in 2016. This indicates that tourism is a larger contributor than agriculture, albeit a smaller contributor than construction and mining. Tourism contributed 40,000 net jobs between 2012 and 2016, which is higher than jobs created in trade and utilities, or industries such as electricity, gas and water. While the triple threat of poverty, inequality and unemployment has highlighted the serious challenges faced by South Africa, the tourism sector's 686 596 workers reflected how 1 in 23 or 4,4% of South Africa's workforce is directly employed by the tourism sector.

Itumeleng Mohale is a wine advisor at 210ha large Simonsig Estate in Stellenbosch. Itumeleng knows the firsthand effects of the burgeoning tourism economy and its concomitant effects on the burgeoning wine tourism economy.

From his experience in the tasting room, Itumeleng imparts, "in summer the tasting room is fairly busy as this is the time when most of our local customers and tourists come to visit. In winter, the activity quiets down a bit, which gives us enough time to plan for the next summer season or catch up on paperwork."

"Typically," Itumeleng says, "I start the day by grabbing a cup of coffee and checking upcoming bookings for the day. This is followed by setting up tables for tastings and then at 8.30am we open for service – this includes cellar tours, tastings and wine sales. The day ends at about 5pm with cash up and sometimes a glass of bubbly."

Itumeleng's often frenetic days are reflective of the inner workings of many members of the wine economy.

If Itumeleng had not decided to work in the wine industry, he says that he probably would have pursued a career in Electrical Engineering.

Some of the best parts of his chosen career path include meeting people from all over the world, learning new things - and a trip to Burgundy in 2016.

For those interested in pursuing a similar path, Itumeleng advises, "start by completing a wine course at Cape Wine Academy or WSET. If you want to go into winemaking or viticulture, I would recommend studying at Stellenbosch University or Elsenburg Agricultural Training Institute."

Itumeleng studied through the Cape Wine Academy and is currently studying to be a qualified sommelier.

"I enjoy harvest the most as this is where you really get to see what goes on behind-the-scenes of a working cellar," Itumeleng says. "It is also the time of the year when you get to see more of the winemaking process in action, such as sugar levels and most importantly, getting the right grapes at the right time."

Qualities that Itumeleng feels are vital for those interested in joining this rapidly growing industry include time management and flexibility.

Being able to balance administrative work as well as customer service are crucial. It is also important to be flexible, as Itumeleng says often extra hours are required and being on your feet while smiling all day can be a challenge.

To unwind after a hard day's work, for Itumeleng, the ultimate luxury is an "ice gold glass of Simonsig Kaapse Vonkel MCC."

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Itumeleng Mohale
Itumeleng Mohale

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