Police raid counterfeit liquor operation in South Africa

Members of the South African Police Service’s (SAPS) Directorate for Priority Crime Investigation, also known as the Hawks, have uncovered an operation manufacturing counterfeit Smirnoff products.

In a joint operation with the Durban Serious Commercial Crime Investigations Unit, Hawks members from Pietermaritzburg searched a property in Howick, where they uncovered the machinery.

“The Hawks uncovered a range of sophisticated machines used in the production of counterfeit Smirnoff 1818 bottles,” Warrant Officer Sibu Ncane said in a statement.

“This included a bottle-blowing machine, high-pressure air compressor, evaporating temperature machine, industrial chiller, and fine compressor air filters, as well as various sizes of counterfeit Smirnoff 1818 bottles.”

According to SAPS, the operation followed the detention of a shipping container at the MSC depot in Durban, which allegedly contained Smirnoff bottles, closures, and stickers.

The Hawks were then able to identify the container’s destination, based on further intelligence, which was searched on Saturday, 25 October.

KwaZulu-Natal Hawks Provincial Head, Major General Lesetja Senona, commended the members for their good work. Police say that no arrests have been made as of yet.

Illicit alcohol a growing concern in South Africa

According to a report by Euromonitor titled Understanding the Illicit Alcohol Market in South Africa, illicit alcohol makes up 18% of the South African market, which is nearly one in five drinks.

This makes the industry worth roughly R25.1 billion, with 31% of the value attributed to counterfeit products, primarily due to the sophistication of these operations.

Additionally, 23% of the value is smuggled into South Africa, and 25% is attributed to tax leakage.

According to the Drinks Federation South Africa (DF-SA), the volume of illegal alcohol in South Africa increased by 55% from 2017 to 2024, reaching 773,424 hectolitres, equivalent to 77 million litres.

However, the increase in fiscal loss has been far greater, growing from R6.4 billion in 2017 to R16.5 billion in 2024.

According to DF-SA CEO Richard Rivett-Carnac, this not only threatens the health of many South Africans but their livelihoods as well.

“This is not just a public health concern, but a direct threat to fiscal revenues and formal businesses that contribute significantly to the economy and job creation,” he said.

“The legal alcohol sector supports around one in 31 jobs and generates over R100 billion in tax revenue annually. When illicit traders avoid tax, undercut the market, and exploit vulnerable consumers, we all lose.”

DF-SA points out that illicit alcohol is not only sold on the black market but also exists in formal channels, appealing to customers because of its affordability.

The Euromonitor report, which conducted a study with 707 respondents, found that 67% of customers who purchase illicit products are willing to accept lower prices regardless of the origin.

On the other hand, 83% of respondents were worried about the health risks associated with illicit alcohol.

A recent study by American research firm IWSR found that 80% of South African adults drink alcohol, with this figure declining among younger people.

IWSR found that 78% of Gen Zs, born between 1998 and 2012, in the country consumed alcohol in 2023, compared to 75% in 2025.

While data shows that South Africans are tending to consume more alcohol overall, the data for Gen Z stands in contrast to other countries, where younger people are increasingly consuming more alcohol.