FNB has highlighted the role that stakeholders play in advancing the South African wine industry's shift towards a more sustainable model. FNB says sustainability has become a cornerstone of the South African wine industry, shaping how wine is produced, marketed and consumed.
FNB says that as the industry continues to prioritise environmental stewardship and social responsibility, stakeholders across the value chain need to play a role in advancing these sustainability efforts and building SA's wine sector into a blueprint of resilience and growth that other agricultural sectors can emulate.
According to Gert Breet, Sustainable Agriculture Lead at FNB Commercial, the bank's sponsorship of the Sauvignon Blanc SA Top 10 Competition highlights the significant role that corporate support can play in driving sustainability. This partnership not only celebrates innovation and excellence within the industry but also serves as a platform to spotlight environmentally conscious practices.
"FNB's role in the wine sector, and agriculture in general, extends beyond financing, encompassing partnerships, advisory services and initiatives aimed at strengthening sustainability across the value chain," Breet says. "We provide tailored support to producers investing in practices that benefit the environment, workers and communities while managing risks and maintaining the economic viability of their operations."
Breet says that producers are at the forefront of these sustainability efforts, adopting practices that preserve the land while prioritising the well-being of the people who make wine farming possible. He cites FNB client, Diemersdal Wine Estate, as a compelling example of this holistic approach.
Diemersdal is deeply committed to what owner-winemaker Thys Louw describes as "human terroir" — the idea that people are as vital to wine farming as the land itself. "Human terroir is the most crucial element of wine farming," Louw says. "Without investing in people, no vineyard or winery can truly be sustainable." By integrating this focus with certified environmentally responsible farming methods, Diemersdal exemplifies how a commitment to people and the planet can drive resilience and success.
FNB says the industry's progress is further supported by organisations like South Africa Wine, which provide guidance and advocacy for sustainable practices. The Integrated Production of Wine (IPW) scheme, adopted by over 95% of South Africa's vineyards, ensures that farming practices meet rigorous environmental and social standards. These efforts are bolstered by various other certification standards such as Fairtrade and WIETA that give consumers confidence in the sustainability credentials of South African wines.
Rico Basson, Executive Director of South Africa Wine, says, "Sustainability is not only a commitment to preserving our natural resources, but also to governing our entire wine sector appropriately and uplifting the people and communities who are the lifeblood of the industry. Collaboration and innovation are the cornerstones of this sustainability focus, which is vital to secure the future of South African wine."
Louw and Basson point out that consumers also play a key role in these collaborative sustainability efforts. By prioritising wines produced under environmentally and socially responsible practices, they reinforce the industry's commitment to high ESG standards.
However, Louw highlights that a significant challenge remains the ability of the wine sector to bridge the gap between consumer aspirations for sustainability and their willingness to pay a premium for sustainably produced wines. "We need consumers to prioritise value over price, and to achieve this, producers and marketers need to effectively communicate the importance of sustainability, demonstrating how it enhances wine quality, strengthens communities and protects the environment," says Louw.
Of course, the financial sector's role in fostering sustainability in SA's wine industry cannot be overstated. By offering targeted financial products and advisory services, banks like FNB enable producers to adopt sustainable practices that might otherwise be financially prohibitive, says FNB.
FNB's sustainability-linked loans and initiatives like the FNB Sustainable Agriculture Loan are designed to encourage investment in renewable energy, water efficiency and regenerative farming. "FNB works tirelessly to deliver solutions that provide favourable terms and lower the financial barriers for producers and other wine value chain participants, ensuring progress is accessible across the industry," Breet says. "The close working partnerships we have with these businesses also reduce the risks associated with environmental and social challenges, creating a more resilient client base for FNB and a stronger wine industry overall."
"Ultimately, sustainability in the wine sector is about ensuring that all the links in the value chain — from workers and producers to service providers and consumers — benefit from practices that safeguard the future of the industry," Breet concludes. "While South Africa's wine industry is leading the charge in terms of sustainable commitment and innovation, its continued success depends on a shared vision of a future that is as inclusive as it is sustainable, and even deeper collaboration to achieve that vision."
For more information, visit www.fnb.co.za. You can also follow FNB on Instagram.
*Image courtesy of contributor