Chinese, Somalis and Malawians bust for illicit alcohol manufacturing

In recent months, South African authorities have intensified efforts to curb illicit alcohol manufacturing in the Western Cape, a region grappling with the proliferation of counterfeit liquor. Two significant operations in September and October 2025 underscore the scale and sophistication of this illicit trade, which undermines public health and state revenue.

On September 8, police raided a facility on the R44 in Klapmuts, Cape Winelands, following a tip about illegal alcohol production. The operation uncovered industrial equipment and large volumes of ethanol used to produce counterfeit white spirits. Seven Somali nationals, aged 20 to 43, were arrested and charged under the Liquor Act, appearing in Paarl Magistrate’s Court. The seizure included ten 1,000-litre containers, empty bottles, and production machinery, highlighting the operation’s capacity to supply informal markets with low-cost, unregulated liquor.

A larger bust occurred on October 2–3 as part of Operation Shanela II, targeting a manufacturing plant on a farm in Faure, near Stellenbosch, and a storage facility in Woodstock, Cape Town. Acting on a whistleblower’s tip, police confiscated vast quantities of counterfeit alcohol, industrial bottling equipment, and chemical containers. Five Malawian nationals, aged 26 to 45, were arrested at the Faure site, and a 53-year-old Chinese national was detained in Woodstock, all charged with violating the Liquor Act.

The suspects appeared in Stellenbosch and Cape Town magistrate’s courts, respectively. Western Cape police commissioner Lt-Gen Thembisile Patekile noted the operation’s link to broader efforts to reduce alcohol-related violent crime.

The illicit alcohol trade in South Africa, valued at billions of rands annually, thrives on weak enforcement and high demand for cheap liquor in informal markets. According to a 2023 study by the World Health Organization, illicit alcohol accounts for up to 20% of consumption in sub-Saharan Africa, often containing toxic adulterants like methanol, which can cause severe health consequences, including blindness and death from adulteration by methanol, a form of alcohol created by the fermentation of cellulose, the material that makes up plant fibres.

A 2024 report by the South African Medical Research Council linked illicit alcohol to spikes in emergency room admissions for poisoning and alcohol-related violence, particularly in marginalized communities. While recent busts demonstrate proactive policing, experts warn that without addressing demand-side factors—such as poverty and limited access to regulated liquor—the trade will persist. Sustained operations, as pledged by Western Cape authorities, alongside stricter supply chain controls, are essential to disrupt this entrenched illicit economy.

The South African Revenue Service estimates that illicit trade costs the fiscus billions in lost excise duties. Research from the University of Cape Town’s Centre for Criminology highlights the role of organized networks, often involving foreign nationals, in producing counterfeit spirits using industrial chemicals sourced through unregulated channels. These operations exploit porous borders and lax oversight, with the Western Cape’s proximity to major ports facilitating smuggling.

At the moment, these busts are merely sweeping leaves on a windy day.