Zanzibar’s Alcohol Shortage Threatens Tourism Sector and Local Economy

Zanzibar, one of Africa’s top travel destinations known for its stunning sandy beaches and rich cultural heritage, is currently facing a shortage of alcohol. This scarcity of alcohol is posing a threat to the island’s tourism sector, which generates about 90% of its foreign revenue. The sudden disruption in the supply chain and change of importers has led to a nearly 100% increase in the prices of beer. Hotels along the famous Matemwa beaches in the north of Zanzibar’s main island have resorted to only serving soft drinks, while tourists and locals have to rely on the main city, Stone Town, for their alcohol needs.

The shortage of alcohol has had a detrimental impact on various stakeholders, including local businesses and workers. Bars and restaurants that heavily rely on alcohol sales are experiencing a significant decline in revenue, with some units running out of beer entirely. This has led to potential job losses for over 3,000 workers in the alcohol retail industry. The situation has become so dire that hoteliers have reached out to authorities, highlighting the detrimental effects on the tourism sector.

Zanzibar’s alcohol shortage can be attributed to delays in renewing permits for the established importers and the granting of licenses to new companies. The Zanzibar Liquor Control Board (ZLCB) failed to renew the licenses of three long-standing importers, causing a disruption in the supply chain. Although new companies have been granted licenses, they are still undergoing a vetting process, prolonging the shortage. The involvement of non-Zanzibaris in the operations of these new companies is also causing concerns and potential violation of the law.

The scarcity of alcohol not only impacts the local economy but also tarnishes the reputation of Zanzibar as a premier travel destination. Tourists, including a frequent traveler from mainland Tanzania, have expressed their disappointment over the lack of access to their preferred alcoholic beverages. This, coupled with the rising prices, may discourage tourists from choosing Zanzibar as their vacation spot, leading to a decline in international arrivals.

The alcohol shortage issue in Zanzibar has also sparked controversy and allegations of mismanagement within the liquor industry. The recent resignation of the tourism minister, Simai Mohammed Said, has raised speculation that it is linked to the issues with alcohol supplies. President Hussein Mwinyi suggested a conflict of interest due to one of Mr. Said’s relatives being associated with a company whose license was not renewed. The president emphasized the need for transparency in such matters.

To mitigate the negative impacts of the alcohol shortage, immediate action is required. The government must address the delays in license renewals, expedite the vetting process for new companies, and ensure transparency within the liquor industry. It is crucial for authorities to understand the importance of the tourism sector to Zanzibar’s economy and take the necessary steps to avoid further damage. Additionally, supporting local businesses affected by the shortage and exploring alternatives to alleviate the alcohol scarcity should be pursued.

As tourists continue to flock to Zanzibar, it is pivotal for the island to maintain its appeal and hospitality standards. Offering a diverse range of alcoholic beverages and ensuring their availability at reasonable prices will contribute to positive experiences for visitors. Ultimately, resolving the alcohol shortage issue will not only revive the local economy but also reinstate Zanzibar’s allure as a top travel destination in Africa.