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Dr Barnard reacted to the statement of a producer who said that to him the occasion seemed like a "funeral". At the time it was clear, however, that the vote would be "yes", and the mood was particularly calm and positive, having been rather emotional at some of the earlier meetings in this lengthy series.
The historical meeting was held in the stately old KWV Boardroom where the KWV Co-operative board was dissolved and Wijngaard officially founded with the election of its leader corps. This peaceful meeting indeed signalled a new era which will probably be as much of a watershed as KWV's foundation in 1918.
Danie de Wet, who was elected chairman of Wijngaard, said each farmer's investment in Wijngaard is as important as the investment in his farm. Producers, with their investment in assets of R20 000 million, are the biggest stakeholders in the SA Wine and Brandy Company. The foundation of the SAWB as the guiding force and co-ordinator of the industry, served as catalyst, first and foremost, for this restructuring.
KWV announced its restructuring plans in June and has since consulted widely with shareholders and members in order to finalise the proposal.
After a series of meetings by the KWV management and directors with producers throughout the winelands - as well as, inter alia, extensive groundwork by a task group for the foundation of Wijngaard chaired by Danie de Wet - a special members' meeting was held in Worcester on 3 December and a majority of 85% voted in favour of the restructuring.
This means that the restructuring proposal - which was approved by 96,5% of the shareholders at the annual general meeting of KWV Group Limited on 27 November 2002 - will be implemented as from January 2003. This entails the division of KWV into a company and a co-operative, named Wijngaard Co-operative Limited, which will each fulfil separate functions.
Lourens Jonker, KWV chairman, says the restructuring is a breakthrough for producers and shareholders: "Now that we have the right structure, we, as producers and as a company, can tackle the world markets in all earnest, since we know that our focus is correct." He is of the opinion that the South African wine industry can only be a successful world player if the focus falls strictly on quality and competitiveness.
"Through a lively debate and several meetings everyone became aware that we were extremely serious about the restructuring and we can be satisfied that the mandate to restructure is unequivocal. The overwhelming support for restructuring came at the end of a long and thorough discussion," said Jonker.
"There is no doubt that there is a definite need for Wijngaard and that it should provide essential services to the wine grape and wine farmers of the industry. Initially KWV Limited will be the main source of income for Wijngaard, notably in the form of R8 million which will be paid out annually to the co-operative over a period of five years, for services rendered.
"In addition, there is the 10% value share in KWV Limited obtained by Wijngaard - in other words in exchange for its B shareholding. Wijngaard also gets a R6 million income from consultation services and WineLand magazine's sales and advertisements that will be used for operational expenses.
"In future members of Wijngaard will have to be prepared to make a contribution to the administration and cash flow of the co-operative through a membership and administration fee. Voluntary levies may in time be considered as a possible source of income, when the KWV's payment for services rendered expires.
"Naturally Wijngaard intends to grow and expand its stream of income in addition to interest earned and dividends, in order to aspire to autonomy.
"The co-operative is assured of a good, increasing asset through its proposed shareholding, which provides security to ensure long term financing. The shareholding also confirms the strategic partnership that reinforces both organisations mutually. KWV's suppliers would obviously like to see it grow and be successful, while Wijngaard has the support of a large international player who serves and develops the markets in which Wijngaard's members are active.
"KWV's ship is now ready to leave the harbour and better equipped than ever before to confront the storm of international competition," says Jonker, who retires as chairman and board member of the producer co-operative and will in future only be involved as chairman of the company KWV Limited.
Wijngaard is expected to have 23 employees, including seven viticultural consultants, two agricultural economists who will provide an information service and agricultural economic advice, four persons on the staff of WineLand and a logistical unit who will, inter alia, organise wine shows on the basis of recovering costs.
Wijngaard's office will be seated in Paarl, in a separate wing of KWV's current offices in La Concorde. The team, together with the board of directors, will serve and grow the producer's interests in the SA Wine and Brandy Company, the SA Wine Industry Trust and various other pertinent levels.
The board of KWV Limited consists of:
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