EU wine shake-up looms

The European commission wil on Thursday propose a sweeping shake-up of European wine production.

Agriculture commissioner Mariann Fischer Boel will urge sensitive reforms to check overproduction of European wines.

“A deep-rooted reform of the sector is needed urgently. We must increase the competitiveness of the EU’s wine producers, strengthen the reputation of EU quality wine as the best in the world, recover old markets and win new ones” the commissioner said.

“We must create a wine regime that operates through clear, simple rules and ensures balance between supply and demand.”

Europe has been producing too much wine while consumption is falling and crisis distillation measures do not act anymore as an effective palliative.

“Crisis distillation is becoming a depressingly regular feature of our common market organisation for wine,” said Fischer Boel.

“While it offers temporary assistance to producers, it does not deal with the core of the problem – that Europe is producing too much wine for which there is no market.”

Crisis distillation was opened this month for France and Italy and demands from Spain and Greece are still pending.

In France and Italy's cases, the distillation measures will cost the EU, for table wine and quality wine, €131m.

The EU executive plans to replace market measures with direct aid and vine uprooting programmes.

Brussels is also pushing for new oenological practices based on grape varieties instead of soil and place of production.

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