EU: Commission issues wine reform details

The abolition of crisis distillation and a ban on sugar for enrichment are just two of the European Commission's proposals for reforming the region's wine policy.

The wine reform, unveiled today (4 July) has been designed to "increase the competitiveness of EU producers, win back markets, balance supply and demand, simplify the rules, preserve the best traditions of EU wine production, reinforce the social fabric of rural areas and respect the environment," the Commission said.

Crisis distillation would be replaced by two crisis management measures, paid for from national financial envelopes, while more money would go into promoting EU wine, particularly on third country markets. The use of sugar for enriching wine - known as chaptalisation - will be banned from the day the reform comes into force. The Commission said that this move should enable the balance to be maintained between north and south. All producers will then make wine purely from grapes and unsubsidised must.

Growers wishing to leave the sector will be offered a voluntary grubbing-up premium, with this premium running 30% higher than current levels in year one. This will decrease over the five years of the scheme in order to encourage uptake from year one. To avoid social or environmental problems, Member States will be allowed to limit grubbing-up in mountains and steep slope vineyards and in environmentally sensitive regions and stop grubbing-up if the total reaches 10% of country's area under vines. The Commission estimates the total amount of grubbing-up to hit around 200,000 hectares.

"We have had a year of intense dialogue on how to get the EU wine sector back on top," said Mariann Fischer Boel, Commissioner for Agriculture and Rural Development. "Our proposal today takes account of the concerns expressed. We currently waste too much money - over one third of our budget - getting rid of surplus wine instead of improving our competitiveness and promoting our wines.

"I am convinced my proposal will reinvigorate the European wine sector and allow us to take our rightful place as the world's biggest and best. So let's leave behind the rhetoric and do what's best for our wine growers and consumers."

The current budget of EUR1.3bn will remain unchanged, the Commission noted.