According to the EC the proposal is justified by the fact that the islands
isolation hinders production methods, making locally produced drinks more costly
than imported beverages.
PORTUGAL: Portugal to benefit EC proposal
Proposals by the European Commission will allow Portugal to apply a lower rate of excise duty levied in two of its Atlantic island autonomous regions on locally produced and consumed spirits: rum and liqueurs in Madeira and liqueurs and Eaux-de-vie in the Azores. According to the EC the proposal is justified by the fact that the islands isolation hinders production methods, making locally produced drinks more costly than imported beverages.