Brussels, 17/10/2012 (Agence Europe) - The latest estimates of COPA-COGECA for the 2012 wine harvests in the EU-27, which were published in Brussels on Wednesday 17 October, show a drop in production for 2012/2013 of 10% on the previous year, due to poor climatic conditions such as drought, cold and humidity. The professional associations are therefore calling for the creation of a European Observatory for the wine market, which would make it possible to distribute up-to-date information on the market. COPA-COGECA is also calling for European regulatory framework on vine planting to be kept in place for all types of wine, in order to remedy the extreme volatility seen on the wine market.
At a press conference on Wednesday 17 October, Thierry Coste, president of the “wine” working group of COPA-COGECA, spoke of a very low harvest for 2012/2013, which has been estimated to reach 144 million hectolitres, representing a drop of 10% on last year's levels, with sharp declines seen in all the major producer countries. France and Italy have not experienced such a low harvest in 40 or 50 years, Coste said. Indeed, French wine production has been estimated at 40.6 million hectolitres, or 19.1% less than the growing year 2011/2012. That of Italy has been estimated at 39.5 million hectolitres, a drop of 7.1%. This fall in production concerns all qualities of products and is cyclical. It is the result of drought in the countries of the South and cold and damp meteorological conditions in other member states. Coste added that there are more and more very dry periods throughout the Mediterranean area. In the North, the colder and wetter weather caused problems.
Another characteristic of this poor harvest is that qualitatively, we are looking at a very good vintage, Coste explained. There will be a few exceptional products this year, he promised. This is good for the producer and the consumer, but that will not make up for the losses in revenue on vineyards. The 2012/2013 harvest will have the result, Coste explained, that many vineyards will really struggle.
World production. This is also set to drop globally, because in the New World, even though California has had a good harvest and Chile has increased its production slightly, the drops in production of Argentina and Australia will mean that the New World harvest will end up being balanced out, said Coste.
The European consumer must expect increases in price, albeit reasonable. An increase of 10 hL translates into an increase of 12 eurocents for the consumer, which is not massive.
European Observatory. COPA-COGECA argues that a European Observatory for the wine market should be created in order to provide full and up-to-date information about the situation of the European and global markets. We are having to play it by ear in the EU, commented Coste, explaining that in the large American or Australian structures, people have tools of this kind. COPA-COGECA has launched a working group on the subject, because it is vital to the sector to have this “watchtower” to guide the market and to be reactive.
Planting rights. Additionally, COPA-COGECA spoke in favour of keeping vine planting rights in place, a regime similar to a production potential, according to Coste. A high-level group is working on this subject, and the professional organisations argue for these planting rights to be kept in place, as this is a system which makes it possible to guarantee our diversity-based model, which creates our competitiveness, value and guarantees rural networks and environmental protection, Coste stressed. COPA-COGECA recommends that planting rights be kept in place for all types of products (protected designations of origin, protected geographical indications and wine without indications), within a European framework. Readers may recall that the Commission is proposing to put an end to planting rights in 2015, but has made proposals towards the wishes of countries in favour of keeping vine planting rights.
In conclusion, Pekka Pesonen, secretary general of COPA-COGECA, stressed the importance of the European wine sector, indicating that exports had reached a value of €8 billion in 2012, thus representing nearly a quarter of European exports of agricultural products. Eleven member states have also called, in the framework of the high-level group, for a new European regulatory framework for the wine sector. They are pressing for a positive outcome for the European wine sector by November, when the high-level group's work comes to an end, in order to maintain a profitable EU wine sector for farmers and help maintain employment in the EU rural areas. (LC/transl.fl)