Brussels, 03/03/2005 (Agence Europe) - Given the current crisis in the European wine-making industry (huge grape harvest, less wine being drunk and growing competition from outside the EU), several Member States including France, Greece and - shortly - Spain have requested or will request that the European Commission organises 'emergency distillation' with EU aid to help deal with part of the surplus crop. Negotiations are underway at the Wine Management Committee on how this might work (volumes of wine concerned and prices offered) and the situation on the market. The technical discussions take last two months or longer before emergency distillation could go ahead.
French farm minister Dominique Bussereau wrote in mid-February to Mariann Fischler Boel, Agriculture and Rural Development Commissioner, to ask her to arrange emergency distillation at increased prices for 2 million hectolitres (hl) of high quality wine (see EUROPE of 8 February 2005, p.11). Paris hopes to get a slightly higher price than the EU compensation level (1.914 euros per degree/hl). Greece has also called for emergency distillation, for 280,000 hl, including 80,000 hl of high quality wine. Spain is considering requesting emergency distillation for 6.5 million hl of white and red table wine.
In a press release, the Committee of Agricultural Organisations in the European Union (COPA) and the General Committee of Agricultural Cooperatives in the EEC (COGECA) support these requests by the Member States in question. In discussion of changes to the common organisation of the market in wine, the COPA-COGECA Wine Group says extraordinary measures are urgently needed to help deal with stockpiled wine that the industry cannot market.