Brussels, 19/12/2007 (Agence Europe) - On Wednesday 19 December, EU agriculture ministers reached political agreement on reform of the common organisation of the market (COM) in wine. The new regulation will come into effect on 1 August 2008. Denmark and Malta will vote against the text, when it is being formally adopted, and Estonia will abstain.
National financial envelopes. The new COM provides for the provision of financial envelopes for each member state. In 2015, Spain will receive €399.5 million, Italy €376 million, and France €280.5 million. The money may be used for: - vineyard restructuring and conversion; - innovation (technological advances and new products); - restructuring of wine making enterprises; - promotion (essential in a very competitive market).
Distillation. Crisis distillation will be limited to four years until the end of marketing year 2011-2012, with spending capped at 20% of the national financial envelope the first year, 15% the second, 10% the third and 5% the fourth. Potable alcohol distillation will be phased out over four years. Member states will be able to ask for distillation of wine-making by-products, paid for out of the national envelope and at a significantly lower level than at present.
Planting rights. The Commission proposed to put an end to vine planting rights at the end of 2013. The new regulation will see the current system phased out by 2015, with a rendez-vous clause in 2013 to assess, in the light of the reform, the value of extending the regime at Community level. Those member states which wish will be able to retain the regime at national level beyond 2015 until 31 December 2018.
Grubbing up. There is provision for a three-year voluntary grubbing-up scheme for a total area of 175,000 hectares with a system of premiums, decreasing in value over the three years. A member state can halt grubbing up if the area is more than 8% of that state's total vineyard area or 10% of a region's total area. Member states can also exclude grubbing up in mountainous areas and steeply sloping areas, and for environmental reasons.
Chaptalisation. The Commission initially proposed banning chaptalisation (enriching wine through the addition of sugar). Ultimately, it will be allowed to continue in those regions where the practice is traditional and under certain renewable conditions which respond the needs of those areas: appropriate levels of enrichment, possibility of linking additive and subtractive methods from 2009. In parallel, thanks to an additional €15 million envelope, aid for rectified concentrated grape must will be able to be maintained to ensure the competitiveness of this method.
Labelling. The Commission proposed including the grape variety on labels of wines with no geographical indication. A compromise was found, leaving open the possibility for wines with no geographical indication to include the grape variety on labels, but subject to strict traceability, control and certification conditions. With regard to geographical indications, the guarantees sought by some countries have been taken into account, notably on provenance. (L.C.)