FOR YOUR INFORMATION
We share below a number of recent developments. As always, we rely on FIVS Members to apprise us of noteworthy matters. Please contact the FIVS Secretariat with items that may be of interest.
Global: New OIV study on digital trends in the wine sector – A recent study conducted by the OIV, “Digital Trends in the Vine & Wine Sector,” identified nine major technology trends that will shape the future of wine, helping with climate change, improving efficiency and sustainability, providing more transparency to consumers, and creating new business models. The trends include increased use of sensor technology, more use of smart machines that perform tasks requiring human intelligence, increased use of robots, use of satellite imagery and GPS by smaller wineries, use of Laser Image Detecting and Ranging (LIDAR) in vineyards, use of wine block chain technology for wine distribution, electronic wine labels, E-Certificates, and smart warehouses for storing wine. Asked to rank the trends in order of importance, wineries from around the world believed the most important trend to be digitalization of wine content with E-Labels.
Russia: Some imported wines may become illegal as new regulations come into force – Russian authorities have reportedly decided not to extend beyond 01 January 2022 a moratorium on amendments signed into law by President Vladimir Putin on 02 July 2021. The amendments introduced a new classification of wine products in the regulations and changed regulations in the case of geographic designations, which will require alterations in the names on the back label and the adoption of new declarations of conformity. The status of products that were imported and produced according to the old classification and declarations has not yet been determined, but those products could be recognized as counterfeit and withdrawn from the market, leading to a shortage of legal wine, financial loss for the sector, and growth in the illicit market.
United States – New guidance from TTB on distilled spirits – On 20 December 2021, the U.S. Department of Treasury’s Alcohol and Tobacco Tax and Trade Bureau (TTB) published guidance clarifying certain provisions of the Craft Beverage Modernization Act (CBMA) applicable to distilled spirits. Written in the form of frequently asked questions, the guidance addresses the circumstances in which bottled distilled spirits may be transferred in bond, the addition of water to distilled spirits transferred in bond for ensuring appropriate proof during bottling, and changes effective 01 January 2022 to the type of processing activities that qualify for reduced tax rates for distilled spirits.
Global: Reconsidering the role of alcohol in the scientific workplace – As groups return to in-person events, some scientific societies, laboratory leaders, and researchers are considering the role of alcohol beverages at conferences and in the scientific workplace, including its potential effects on safety and inclusion. For example, the Geological Society of America hosted its annual conference during October 2021 in person, but no longer allowed alcohol in the oral or poster session areas to ensure cultural inclusivity and safety at these events. A professor from Flinders University in Adelaide, Australia, who studies the public-health aspects of alcohol and drugs in the workplace, reported “really big shifts” over the past two decades on whether alcohol in the workplace is appropriate.
Turkey: Launch of nationwide operation to curb access to illicit alcohol – After 68 individuals allegedly died from consuming illicit alcohol during the second week of December 2021, Turkey’s Interior Ministry announced the launch of a nationwide operation code-named “Alcohol” involving nearly 21,000 personnel who have searched over 23,000 locations, including legal vendors suspected of selling illicit alcohol. Illicit alcohol has reportedly thrived in Turkey, where prices of alcohol beverages are high.
European Union & UK: U.S. television piece on how climate change is altering Europe’s wine sector – American journalist Lesley Stahl’s piece on “60 Minutes” considers how winegrowers in France and the United Kingdom are facing increasingly warmer temperatures and extreme weather conditions, particularly in 2021. You can view the piece here.
United States: Mild temps affecting ice wine harvest – As temperatures ran four degrees above average during December 2021, local vineyards and wineries surrounding the Finger Lakes in upstate New York have been unable to harvest grapes grown specifically for ice wine. The grapes may not be picked and pressed until they have been frozen at 17 degrees and below for a minimum of 24 hours to make the popular wine. The quantity of grapes has been affected by the delay in their harvest, adding stress to the plants.
United States: Future of white oak used by bourbon sector appears dire – A report from the White Oak Initiative found that 60% of mature white oaks surveyed had no seedlings present and 87% had no saplings, forecasting a significant decline in the white oak population within the next ten to fifteen years unless action is taken to help the species regenerate. Demand for white oak is global, including from the Kentucky bourbon sector which uses new charred oak containers to give their product colour and flavour. Reasons for the decline include allowing tree species such as maple and beech to thrive and shade out oaks, selective logging of high-quality white oaks, and stresses related to climate change.
FIVS is delighted to announce that Laura Gelezuinas has been promoted to Deputy Head of Secretariat. Please join us in congratulating Laura for this well-deserved promotion.
NOTE: We make no warranty of any kind regarding the accuracy or completeness of the information in these FIVS Alerts; nor do we necessarily support or agree with views expressed or contained therein.