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.
China: Government reviewing import measures on Australian wine imports – The Chinese government has reportedly begun to review its anti-dumping and anti-subsidy tariffs on Australian wine imports, apparently taking a key step toward improving their relationship with Australia. The review may well pave the way toward removing the prohibitively high duties introduced in 2021 that led to a dramatic decline in Australian wine exports to China.
Czech Republic: Winemakers press for MUP for still wine rather than increase in excise duty – Unlike other alcohol beverages, still wine in the Czech Republic has apparently long enjoyed an exemption from excise duties. But an economist at Trinity Bank recently asked, “Why should wine be excluded from the standard tax treatment and favoured over other alcoholic beverages, when even the consumption of alcohol in wine can catch cirrhosis of the liver, as well as the consumption of alcohol in beer or vodka?” The Czech Union of Winemakers reportedly has countered by pressing for a minimum unit price (MUP) approach based on the ethanol (alcohol) content in wine in lieu of the introduction of excise duties on wine, noting that many of the cheapest wines are imported. The wine group also argued that government revenues would increase as inexpensive wines became more expensive. However, the Czech Minister of Agriculture has reportedly suggested that an inter-ministerial working group, joined by experts, may now consider the MUP approach along with the introduction of new excise duties.
European Union: European Commission responds to calls by the trade relating to new wine rules – The wine sector and the European Commission (EC) continue to be at loggerheads over EC guidelines, published on 24 November 2023, on implementing new EU wine labelling regulations set to take effect on 08 December 2023. As reported in the FIVS alert of 27 November 2023, the Comité européen des entreprises vins (CEEV) called on the European Commission to modify guidelines for the new wine labeling laws, saying “We cannot accept a new interpretation, published 14 days before the date of application, that will imply, on the one hand, the destruction of hundreds of millions of labels already printed and, on the other, our incapacity to print new labels in time to comply with the new regulation deadline.” Labels prepared for the new laws reportedly include the letter “i” along with the QR code, but the Commission’s guidelines suggest that symbol is not sufficiently clear for consumers. The EC responded this past week, contending that its views were communicated clearly in September, adding that “Labels printed and already used on bottled wines and bottles placed on the market must not be destroyed, nor must bottled wines be relabeled, since all wines produced before December 8 are exempt from the new rules.” While this view provides some relief, other issues remain, such as what to do with labels produced for products to be released after 08 December 2023.
France: Senate considers adopting an MUP proposal – The French Senate reportedly is considering whether to follow Scotland’s minimum unit pricing (MUP) policy, seeking to curb the sale of alcohol beverages by increasing the price of the cheapest bottles. As part of its 2024 budget review, several senators reportedly want to introduce floor prices for alcohol beverages based on their alcohol content. Their measure would be aimed in particular at beer and inexpensive spirits and wines, beverages that are allegedly more widely consumed irresponsibly.
United Kingdom: Independent brewers urge government to increase the threshold for “alcohol-free” beer from 0.05% to 0.5% – Following the UK government’s decision to consult with the alcohol beverage industry on the definition of alcohol-free and whether to raise its definition from the current level of 0.05% to 0.5%, the Society of Independent Brewers (SIBA) has reportedly responded that redefining the “alcohol-free” classification would both help small brewers and provide clarity for the sector, bringing the United Kingdom in line with the European Union and the United States. The Society contends that a 0.5% ABV for low- and no-alcohol labelling descriptors would reduce the level of complexity and assist small independent brewers who might otherwise not be able to enter the market due to specialised and expensive brewing equipment needed to comply with a 0.05% limit.
- WSTA – As reported in FIVS’s Notable Developments Alert of 15 August 2023, The Wine and Spirit Trade Association (WSTA) developed the UK’s first low- and no-alcohol guides to address the confusion surrounding alcohol beverages with less than 0.5% ABV. At that time, WSTA Chief executive Miles Beale pointed out that clarity and consistency of government descriptors would support the Government’s stated aim of growing the no and low drinks sector. The WSTA has advocated for increasing current descriptors of alcohol-free beverages in the United Kingdom from 0.05% to 0.5%, to provide consistency for trade with European markets.
Global: IARC issues handbook on cancer – On 29 November 2023, the International Agency for Research on Cancer (IARC) launched the latest in its handbooks on cancer prevention, Volume 19: Oral Cancer Prevention. Researchers and other health experts described the handbook during a recent webinar co-organised with the World Health Organization. The report says that oral cancer “is the 16th most common cancer type worldwide and is a common cause of cancer death in men across much of South and South-East Asia and the Western Pacific” and attributes its cause primarily to tobacco smoking and alcohol consumption.
Ireland: Curbs on alcohol ads on TV/radio beginning in January 2025 – Ireland’s Department of Health has reportedly confirmed that advertising of alcohol beverages on television will be banned from 3 a.m. until 9 p.m. beginning on 10 January 2025. Advertising will also reportedly be banned on Irish radio on weekdays. The measure is intended to reduce the exposure of children and young people to advertisements for alcohol products.
Japan: Breath-testing will reportedly be required for some drivers – New legislation will reportedly now require certain drivers in Japan to use an alcohol breathalyser “at the time of commuting to work and at the end of work or leaving work.” Drivers will also be obligated to make certain that their devices remain active and are in good working order.
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.