At a time when French wine production, particularly in the south of the country, is going through a difficult period, a persistent rumour has resurfaced: that the European Union is paying €15 million a year to South African vineyards, to the detriment of European producers.
The facts tell a very different story. This amount is neither an annual cheque nor a recent decision. It is part of a historic trade agreement concluded between 1998 and 2002 between the European Union and South Africa, following lengthy negotiations. This agreement has brought real benefits for European producers: recognition and protection of geographical indications (Champagne, Porto, Cognac, etc.), and the opening of the South African market to European wines and spirits. The results are clear: in 2024, South Africa became one of the leading importers of Cognac after the United States and China (3.1 million bottles) and the leading African market for Champagne. In return, the agreement provided for quota-based access for South African wines to the European market, as well as one-off support of €15 million to help restructure a wine sector still marked by imbalances inherited from apartheid. This one-off payment was made in 2024.
By way of comparison, this aid represents 0.01% of the annual budget of the Common Agricultural Policy (CAP) devoted to European wine production, which amounts to approximately €1.1 billion.
In a context already weakened by market pressures and the effects of climate change, Franck Leroy, President of AREV, calls for the facts to be put back at the centre of the debate: “Europe is not turning its back on its winegrowers. On the contrary, it is taking action to stabilise markets and open up new opportunities. AREV is fully committed to this. Pointless controversy serves neither producers nor the debate.”
Aware of the seriousness of the situation, the AREV president calls for collective responsibility and for a debate that is commensurate with the challenges facing European wine-growing.
