Wine news continues to be marked in this April by the Covid-19 pandemic. Various associations, professional wine organizations (Italian, Spanish, French wine cooperatives, CEEV, EFOW) asked the European Union for help during this month of April following the Covid-19 pandemic.
At European level, the European Commission adopted a package of exceptional measures on the 22nd of April, notably to help the wine sector. On April 30, the Agriculture Commissioner acknowledged the inadequacy of the measures proposed during a meeting of the European Parliament’s Agricultural Committee, without, however, presenting new ones.
The European Commission is announcing declining figures for wine consumption in the coming months.
Finally, at the global level, according to the OIV, low volumes are expected for 2020 in the majority of the countries of the southern hemisphere, with the exception of South Africa and Uruguay, following initial estimates of production.
04/03 EU – France: wine sales fall in April
According to the National Committee of Interprofessional Wines (CNIV), despite the opening of supermarkets and wine merchants during the confinement, we should expect a drop in sales of the order of “40 to 50%” as regards wine from all sectors.
04/06 EU – France: boom of Beaujolais exports to the United Kingdom in 2019
Exports of red and rosé wines from the Beaujolais region to the United Kingdom increased by 22% in volume in 2019. This export growth of an increase in value of 17% was stronger than for any other French wine region.
04/06 EU France: Covid-19, “catastrophic” situation for Alsacian viticultors
For the month of March, turnover losses range “between 25 and 90% in the month of March” compared to March 2019.
04/08 EU: MEP calls to help wine sector
Eric Andrieu, MEP S&D, calls on the European Commission and the European Union to act on the crisis in the wine sector facing the pandemic. He therefore calls for the excess wine to be distilled and asks that Europe exceptionally helps the wine sector.
Le secteur du vin victime du Coronavirus : l’Europe doit agir. Un milliard de litres de vin à reconvertir
04/08 EU – France: France calls on the Commission to help agricultural sectors
France called on the European Commission to help producers of milk and wine.
They face a surplus of production due to the weak demand caused by the coronavirus crisis which closed the vital trade of restaurants and exports.
04/08 EU – France: champagne sets a new record in sales exceeding 5 billion euros in 2019 before turnaround in 2020
According to official export figures for the whole of last year, the region reached a total turnover for 2019 of 5,055,823,326 €, an increase of 3.4% compared to the figure of the last year.
Champagne exports, for example, increased by 15% to the United States. They then plunged in early 2020. The Covid-19 crisis led to a very sharp drop in consumption and a potential destabilization of certain (small) champagne houses.
04/09 EU – Italy: professional agricultural organizations make proposals to deal with the Covid-19 pandemic
Several Italian agricultural professional organizations have respectively sent a letter to the Italian Prime Minister, to the Ministers of Economy, Economic Development and Agricultural Policies. This letter contains several proposals such as the suspension of tax and social security payments, or forms of public and private guarantees to obtain credit.
04/09 EU – France: fifteen proposals from the Senate to help the French agricultural sectors, including wine sector
The monitoring and control unit of the Senate Economic Affairs Committee presented to Didier Guillaume, Minister of Agriculture, a plan of fifteen proposals to help agricultural players in the agri-food sector during the crisis.
The senators recall the situation of the wine sector: “Since the start of the crisis, the marketing of wines from the 2019 harvest has fallen sharply and the sector has stopped due to the cancellation of trade fairs, the absence of customers among wine merchants and in restaurants and the closure of many markets.” They call in particular to urgently trigger all the crisis mechanisms at European level to rebalance the markets, in particular by promoting support for private storage.
04/10 EU: the European confederation of independent winegrowers offers solutions against Covid-19 effects on the wine market
CEVI, which represents 12,000 independent winegrowers from 12 Member States, is requesting the release of “European funds as quickly as possible, enabling Member States to activate various support measures, according to their needs and in complete subsidiarity, such as private storage and green harvesting or distillation”, knowing that “the Commission must at the same time modify its legislation in order to make possible the Community budgetary support for these emergency measures”.
04/14 EU – France: AGPV press release to the Minister of Agriculture
Via a press release sent to the Ministry of Agriculture, the General Association of Wine Production, bringing together several professional organizations, calls for support to the wine sector in the face of the Covid-19 pandemic.
The AGPV requests “to put in place specific support measures as quickly as possible: finalize the compensation fund for US taxes, provide for storage aid measures, support the sector fiscally and socially, give the necessary flexibility in the management of the wine CMO, provide for the specific regulatory adaptations, national or European, which are necessary and which will make it possible to overcome the crisis. “
To read the entire press release: https://www.jeunes-agriculteurs.fr/wp-content/uploads/2020/04/cp-agpv-covid19-140420.pdf
04/14 EU: EFOW calls on the European Commissioner for Agriculture
Agriculture Commissioner Janusz Wojciechowski received a letter from the European Federation of Origin Wines (EFOW), which describes the dramatic situation faced by wine appellations following the outbreak of the COVID-19 crisis.
EFOW members call on the European Commission to act quickly by adopting important, courageous, regulatory and market measures to help operators.
04/15 EU – France: France asks the European Commission for help
To help the wine industry cope with the Covid-19 pandemic, the French Ministry of Agriculture is asking the European Commission to support requests for crisis distillation.
In addition to a regulatory green light, it also requests community subsidies to finance distillation in particular. The total cost of a distillation would cost France more than 240 million euros.
04/17 EU: CEEV releases its proposals to mitigate the effects of the Covid-19 pandemic on the European wine market
To mitigate the current and future devastating effects of COVID-19 in the wine sector, the Comité Européen des Entreprises Vin has drawn up a « COVID-19 wine package », offering both emergency and recovery measures.
Thus, according to the CEEV, “The emergency measures should focus on preserving the wine businesses and their finances, while the stimulus measures should focus on rebuilding the wine markets and regaining market share in worldwide”.
04/21 EU: the European Commission issues lower forecasts on the wine sector
Wine consumption in the 27 EU member states will drop to 108 million hectoliters, or 24 liters per capita, during the 2019/20 season (August-July) according to forecasts from the European Commission.
04/22 EU: cooperatives from Italy, Spain and France write to the European Union
Wine cooperatives from France, Italy and Spain jointly ask the European Commission for the immediate opening of a European crisis distillation of 10 million hectoliters and a specific budget of 350 million euros, with possible contribution by the Member States, to respond concretely to the need for the wine sector hard hit by the pandemic, as well as a set of storage aid measures and flexibility in implementing national wine programs. As a reminder, the federations of cooperatives of these three countries together account for half of European wine production.
04/22 EU: exceptional measures from European Commission to support the agri-food sector facing Covid-19
On the 22nd of April 22, the European Commission proposed additional exceptional measures to further support the most affected agricultural and food markets.
The package includes private storage aid (PSA) measures in the dairy and meat sectors, the authorization of self-organizing market measures by operators in the hard hit sectors and flexibility in fruit and vegetables, wine and some other market support programs.
04/23 World: OIV presents data on current global situation in the wine sector
The OIV has released information on world wine production and the international wine trade.
The global vineyard area corresponding to the total area planted with all-purpose vines (wine, table grapes and raisins), including young vines not yet in production, is estimated at 7.4 million hectares, stable since 2016.
World wine production, excluding juice and musts, is estimated at 260 million hectoliters, down significantly from the historically high production of 2018.
In 2019, the world wine export market, considered here as the sum of all countries’ exports, increased compared to 2018 both in volume and in value. Finally, low volumes are expected for 2020 in a large number of countries except South Africa and Uruguay, following initial estimates of wine production carried out in the southern hemisphere.
to read the press release (5 pages): http://www.oiv.int/js/lib/pdfjs/web/viewer.html?file=/public/medias/7265/fr-oiv-communiqu-de-presse-conference-avril-2020.pdf
to read the full report and discover other data (15 pages): http://www.oiv.int/js/lib/pdfjs/web/viewer.html?file=/public/medias/7256/oiv-state-of-the-vitivinicultural-sector-in-2019.pdf
04/23 EU – France: AGPV’s reaction to the proposals of the European Commission
Through a press release, the General Association of Wine Production appeals to public opinion, believing that the European Union is “abandoning the wine sector” in the face of the difficulties encountered following the Covid-19 pandemic.
According to them, faced with the crisis, the European Commission has provided no response or any support.
04/28 EU – Spain: the Spanish wine federation presents its annual report
The Spanish Wine Federation (FEV), which represents more than 700 Spanish wineries, presented its 2019 activity report.
This report includes the actions carried out by the organization during the past year as well as the 2019-2024 strategic plan. This strategic plan details the main axes and objectives that will guide the work of the FEV in the years to come.
04/28 EU – Italy: difficult situation for Italian wine producers
Italian wine producers such as Chianti, Prosecco or Barolo are currently in a difficult situation. Barolo producers ask to be able to store outside the traditional production area, which is normally prohibited for them. This request stems from the fact that for the Barolo, the situation “is very critical, because it is sold 90% in world catering, now closed”.
In addition, the Chianti Wine Consortium has taken a “drastic decision”, by lowering its production by 20%.