Portuguese producers blame the lack of control over the commercial destination given to wine imported in bulk, especially from Spain, for the current “stock accumulation bubble” that is affecting the sector. Every day, the country is importing at a rate equivalent to almost one million bottles, which is described by the president of ANDOVI – National Association of Wine Denominations of Origin as “madness”, according to a report by ECO.
“If it is true that we are in the [European] single market — and we do not dispute that — the question that arises is: in what way is this wine being placed on the market? To what extent is it marketed as imported wine or is it being blended and sold as Portuguese wine? It is essential to carry out controls. We need more and better control and there are mechanisms to do this – and it is not very expensive”, says Francisco Toscano Rico.
Comparing the average of the last five years (2019-2023) with that of the previous period (2014-2018), official data published by the Vine and Wine Institute (IVV) shows that imports grew at an average rate of 83 million litres per annum. But if in the first years of this last cycle the growth in exports meant that the accumulation of stocks did not reach critical levels, the almost stagnation of sales abroad in the last two years caused surpluses that the new Minister of Agriculture, José Manuel Fernandes, has already classified as “a brutal problem”.
“It is essential to look at what is happening and have much more reliable control than we have today. It is urgent [to do so] and we are already late. What is happening to that wine? How does it end up appearing on the market afterwards? If we are importing so much, exports are stagnant and the national market is not growing either, then what is happening to that wine?” asks the president of ANDOVI, insisting that “no one can demonstrate that there is credible control over the fate of this wine.”
When wine from a certain country is mixed with another imported one, that product must be introduced onto the market as European Union wine. “The question is whether it is actually being labelled and introduced for consumption as a blended wine from EU countries or whether it is being marketed as Portuguese wine”, insists Francisco Toscano Rico, who is also president of the Wine Commission of the Region of Lisbon (CVR Lisbon). Worldwide, Portugal is the country with the highest wine consumption per capita (61.7 liters), ahead of France (45.8) and Italy (42.1).
One of ANDOVI's proposals, which brings together public and private entities responsible for representing, certifying and promoting Portuguese wine Denominations of Origin (DO), involves replicating in Portugal what has already been done in France: making the indication of origin mandatory of wines on restaurant menus. That is, indicate the country of origin if it is imported wine; indicate Portugal if it is non-certified national table wine; indicate a mixture of EU wines if it is a batch of national wine with imported wine; or if it is a certified national wine, indicate the respective PT Region.
Excellent article. Totally agree Portugal needs to look after its farmers first at all costs. The European Union comes second but national interest always come first.
By John from Other on 01 May 2024, 16:18