Commission extends aid package for the wine sector

 

Yesterday, the Commission decided to extend the exceptional support package for the wine sector by one year. The aid measures will be available until 15 October 2021 and may be applied retroactively from 16 October last year. The wine sector is hit particularly hard by the covid crisis due to the closure of the catering industry and the cancellation of events throughout Europe. America’s tax on European wines that severely limits exports is an additional blow to the industry.

The support package was also available in 2020 and includes, among others, the following measures:

  • Emergency distillation, assistance with storage and advance payments: these allow the wines to be withdrawn from the European market, thus limiting the negative impact on prices. Member States may provide for advance payments of up to 100% of the costs.
  • A higher contribution from the European Union: this contribution may reach 70%, 20% more than before.
  • More flexibility for market support programmes: this will make the tools for monitoring production potential more flexible. Member States are also given the possibility to adjust their support programmes, and the beneficiaries can adjust their operation if necessary.

Author: Kim Schoukens

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