EU News
Printable version

Coronavirus: Commission adopts new exceptional support measures for the wine sector

The Commission yesterday adopted an additional package of exceptional measures to support the wine sector, following the coronavirus crisis and its consequences on the sector. The wine sector is among the hardest hit agri-food sectors, due to rapid changes in demand and the closure of restaurants and bars across the EU, which was not compensated by home consumption.

These new measures include the temporary authorisation for operators to self-organise market measures, the increase of the European Union's contribution for wine national support programmes, and the introduction of advance payments for crisis distillation and storage.

Agriculture and Rural Development Commissioner Janusz Wojciechowski said:

The wine sector has been among the sectors hit hardest by the coronavirus crisis and the related lockdown measures taken across the EU. The first package of market-specific measures adopted by the Commission has already provided significant support. Nonetheless, the uncertainties surrounding the scale of the crisis at EU and global level, and a close monitoring of the market has led us to propose a new package of measures for the wine sector. I am confident that these measures will provide rapidly concrete results for the EU wine sector and soon provide stability.”

The exceptional measures include:

  • Temporary derogation from the European Union's competition rules: Article 222 of the Common Markets Organisation Regulation (CMO) allows the Commission to adopt temporary derogations from certain EU competition rules in situations of severe market imbalances. The Commission has now adopted such a derogation for the wine sector, allowing operators to self-organise and implement market measures at their level to stabilise their sector and in the respect of the functioning of the internal market for a maximum period of 6 months. For example, they will be allowed to plan joint promotion activities, to organise storage by private operators and to commonly plan production.
  • Increase of the European Union's contribution: the European Union's contribution for all measures of the national support programmes will increase by 10% and reach 70%. A previous exceptional measure had already increased it from 50% to 60%. This will provide financial relief to beneficiaries.
  • Advanced payments for crisis distillation and storage: the Commission will allow Member States to provide advanced payments to operators for on-going distillation and crisis storage operations. These advances can cover up to 100% of costs and will allow Member States to fully utilise their national support programme funds for this year.

Click here for the full press release

 

Original article link: https://ec.europa.eu/commission/presscorner/detail/en/IP_20_1267

Share this article

Latest News from
EU News

Spotlight on women at Serco – Anita’s story