COMMISSION STAFF WORKING DOCUMENT EXECUTIVE SUMMARY OF THE EVALUATION of the CAP measures applicable to the wine sector
Date: 2020-10-20
Institutions: Directorate-General for Agriculture and Rural Development, European Commission
Subjects: aid to agriculture, beverage industry, common organisation of markets, consumer information, designation of origin, labelling, product designation, quality control of agricultural products, viticulture, wine

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   EUROPEAN COMMISSION  Brussels, 20.10.2020  SWD(2020) 233 final  COMMISSION STAFF WORKING DOCUMENT  EXECUTIVE SUMMARY OF THE EVALUATION  of the CAP measures applicable to the wine sector {SWD(2020) 232 final}  
 
 
The  EU  is  the  world’s  leading  producer,  consumer  and  exporter  of  wine.  In  a  context  of 
declining  domestic  consumption  but  growing  opportunities  on  the  world  market,  the  wine 
sector  has  increasingly  shifted  its  focus  towards  competitiveness  and  quality  rather  than 
production volume.  

This  evaluation  assesses  the  effectiveness,  efficiency,  relevance,  coherence  and  EU  value-
added  of  the  EU  wine  policy.  Evaluating  policies  regularly  is  an  obligation  laid  down  in 
article 34(1) and (3) of the Financial Regulation applicable to the general budget of the Union 
of July 2018, and in article 110(1)(b), 2(a) and 3(b) of Regulation(EU) No 1306/2013 on the 
financing, management and monitoring of the common agricultural policy, which demands a 
periodical evaluation of the market measures. 

The evaluation shows that the EU’s wine policy played a key role in this transition, starting 
with  the  abolition  of  support  for  drinkable  alcohol  distillation,  crisis  distillation  and 
enrichment by use of concentrated must (i.e. the juice, skin, seeds and stem of the grapes in 
concentrated form).  

Wine consumption within the EU has declined almost continuously since 2008, particularly in 
traditional  consuming  countries,  but  is  showing  signs  of  stabilisation.  On  the  contrary, 
consumption  has  increased  strongly  in  some  non-EU  countries,  creating  new  development 
potential  for  EU  wine  producers.  This  is  important,  as  exports  are  key  to  maintaining  EU 
market balance, with an equivalent of roughly one year of consumption in stocks. Production 
is kept in check, with the authorisation scheme for vine planting effectively limiting increases 
in the area under production. Consumption trends are characterised by a growing demand for 
specific wine products such as rosé wines and sparkling wines. Consumers are also looking 
for  quality  wines  with  protected  geographical  indications  or  wines  produced  using 
environmentally  friendly  practices,  and  are  attracted  by  features  such  as  authenticity  and 
identity.  The  demand  for  varietal  wine  products  is  also  growing  in  the  EU,  as  well  as  for 
wines with lower alcohol.   

The  most  recent  wine  policy  reform  in  2013  aimed  to  make  EU  wine  producers  even  more 
competitive, while preserving the best traditions of European wine growing and boosting its 
social  and  environmental  role  in  rural  areas.  The  overall  goal  was  to  harmonise,  streamline 
and simplify the relevant legislation, leading to the replacement of the planting rights regime 
in 2015 by an authorisation scheme for vine planting between 2016 and 2030. This enabled 
competitive  producers  to  increase  production  within  certain  limits,  as  part  of  a  transition 
towards liberalisation of vine planting. 

The reform also introduced innovation in the wine sector by encouraging the development of 
new products, processes and technologies. It supported promotion measures in EU countries 
to  inform  consumers  about  the  responsible  consumption  of  wine  and  about  the  EU  systems 
covering designations of origin and geographical indications.  

At  international  level,  EU  rules  on  oenological  (i.e.  winemaking)  practices  provide  a 
guarantee in terms of quality and safety, and the prompt adaptation of EU rules to changes in 
international  standards  –  set  by  the  International  Organisation  of  Vine  and  Wine  (OIV)  – 
helps  to  improve  marketing  conditions.  EU  rules  on  oenological  practices  help  preserve  the 
reputation  and  tradition  of  EU  wine  by  ensuring  quality  and  safety.  Their  effectiveness  is 
guaranteed  by  the  certification  systems  restricting  crop  management  in  the  vineyard,  wine 
grape yields, oenological practices and ageing operations.  

Uniform  EU  labelling  rules  provide  overall  added  value  at  EU  level  by  ensuring  a  level 
playing  field  and  fair  competition  for  economic  operators,  facilitating  trade  and  the 
functioning of the single market, and providing clear information to EU consumers. However, 

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the  potential  cost  of  labelling  ingredients  is  considered  too  high  for  small  producers.  EU 
labelling rules generally meet the legitimate expectations of consumers, with surveys showing 
they  consider  that  labels  provide  relatively  clear  and  sufficient  information.  However, 
consumer and public health organisations say there is a need for more information, especially 
on  nutritional  values  and  ingredients.  EU  labelling  rules  led  to  the  adaptation  of  EU  wine 
production  to  a  variety  of  market  segments  (varietal  wines  as  well  as  wines  that  are  more 
typical  and  authentic).  The  implementation  of  EU  rules  on  labelling  and  the  systems  of 
monitoring and checks is judged to be efficient.  

Defining  EU-level  rules  for  oenological  practices  and  wine  grape  varieties  represents  real 
added value, harmonising EU rules with OIV recommendations, allowing for recognition of 
specific local situations and filling a gap in international standards. They are also relevant for 
the  competitiveness  of  EU  wine  producers  as  they  encourage  greater  differentiation  of 
products.  Furthermore,  the  quality  and  safety  of  wine  products  might  decrease  without 
specific EU rules.   

The fact that products with less than 8.5° alcohol are not considered as wine products in the 
regulatory  classification  of  grapevine  products  could  limit  EU  producers  from  adapting  to 
new market demand, as demand is increasing for such wine products among consumers in the 
EU  and  world-wide,  with  global  competitors  beginning  to  capitalise  on  the  demand.  In 
addition,  EU  production  is  lagging  behind  in  meeting  consumer  demand  for  wine  that  is 
produced in a more environmentally sustainable way. Some EU rules on wine grape varieties 
appear  outdated  and  irrelevant  for  improving  wine  quality,  preserving  safety  or  enhancing 
competitiveness.  Restrictions  on  the  use  of  six  wine  grape  varieties  and  of  crosses  between 
vine varieties belonging to Vitis vinifera and other species of the genus Vitis for wines with a 
protected designation of origin have resulted in a disadvantage compared to non-EU countries 
that  have  no  such  constraints.  Eliminating  these  rules  would  help  achieve  EU  priorities  on 
preserving  biodiversity, ensuring environmental sustainability and further reducing pesticide 
use.   

The national support programmes have played a key role in improving the competitiveness of 
EU  wine  producers  and  products  in  the  context  of  very  positive  market  developments,  in 
particular increasing demand from third countries.   

The measures in the national support programmes are generally relevant to the needs of the 
sector, especially because they offer a range of tools that can be adapted to the various levels 
of development of EU local supply chains (i.e. restructuring and conversion, investment, and 
promotion).  

However, some needs are not or are not sufficiently addressed by the EU’s wine policy. These 
include  the  survival  or  adaptation  of  the  smallest  operators,  the  need  for  a  better-trained 
workforce,  renewal  of  businesses  between  generations,  environmental  issues  (adaptation  to 
climate  change,  biodiversity  and  pesticide  use),  and  adaptation  to  market  demand  for  lower 
alcohol wines and sustainable products.   

The EU framework has provided added value by accelerating the modernisation of the sector, 
and by ensuring its viability and international competitiveness. In particular, the adaptation of 
the sector to market demand would have been slower without EU funding and might have left 
small  players  behind.  The  EU  framework  was  a  key  instrument  in  creating  a  level  playing 
field  among  Member  States.  In  some  Member  States,  the  EU  framework  also  introduced  a 
strategic approach and long-term planning in the management of the sector, which was also 
facilitated  by  the  consistency  of  the  measures  and  the  budgets  over  time.  However,  such  a 
strategic approach was difficult to  implement in some Member  States. EU added  value was 

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also  less  clear  when  it  came  to  the  efficient  implementation  of  measures  in  the  national 
support programmes, due to a high level of complexity and bureaucracy.  

The  national  support  programmes  are  generally  consistent  with  the  EU’s  environmental 
objectives  but  they  could  contribute  more  to  these.  In  particular,  the  restructuring  measure 
contributes to climate change adaptation but was not designed to do so and could be adapted 
to have an even bigger impact. There could also be a higher degree of coherence between the 
EU’s  wine  policy  and  EU  public  health  objectives.  Overall,  the  EU’s  wine  policy  is  fully 
consistent  with  EU  economic,  social  and  CAP  objectives.  An  overall  complementarity  also 
exists  between  measures  in  the  rural  development  programmes  and  the  national  support 
programmes, notably those relating to investment, restructuring and conversion. 

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