News

Spain will destroy 40 million liters of wine due to oversupply

Published Sep 3, 2023

Tridge summary

Producers in Catalonia and Extremadura will receive €2.7 million in EU support to destroy surplus wine due to a drop in demand and market prices. The Ministry of Agriculture had previously allocated €15 million to compensate for the destruction of unripe grapes and loss of profits. The oversupply of wine is attributed to factors such as tariffs imposed by Great Britain, the war in Ukraine, economic conditions in China, and reduced wine consumption during the pandemic.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Producers from only two regions - Catalonia and Extremadura - will receive EU support for this purpose in the amount of EUR 2.7 million until October 15. Wine destruction takes place, among others: by the process of distillation of accumulated supplies in order to obtain ethyl alcohol for industrial purposes. In February this year The Ministry of Agriculture has allocated EUR 15 million from European funds to compensate for the costs of destroying some unripe grapes in vineyards and loss of profits by producers - reported the ABC daily. Crisis on the wine market Now the Ministry of Agriculture is negotiating with the European Commission in order to receive further funds for "crisis distillation" dictated by the "special situation" - a drop in demand and a collapse in market prices. The problem of oversupply applies especially to red wine. "White and sparkling wines have enjoyed good domestic and foreign sales in recent years - said Joaquin Vizcaino, head of the wine sector of the ...
Source: Farmer.pl
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