The wine sector, satisfied by the EU-Japan agreement that will boost sales to this country
The wine sector has celebrated the principle of a trade agreement recently reached between the European Union and Japan, which will give a strong boost to wine exports to the Japanese market. Thus, the Economic Partnership Agreement with Japan, which could enter into force in 2019, eliminates import tariffs and includes protection for geographical indications.
This agreement also recognizes a number of oenological practices endorsed by the International Organization of Vine and Wine (OIV), which will contribute to the elimination of some of the existing technical barriers. Commercial development of Spanish wines to date.
This trade agreement, which has led to four years of negotiations, will provide preferential access to EU wine exports, with the elimination of the import tariff once it enters into force
Japan is currently the fourth richest economy in the world and the second largest trading partner of the EU in Asia. With almost € 747 million of annual export in 2016, it is the fifth destination market for EU wines and tenth for Spain.
In 2016, Spain exported to Japan a total of 38 million liters of wine worth 84.5 million euros. It is also one of the most valuable markets for our wines, with one of the highest average prices (€ 2.22 / liter)
However, the market share of European wines has been declining in recent years in favor of other competing countries that have benefited so far from the lack of tariffs under trade agreements with the Japanese country.
Throughout these years of negotiations, the Spanish Wine Federation (FEV) has worked closely with the European Committee of Wine Companies (CEEV) and with the Spanish Ministry of Commerce to ensure that the sector’s demands are incorporated into the final text. In this sense, the secretary general of the organization, Pau Roca, has indicated that the agreement is excellent news given that Japan is a priority country for our wines.
The Secretary General of the FEV has also highlighted the work of those Spanish wineries that have been established in the Japanese market for years and that have made a great effort to achieve the deserved recognition of their brands: “Thanks to the agreement, our wineries and brands will be the same competitive than those of our main competitors”
CEEV President Jean-Marie Barillère congratulated the Commission on carrying out an ambitious trade agenda and concluding this important agreement and urged both sides to accelerate the road to the formal signing of a treaty which, among other important aspects for wine, includes effective protection for EU geographical indications. According to the EWC, this is a positive sign for the other regional debates and contributes to further isolating the last countries that do not protect GIs.
The industry now expects the European Parliament to ratify the agreement as soon as possible to ensure that it can enter into force as soon as possible
Source: FEV
