Minutes meeting 26/09/07

The meeting of the Wine Intergroup of the European Parliament took place in the presence of representatives from the CEEV, COPA-COGECA and CNAOC.

Mrs Astrid Lulling made an intervention on the adoption of the Castiglione (EPP-ED) report. The calendar for this report is the following:
- Vote in the AGRI Committee of the EP on the 21st of November 2007
- Vote in Plenary: December 2007

She regrets the lack of time given to MEPs to adopt the report. They have no choice but to solely focus on the major flaws of the Commission proposal (oenological practices, liberalisation of planting rights)

- European Committee of Wine Enterprises (CEEV) – Mr Pau ROCA – Chair of the Working Group "Wine CMO Reform"

The CEEV is satisfied with the Commission proposal which endeavours to make the European wine sector more competitive, but it regrets its lack of ambition.
The EU needs a real strategy for promoting wine in third country markets.

The CEEV is in favour of the liberalisation of planting rights, even if this measure will cause some problems for wines "d'appellation d'origine" (A.O.) A specific solution has to be find for those wines in order to allow producers to manage their production potential. A certain flexibility has to be granted to Member States to allow them to accelerate the liberalisation of planting rights between 2010 and 2013, provided the grubbing up system has been effective. Regarding labelling, consumers have to be informed about the quality of the products and health warnings have to be integrated. These points remain outside of the CMO reform as they fall under the legislation regarding labelling of foodstuffs.

The CEEV endorses the prohibition of the enrichment by using sugar as proposed by the Commission. Concerning national envelopes, they must not distort competition between member states. The funds that are allocated have to be used more efficiently.

- COPA-COGECA – Mrs Palma ESPOSITO– Vice-president of the wine working group

The COPA-COGECA is extremely concerned by the Commission proposal. The goals it sets are good but the instruments it proposes are not adapted to the specificities of the European production systems. One cannot put into place New World production methods in Europe because they differ greatly. The liberalisation of planting rights is a good initiative but more means have to be given to the management of the market. The Commission has to take into account the rapidly changing nature of the European wine market, which can change drastically from one year to another

The COPA COGECA wants the quality of European wines to be guaranteed. The liberalisation of planting rights has to be implemented gradually in the regions "à appellation d'origine". Mrs Palma Esposito proposes the introduction of a review clause in 2013 and to introduce flexibility instruments. She endorses Mr Castiglione's report, which supports an increase of support measures in the national envelopes and makes interesting proposals to develop the sector. Producers fear losing the leading role they are playing in the sector.

- CNAOC – FEDERDOC – Mr Pascal BOBILLIER-MONNOT - Chairman

The CNAOC supports the objectives set by the Commission but opposes the measures put forward because they threaten the European AO system.

The liberalisation of planting rights risks destabilizing the AO wine markets, to provoke overproduction and a decrease in prices. There will be a long-term downward levelling of qualitative constraints. The CNAOC wants means to limit production surfaces for AO products. It is strongly in favour of a strict framework for plantations and a precise definition of AO.

Concerning labelling, the CNAOC is opposed to the liberalisation of the system, which would cause confusion among consumers regarding wines with and without geographical indications. The grape indication has to be reserved to wines with geographical indications.

Regarding market management, the CNAOC is favourable to thee deletion of certain support mechanisms, but it demands legal means allowing professionals to regulate the market. The CNAOC is opposed to transfer a third of the CMO budget to rural development, which is equivalent to nationalizing the CAP. Concerning the traditional practice of chaptaliation, the Commission proposal is incoherent with its policy for promoting quality and traditional wines.

- Intervention by Mrs Astrid Lulling, chair of the Wine Intergroup in the EP (EPP-ED, Luxembourg)

Mrs Astrid Lulling is opposed to the proposed calendar of the Castiglione report. She rejects the Commission proposal on chaptalisation and the use of musts and stresses that the system introduced in 1999 is working well. A consensus must be found on the issue of chaptalisation, which divides the EU in two halves. Concerning the "vendanges en vert", Mrs Lulling regrets the absence of measures proposed by the Commission to control the situation. Who will verify that all the grapes have been thrown away? Other subjects will also have to be addressed, like the distillation of sub-products and its impact on the environment, the determination criteria for national envelopes, the management of the AO. Numerous points are still up in the air, we are far from having reached a majority agreement on the key points of the reform.

- Intervention by Mrs Figueiredo (GUE, PO)
Mrs Figueiredo emphasises the reinforcement of the protection of denominations of origin. She also regrets the precipitated calendar which leaves only a limited time to study the report.

- Intervention by Mr Beaupuy (ALDE, France)
Mr Beaupuy expresses his disagreement with the Commission's project to put an end to enrichment with sugar. He also wants better fund management. We have to avoid wasting the funds and focus on promoting wine.

- Intervention by Mr Wise (IN/DEM, UK)
Mr Wise is for a liberalisation of wine markets. We have to let the market deal with the situation and learn from the good practices put into place in the New World countries that produce good quality wines.

- Intervention by Mrs Christa Klass (EPP-ED, Germany)
Mrs Klass reminds us that the experts' verdict is unanimous. The current tools of the CMO have to be reformed. The objectives set by the Commission are good but the instruments proposed aren't. Mrs Klass asks for more time to consider all the elements of the reform in detail (labelling, distillation).

- Intervention by Mr Xavier de Volontat, President of the independent European winegrowers
The President outlines the position of the impendent winegrowers represented as a European organisation. The Federation supports the efforts undertaken to strengthen the competitiveness and assure market development.
Five points are essential:
- Criteria of historic reference must not be taken account of in the distribution of national envelopes
- Larger list of eligible measures in the envelopes (R&D)
- Liberalisation of planting rights for AO surfaces
- Reinforcing the role of producers organisations in the new system
- Equal treatment for the actors and the companies in the sector; the next CMO should not allow any favours for production organisations

- Conclusions by Mrs Lulling, President of the Wine Intergroup (EPP-ED, Luxembourg)

Mrs Lulling wants more time for the adoption of the Castiglione report. A solution adapted to winemaking has to be found, because the sector differs greatly from other agricultural sectors as it has stronger cultural and territorial links. Mrs Lulling opposes the uniformisation of European wine making. The European system is very different from the one in the New World.
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