Articles
WINE POLICY IN THE EUROPEAN COMMUNITY
Article number
203_35
Pages
295 – 304
Language
Abstract
Declining wine demand and expanding grape production created costly surpluses and the need for major structural changes in the European Community’s (EC) wine sector in 1985. Despite massive support for wine distillation and subsidies for vineyard removal, real prices for wine continued to decline and remained below levels necessary to assure adequate incomes to growers.
The changes adopted in 1985 included a lowering of intervention prices to discourage excess production and an increase in subsidies for vineyard removal.
Approximately 350,000 hectares of bearing winegrape vineyards must be removed to balance production with projected demand in 1991/92. Intervention prices will need to be dropped further and removal of subsidies increased if this target is to be reached.
The result is that the policy environment within which much horticultural research is conducted will be rapidly changing and is unlikely to stabilize.
The changes adopted in 1985 included a lowering of intervention prices to discourage excess production and an increase in subsidies for vineyard removal.
Approximately 350,000 hectares of bearing winegrape vineyards must be removed to balance production with projected demand in 1991/92. Intervention prices will need to be dropped further and removal of subsidies increased if this target is to be reached.
The result is that the policy environment within which much horticultural research is conducted will be rapidly changing and is unlikely to stabilize.
Authors
K. Moulton
Keywords
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