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EU Council signs off sweeping reform to support wine sector

New regulation aims to rebalance supply and demand, boost climate resilience and open the door to greater innovation across the EU wine industry.

The Council of the European Union has formally adopted a new regulation setting out a modernised policy framework for the EU wine sector, less than a year after it was first proposed by the European Commission.

The package of measures is designed to support a competitive, resilient and future-orientated wine sector, with a focus on balancing supply and demand, strengthening climate adaptation, simplifying labelling rules and encouraging innovation. It also aims to help producers respond to shifting consumer preferences and unlock new market opportunities, while supporting rural economies.

Maria Panayiotou, Minister of Agriculture, Rural Development and Environment of the Republic of Cyprus, said the speed of the agreement showed the EU institutions were listening to farmers.

“By adopting the regulation on the wine sector today, less than a year after it was proposed by the Commission, the Council and the member states once again demonstrate that they listen carefully to farmers’ and the agricultural sector’s concerns and are ready to take effective action to address them,” she said.

She added that clear political guidance and swift cooperation with the European Parliament would allow the sector to benefit from the measures this year.

Rebalancing the market and building resilience

Under the agreement, member states will be able to support measures such as grubbing-up excess vines to prevent oversupply and help maintain market stability, while also supporting innovation and adaptation to new market conditions.

The existing end date for the planting rights scheme will be removed, replaced with a 10-year revision period.

To strengthen climate resilience, member states may increase EU support for climate-related investments, including mitigation and adaptation, to cover up to 80% of eligible costs. The aim is to accelerate the transition to more sustainable production.

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Labelling, exports and no and low wines

Labelling rules will be simplified and harmonised across the EU, reducing administrative costs and easing cross-border trade. Consumers will gain clearer access to information, including through digital labels and pictograms.

For wines destined for export, producers will be exempt from the requirement to list ingredients and provide a nutrition declaration for the internal EU market, cutting unnecessary administrative burden.

The regulation also clarifies terminology around no and low alcohol wines. The term “alcohol-free” will apply to products below 0.5% alcohol, with “0.0%” reserved for those below 0.05%. Wines above 0.5% alcohol but with at least 30% lower strength than the standard will be labelled “reduced-alcohol”, replacing the previously suggested term “alcohol-light”.

Innovation, tourism and vineyard protection

Wine producers will be able to access targeted support for wine tourism initiatives, with the aim of driving growth in rural regions.

Additional measures are included to combat plant diseases, including flavescence dorée, through increased support for monitoring, diagnostics, training and research.

The agreement also clarifies that rosé wine may be used as a base for additional regional aromatised wine products, widening the scope for product development and supporting producers responding to emerging consumer tastes.

What happens next?

The regulation will enter into force 20 days after its publication in the Official Journal of the European Union.

The EU wine sector remains a cornerstone of Europe’s cultural and economic landscape, accounting for 60% of global wine production and ranking as the EU’s third-largest agrifood export sector. It also plays a key role in sustaining rural economies, with 88% of EU vineyards dedicated to geographical indications.

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