FOR YOUR INFORMATION
We share below a number of recent developments. As always, we rely on FIVS Members to apprise us of noteworthy matters. Please contact the FIVS Secretariat with items that may be of interest.
Georgia: Georgian government helps producers find new markets – Georgian wine export revenues have reached record levels in 2021 as exports to Canada, Sweden, Szechia, the United Kingdom, and the United States have grown. But approximately 55% of their wine is exported to Russia, which allows Russia to use wine as an economic weapon as it did during the Russian embargo in 2006. The Georgian Ministry of Environmental Protection and Agriculture approved a plan in September 2021 for its Wine Agency to help producers and distributors expand existing markets in the West and Asia. The government is seeking to encourage the expansion of their export capacity by improving processing, packaging, and shipping logistics. Prior to the embargo, Russia accounted for about a 75% share of exports, but Russia’s market share fell to zero in 2007, severely hampering Georgia’s wine industry. The embargo encouraged Georgian wine producers to improve the quality of their wines and focus more attention on marketing.
Russia: Finance Ministry raises minimum prices for brandy, cognac, and vodka, but not beer – Russia’s Ministry of Finance raised the minimum retail price for 0.5 litre bottles of brandy from 324 to 348 rubles, for cognac from 446 to 480 rubles, and for vodka from 243 to 261 rubles. The minimum wholesale price was raised for vodka from 210 to 222 rubles, for brandy from 269 to 284 rubles, and for cognac from 370 to 391 rubles. The Ministry of Industry and Trade, the Federal Antimonopoly Service (FAS), and the Ministry of Finance decided, however, against setting a minimum retail price for beer, reportedly because small and medium-sized producers would not be the beneficiaries and because the change, it was thought, might lead more consumers to buy stronger spirits, rather than beer.
Uruguay: Traffic deaths have reportedly declined after the introduction of zero-BAC limit in 2015 even though no change in consumption – A study published in the Uruguayan Medical Journal concluded that Uruguay’s zero alcohol law, enacted at the end of 2015, resulted in reducing fatal accidents in the short term. The researchers found that alcohol consumption did not undergo significant changes despite the zero law, but analysis of the records of people injured (slightly and seriously) or killed in traffic accidents from 2016 showed that the number of motorcyclists killed and seriously injured fell significantly. The researchers only collected data on alcohol beverages from 80% of the market in the entire country and did not include statistics on wine.
Global: WHO Executive Board adopts draft decision recommending Global alcohol action plan to World Health Assembly – During its 150th session last week, the World Health Organisation (WHO) Executive Board adopted the draft decision contained in EB 150/7 on the prevention and control of noncommunicable diseases, which included recommending the adoption of the Global Action Plan to effectively implement the Global strategy to reduce the harmful use of alcohol by the World Health Assembly when it meets in May 2022.
- Global: WHO strategy designed to reduce alcohol consumption, not tackle harmful drinking – As the WHO Executive Board approved the Global alcohol action plan for consideration by the World Health Assembly in May 2022, this article notes that the WHO is seeking to have 70% of its member states take up “high-impact policy options” – implementing minimum pricing and taxation policies, enforcing bans or restrictions on alcohol advertising and promotion, strengthening restrictions on alcohol availability, and developing and implementing warning labels. Dr. Ignacio Sánchez Recarte of the Comité Européen des Enterprises Vins (CEEV) and FIVS Vice President notes that the WHO’s recommendations are designed to reduce consumption rather than tackle harmful drinking, that the WHO seeks to have its measures imposed by its member states without taking into account the views of commercial interests, and that the Action plan could lead to alcohol being treated “almost like an illegal product.”
European Union: European Parliament vote could end advertising and financial support for wine sector – On 14 February 2022, the European Parliament reportedly may vote on whether to adopt the report from its Special Committee on Beating Cancer (BECA), which potentially could put an end to advertising and financial support for Europe’s wine sector. Dr. Ignacio Sánchez Recarte warns that by shifting its focus from targeting harmful drinking to trying to reduce alcohol consumption for everyone, the European Parliament could create “a completely different” world for the wine industry in Europe. In addition to stigmatising the wine sector, he notes that support for the wine sector, including facilitation of trade for small producers who rely on EU support, could end. He argues that wine is a pillar of socio-economic sustainability in Europe’s rural areas, key to rural development, and an important contribution to European culture when enjoyed in moderation.
- European Union: FEV concerned about European Parliament’s “demonisation” of wine – The Spanish Wine Federation (FEV) has reportedly expressed concern that the approval by the European Parliament’s (EP) Special Committee on Beating Cancer (BECA) of its final report will cause serious damage to the reputation of wine, one of the European Union’s most exported products. The Committee’s final report on how to strengthen the EU’s role in the fight against cancer states that alcohol “is a risk factor” for many types of cancer and “when it comes to cancer prevention, there is no safe level of alcohol consumption.” The report asks the European Commission to consider requiring health warning labels and increasing taxes applied equally to spirits, beer, and wine. The European Parliament, which may vote on the report this month in a plenary session, could admit new amendments that modify the final text. If approved, that document will become a parliamentary resolution without executive force, but the European Commission could require policies for the promotion of agricultural products to be aligned with the European Plan against Cancer.
Studies
South Korea: Updated study suggests positive association between alcohol consumption and epilepsy – An article, “Alcohol consumption on unprovoked seizure and epilepsy: An updated meta-analysis” published in Drug and Alcohol Dependence found an overall positive association between alcohol consumption and epilepsy, but concluded that further affiliated studies in a wider setting are required to establish the association. Using more accurate diagnostic methods and recent data, scientists from Pusan National University, South Korea, conducted an updated meta-analysis to clarify the relationship between alcohol consumption and unprovoked seizures and epilepsy. Their findings suggested that overall, alcohol drinkers were at a significantly higher risk of developing epilepsy, as compared to non-drinkers, and that the risk of epilepsy increases with an increase in alcohol intake.
United Kingdom: Study’s authors argue low to moderate alcohol consumption is not beneficial to cardiovascular health – “Alcohol – The myth of cardiovascular protection,” published in Clinical Nutrition suggests that drinking less than the United Kingdom’s recommended limit of 14 units of alcohol per week still increases the risk of cardiovascular issues, including heart and cerebrovascular disease. The research examined hospitalisations related to cardiovascular events among more than 350,000 UK residents, including 333,259 who drank alcohol, aged between 40 and 69. For those who drank less than the UK’s recommended weekly limit, consumption of each additional 1.5 pints of beer at 4% strength was associated with a 23% increased risk of suffering a cardiovascular event. The authors conclude their data shows the risk of cardiovascular events is not lowered by the consumption of low or moderate levels of alcohol.
NOTE: We make no warranty of any kind regarding the accuracy or completeness of the information in these FIVS Alerts; nor do we necessarily support or agree with views expressed or contained therein.