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EU Commission Proposes Expansion of Opportunities for Wine Producers in Low-Alcohol Market

by Kaia

As part of the 2021 Common Agricultural Policy (CAP) reform, the European Union has adopted regulations recognizing two new terms: “de-alcoholized wine” (up to 0.5% vol) and “partially de-alcoholized wine” (over 0.5% vol).

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Pierre Bascou, deputy director-general of the European Commission’s Directorate-General for Agriculture (DG AGRI), addressed Members of the European Parliament on Monday (April 15), highlighting these terms as potential avenues for the future of wine producers amidst challenges like declining consumption and climate change.

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While the de-alcoholized wine market remains modest within the EU, particularly when compared to the burgeoning zero-alcohol beer market, there is growing demand, particularly in the United States and the United Kingdom. The Commission estimates that Europe could produce up to 42 million liters of de-alcoholized wine annually in the coming years.

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Recognizing the significance of this market, the EU aims to seize the opportunity, especially as countries like New Zealand and Australia heavily invest in the sector.

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The rules governing de-alcoholized wines currently prohibit the complete removal of alcohol from wines with a protected designation of origin (PDO or PGI). Bascou emphasized the EU’s pioneering role in establishing these regulations, ensuring that such wines can be marketed as “wine” rather than categorized as other beverages.

However, challenges persist, particularly regarding organic wines. Presently, de-alcoholized wines cannot attain organic classification due to the absence of recognized methods for alcohol removal in EU organic label specifications. At the behest of Germany and Austria, the Commission is considering authorizing vacuum evaporation, with a scientific opinion expected imminently, paving the way for potential regulatory action.

Technical obstacles also extend to sparkling wine, where alcohol removal is currently unfeasible.

The emergence of this market prompts discussions regarding choice of de-alcoholization techniques and product nomenclature. Italy witnessed a spirited debate during CAP reform discussions, with the proposal for low-alcohol wines stirring controversy. Italian farmers’ organization Coldiretti vehemently opposed the concept of alcohol-free wines, advocating against their classification as “wine.”

Similar sentiments echoed at Vinitaly, Italy’s premier wine fair, with Agriculture Minister Francesco Lollobrigida urging caution against labeling de-alcoholized products as wine.

MEPs, including Clara Aguiliera and Martin Häusling, emphasized the need for consistency in regulatory frameworks to prevent mislabeling and maintain product integrity.

While acknowledging concerns about production costs for small-scale producers, Bascou expressed optimism about the potential of the de-alcoholized wine niche, highlighting ongoing collaboration with the International Wine Organization to develop regulatory guidelines.

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