1. Grape producers Wine producers Local wine communities (127) Regional council of Wine communities (22 - Wine regions) National council of Wine communities Ministry of Agriculture and Rural Development Mandatory memberships Voluntary memberships Associations, partner organisations (Ass. for Hung. Wine and grape producers, Vindependent, Wine Academy, Wine regions …) Hungarian Custom and Finance Guard dues Operational costs dues reports Marketing tax 8 Ft/L (EUR 10 M) AMC MGSZH (NWQI) OMMI (CAO) MVH (Ag. R. Dev. Ag. Tenders EU subsidies Single Area Payment Scheme W.pr. Gr.pr. 3, 20 Ft/L (40 %) 4,80 Ft/L (60 %) Magyar Bormarketing Kht. Tenders Research, Edu. reports control

2. Experiences of EU membership 5 years of membersip New system of supports and subsidies 20 Mn EUR/year for the wine and grape industry App. 50 % for the structural change of plantations 50 %: distillation, cut off, private storage, Funds for agricultural development supports for investments in agricultural and vinificational technologies

4. Success of support for structural changes: inspirations for deployments real modernisation hungarian grape varieties Success of support for cut off:  very popular, although there is no overproduction  increasing italian import  decrasing profitability on grape production  12% of the plantations has disappeared in 5 years

5. – Continuous overproduction since 2001 – Growing yield on the same territory – Decreasing wine consumption in the traditional wine drinking countries – Rising export, but decreasing EU rate on the world market – Rising import Why do we need reforms in the EU?

6. Wine balance of the EU (15)

7. Change of wine drinking in the EU (1993-2003)

8. Wine import to the EU (15) (kl)

10. Actions Prohibition for new plantations deployments Final cut of grape plantations in the EU - next 3 years - 175000 ha - priorities: over age 55 years, farm termination Prohibition for new plantations deployments Final cut of grape plantations in the EU - next 3 years - 175000 ha - priorities: over age 55 years, farm termination YearHungary (1 000 €) 200916 816 201023 014 201123 809 201229 455 201329 081 2014-29 103

11. Optional steps SAPS -> SPS SAPS -> SPS Promotion – to 3rd countries for 50 % of the costs Promotion – to 3rd countries for 50 % of the costs Structural change of plantations (priority in the case of Hungary: 12 M €) Structural change of plantations (priority in the case of Hungary: 12 M €) Green harvest (max. 60 % of the costs) Green harvest (max. 60 % of the costs) Insurance support Insurance support Technological changes by the wineries (40-50 % of the costs) Technological changes by the wineries (40-50 % of the costs) Byproduct distillation (transportation costs for alcohol and byproduct) Byproduct distillation (transportation costs for alcohol and byproduct) Alcohol distillation Alcohol distillation Crisis distillation Crisis distillation Using grape juice for increasing alc. level Using grape juice for increasing alc. level