1. Standards convergence and consumers interest: the case of wine
Sylvain NAULIN
WTO Public Forum
Geneva – 03 October 2014

2. CEEV - Members

3. CEEV – European Committee of Wine Companies
“Comité Vins”
Representative body of the EU Industry and Trade in Wines: 24 national associations
still wines, aromatised wines, sparkling wines, liqueur wines and other vine products across the EU.
Our companies produce and sell the large majority of wines in Europe.
More than jobs in the EU
more than companies, mainly S&M enterprises producing and selling the large majority of European quality wines, with and without GI.
More than 90% of EU wine exports.
With €8,9 billion annual exports the EU Wine industry contributes to a surplus of €6,5 billion to the EU balance of trade.
CEEV is member of

4. Wine: a specific product…
…With specific rules in the EU
Wine is an agricultural product
Regulated in the CAP (sCMO)
Included in agricultural package in international negotiations
but also a processed food
Covered by horizontal rules
Then wine is defined by:
The final status of the product: “ Wine shall be the product obtained exclusively from the total or partial alcoholic fermentation of fresh grapes, whether or not crushed, or of grape must » (Annex VII part II of R 1308/2013)
The methods of production
Wine is the only processed food for which production processes are exhaustively listed (Annex VIII of R 1308/2013 and R 606/2009) 4

5. A long tradition of standardisation
…The definition of wine
First international discussions after the phylloxera crisis
Important development of frauds with products incorrectly marketed as “wine”
Congresses in 1908 (Geneva) and 1909 (Paris):
Progresses in proposing a first definition of wine
recalling and confirming the principles of the Madrid Convention of 14 April 1891 concerning the suppression of false indications of provenance.
The creation of OIV
In 1924, 8* countries agreed on the creation of the International Office of Wine
Actually, OIV is made up 46 Member states and 12 observers
One of the main goals of OIV is :” to contribute to international harmonisation of existing practices and standards and, as necessary, to the preparation of new international standards in order to improve the conditions for producing and marketing vine and wine products, and to help ensure that the interests of consumers are taken into account. »
*France, Spain, Italy, Portugal,Greece, Hungary, Luxembourg and Tunisia 5

6. A difficult convergence
A multiplication of standards
The international standard of OIV
OIV proposes a definition of wine and a positive list of allowed oenological practices but…
The transcription of OIV standards is not mandatory for MS
46 countries are members
The WWTG (World Wine Trade Goup)
Created in 1998 by 7* countries with the aim of « A successful, competitive and growing global wine industry, characterized by social responsibility, sustainability and focus on consumer interests, operating in a climate free of trade-distorting factors. »
More based on mutual recognition than normalisation and common standards
The Codex Alimentarius
Ambition to develop the list of allowed additives for wine
Reference used by countries which are nor member of OIV
*Australia, Argentina, Canada, Chile, New Zealand, South Africa and the United States (+ Georgia in 2010) 6

7. Diminution of trade barriers
Disparate standards create barriers to trade
Example of organic wine (EU vs USA)
Before 2012:
EU rules only on « wine from organic grapes »: no definition of the « organic wine » and its production standards
US rules distinguishes « organic wine » (zero sulfites added) and « wine from organic grapes » (with a limited addition of silfites)
After 2012:
Defintion of « organic wine » and its production standards in the EU (in particular the maximul level of sulfites) and withdrawal of the category « wine from organic grape »
Due to the non-harmonization of standards:
EU « organic wine » is not recognized in the USA (due to the addition of sulfites)
« Wine from organic grapes » has to be reintroduced for the US market 7

8. Diminution of trade barriers
Disparate standards create barriers to trade
Definition of wine and oenological practices
Definition of wine could be different in certain countries creating technical barrier
Non harmonized authorized oenological practices for winemaking
From 2008, EU accepts rthat wines produced in respect of oenological practices recognized by OIV (and not necessary by the EU) could be marketed in the EU
Bilateral agreements could be an opportunity to tackle TBT, in particular oenological practices (agreements with the USA, Australia, Chile,…)
but…
Bilateral agremments are long processes and their multiplication create administrative difficulties
Impossible at this stage to have such agreements with all third countries
Where putting the limit in terms of acceptance of oenological practices regarding EU/OIV standards? 8

9. Consumer protection Fair information of the consumers…
Definition of wine
Harmonized definition of wine reinforced a fair information of the consumers
Example of Japan with a wide defintion of wine including other products
Misleading of the consumer on the product
Unfair competition with products markets as wine
Harmonized standards for labelling
Necessity to give clear informations to consumer
OIV rules for wine labeling indicating what would be the mandatory and optional mentions
WWTG agreement on requirements for wine labelling 9

10. Consumer expectations
…preserving diversity and choice
With a common framework: single definition of wine and limited list of oenological practices, EU wine sector offers a wide range of high quality products with complemntary drivers
PDOs/PGIs
Grape varieties
Brands
Provenance
Product identity and authenticity matters for consumers and ensure a fair competition between economic operators 10

11. Closing remarks
Increasing of the importance of standards for the trade of wine: international convergence is a crucial issue for the wine sector
For the facilitation of trade by avoiding non tariff barriers and allowing fair competition
For the consumers benefit with clear rules of identity and authenticity
Important to avoid the multiplication of standards
For a more simple framework for economic operators
To be more comprehnsible by consumers
Necessity to facilitate the convergence of standards for wine by encouraging relationships between Codex Alimentarius and OIV 11

12. Thank you for your attention!