In India, wine lovers bank upon WTO to make wine import freer and cheaper. The same body has made the Italian wine producers raise their hands in desperation by pressurizing EU to amend its wine regulation liberalizing the widespread use of scores of viticulture labels on Italian wines. The regulation was passed last week and comes into force by the month-end.

Non-EU countries can now use popular names like Amarone, Canellino, Vino Nobile, and Vino Sante etc. This has been done supposedly to break the protectionist policies of some Old World Countries. Non-EU countries will now be able to sell South African Amarone, Argentinean Brunello, Australian Recioto and several other popular wines, which spell I-T-A-L-I-A-N right now.

This is going to put Italian wine exports under further pressure. Last month, a major white wine fraud was unearthed, when it was discovered that over 24000hLs of Sicilian white Pinot Grigio and Pinot Bianco wines were being sold in Northern Italy where they were being as sold as Veneto wines which fetch more money. Italian wine exports are already under pressure in major importing countries like US and UK where Australia, South Africa and Chile have been making major inroads.

This action is likely to result in friction between old stalwarts like Italy, France, Portugal and Spain, which opposed this step. This type of labeling helped the producers create Branding and uphold old culture and tradition and I believe will take some of the charm and romance associated with the Old World wines. One hopes that the powers-to-be in these regions will strongly oppose this amendment.

Subhash Arora
Feb 6,2004