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Reform of the Wine Sector in the EU and its Implications in Croatia

The wine sector in EU is one of the most complicated regarding the legislation and preparations for the wine reform have been long and comprehensive. The wide-ranging EU wine reform was implemented in two phases. The first phase implied retrieval of balance on the wine market and casted out market intervention measures allowing enhanced budget use. The second phase included rules regarding protected designations of origin (PDO), protected geographical indications (PGI), wine making practices and the vineyard register. The primary aim of this paper is contribution to the understanding of the EU wine reform and the next aim is to investigate the impact on Croatia. Using descriptive analysis approach, the quality analysis of the legislation in the European and Croatian wine sector has been conducted. The wine reform in the EU was necessary because of: (i) the structural surplus on the European market, (ii) the steady decline in wine consumption in the EU and (iii) slower growth in EU exports since 1996. Croatia is obligated to harmonize the legislation in the wine sector as one of the preconditions of the EU accession. The adoption of the new EU legislation in Croatian legal framework started in 2010. The most of EU regulations have been adopted in 2010. The rest of it has to be adopted in 2011. Croatia has implemented several regulations concerning wine sector into national law framework. Still, the most challenging part of the EU reform, the system of PDO and PGI is waiting to be revised and adjusted to Croatian circumstances. The implementation should support interests of all parties (producers, government, institutions).

wine sector; Croatia; legislation; EU

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