Wine reform first challenge

A proposal to modernise the European wine sector is expected from the European Commission on 4 July, just days after Portugal takes over the rotating EU presidency.

Portugal says it hopes to have a deal on the reform package wrapped up in time for the December Council of farm ministers.

Earlier this year, another agricultural reform package, on the fruit and vegetable sector, was agreed in just five months. But the wine sector proposal is likely to prove more controversial, since it aims to save money by phasing out production subsidies and to open the EU wine sector to competition.

Producer countries including France, Italy, Spain and Hungary have already faced protests from vine growers and wine producers worried about losing their jobs.

A proposal to modernise the European wine sector is expected from the European Commission on 4 July, just days after Portugal takes over the rotating EU presidency.