Wine tax deals a heavy blow to Cretan producers
Apokoronas News – Cretan wine makers are complaining that they have suffered a heavy blow as a result of the new special tax that was imposed on the consumption of bottled wine. The wine makers expressed their feeling in an open letter addressed to the Greek finance and rural development Ministers.
In their letter they noted that no other EU wine making country has ever had to endure a similar tax, a fact that fosters unfair competition. They underlined that “bottled wine is a product of full vertical integration thus all professions involved in the wine sector are affected, including 200,000 harvesters, over 700 wineries with over 20,000 employees and several others, who assist in the production of wine.”
Furthermore, they stressed that “the winemaking industry continues producing despite the difficulties, supporting the Greek rural economy, making structured efforts for exports with tangible results, creating a national identity in the field of rural economy and generally maintaining a dynamic that only a few productive sectors in the country have.”
According to Cretan wine makers, “the majority of the wineries are small family businesses, modernized through investments that had the prospect of growth before the crisis and have suffered greatly since.” They also noted that the Greek market is still their main target for production absorption, even though exports have increased in the last decade.
In conclusion, the Winemakers Network Board of Directors in the regions of Heraklion, Chania and Rethymno added their hope that “logic would eventually prevail,” leading to a solution to their problem.