FDBusiness.com

ECJ rules: Minimum price of alcohol in Scotland restricts the free trade

 Breaking News
  • Administrators Appointed to Russell Hume KPMG Restructuring has been appointed as administrators to Russell Hume, the UK specialist meat supplier. Headquartered in Derby and operating from six production sites in Liverpool, Birmingham, London, Boroughbridge, Exeter and Fife, the company supplied meat to a number of hotels, restaurants and pubs across the UK. It employed a total of 302 people. Last month, [...]...
  • Heineken Delivers a Solid 2017 Performance Heineken has posted a 5% increase in organic revenue (beia) to €21.91 billion for 2017 with revenue (beia) per hectolitre up by2.1% as consolidated beer volume rose by 3.0% with growth in all regions. Operating profit (beia) grew 9.3% organically during the year, primarily reflecting higher revenue and cost efficiencies. The group’s operating margin improved [...]...
  • Coca-Cola European Partners Reports First Full Year Coca-Cola European Partners has reported a 21% increase in revenue to €11.1 billion – up 3.0% on a comparable and foreign exchange neutral basis – for the full-year ended 31 December 2017. Volume was up 0.5% on a comparable basis. Full-year reported operating profit at €1.3 billion was up 9.0% and by 10.5% on a comparable [...]...
  • New Micronutrient Premix For Target-group-specific Drinks Health is one of the twelve central megatrends identified by the Frankfurt Future Institute’s Food Report 2018. A healthy lifestyle is important to all age groups, and nutrition plays a major role alongside various other components. Using its new premix for healthy bones and heart as an example, SternVitamin shows how beverage manufacturers can address [...]...
  • Lete SpA – A Compact Line of 44,000 bph For Square Bottles Lete is an internationally recognised trademark, thanks to the peculiarity of the naturally sparkling water and also because it is the main sponsor of Napoli Calcio. The collaboration with ACMI dates back more than twenty years and the famous Italian supplier of end-of-lines has always considered Lete SpA to be one of its most prestigious [...]...

ECJ rules: Minimum price of alcohol in Scotland restricts the free trade

ECJ rules: Minimum price of alcohol in Scotland restricts the free trade
January 05
12:58 2016

The European Court of Justice has investigated whether the minimum price per unit (MPU) of alcohol, introduced by the Scottish parliament in 2012, restricts the free trade of alcohol and whether it is indeed the best way to protect the health of the public, as was intended.

The objective of the Scottish legislation is to protect human life and health. A minimum price per unit of alcohol would lead to an increase LA 4 in the currently modest price of some high-strength alcoholic drinks. Such drinks are often purchased by those whose consumption of alcohol is problematic. In the opinion of the Scottish legislature, that objective could not be achieved with the same degree of success by means of tax measures.

The court sought to ascertain whether the introduction of a minimum price is compatible with EU law. In particular, that court asks whether the effect of the legislation at issue is to restrict the free movement of goods and, if it does, whether that restriction can be justified on the ground of the protection of health.

In a case brought by the Scottish Whisky Association et al against the legislation, the court found that the same effect (that of reducing problematic alcohol consumption) could be established by effective tax measures. The court concluded that it is for the Scottish government to decide on the best way to manage the situation but in a statement it said:

“In [the] judgment, the Court of Justice considers that the effect of the Scottish legislation is significantly to restrict the market, and this might be avoided by the introduction of a tax measure designed to increase the price of alcohol instead of a measure imposing a minimum price per unit of alcohol.”

It continued: “According to the Court, a fiscal measure that increases the taxation of alcoholic drinks is liable to be less restrictive than a measure imposing an MPU since, unlike where there is a minimum price; traders retain the freedom to determine their selling prices.”

There are many European countries that have debated following Scotland’s lead in the battle to reduce problematic alcohol consumption. Ireland, in particular, has expressed its wish to implement similar MPU legislation in the near future.

The court is expected to make its final ruling on the legislation this month.

About Author

admin

admin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • February 18, 2018Vinisud
  • February 25, 2018fish international
  • February 27, 2018Int'l Food Fair
  • February 27, 2018Warsaw Gastro Show
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements