FDBusiness.com

The Grape Depression – Tax on Wine in Ireland is Now Over 50%

 Breaking News
  • £3.7 Billion Worth of Discounts Disappear From UK Supermarket Shelves as Promotions Fall to Lowest Levels in 10 Years The pressure on UK retailers to be more transparent in their pricing has seen the number of trade promotions fall to their lowest levels for 10 years, and in 2017, shoppers will receive £3.7 billion less in promotional savings. This is according to a new report by IRI, the provider of big data and predictive analytics [...]...
  • Whisky, Tequila and Gin to Drive Global Spirits Category Growth to 2021 Just released data from the IWSR 2017-2021 Forecast suggests global volumes of whisky, gin and tequila are expected to make gains of 55.2m, 7.1m and 5.8m nine-litre cases respectively over the next five years, following their rapid growth in 2016. These categories together with baijiu (+48.2m cases between 2016 and 2021), will contribute the most in the [...]...
  • Huge Export Win to China For UK Food Producers A new export deal with China will bring a £200 million boost to the UK food industry and support 1,500 jobs. Taking advantage of the growing demand for UK and drink in China, seven new businesses in England and Northern Ireland have secured access to export pork – including three producers who, in a first [...]...
  • CSM Bakery Solutions Closes Sale of BakeMark Business CSM Bakery Solutions, a global leader in bakery ingredients, products and services, has completed the sale of its BakeMark business to private equity firm Pamplona Capital Management. The sale of BakeMark, which was announced mid-July, is an important element in CSM’s decision to focus on their core business in Europe and North America. “Completing the sale [...]...
  • Needham Coding Ireland to Show Own Brand ‘N’ Series CIJ Printers For the First Time Newly established business, County Westmeath-based Needham Coding Ireland Limited, which was formed following a merger between The Needham Group and long-standing Irish distributor, Advanced Coding Solutions (ACS), will be highlighting a wide range of continuous ink jet (CIJ), thermal ink jet (TIJ) and laser coding and marking equipment, and associated printer inks and makeup at [...]...
  • Mars Food Expands its Portfolio With Acquisition Mars Food, part of Mars Incorporated, is acquiring Preferred Brands International, a US-based, fully integrated manufacturer and marketer of all-natural, ready-to-heat Indian and Asian food products sold primarily under the Tasty Bite® brand. Tasty Bite’s® portfolio includes a wide range of vegetarian offerings, including Indian/Asian entrees, spice and simmer meal kits, and organic rice and [...]...

The Grape Depression – Tax on Wine in Ireland is Now Over 50%

The Grape Depression – Tax on Wine in Ireland is Now Over 50%
September 02
09:30 2015

The Irish Wine Association has released its annual Irish Wine Market review, which calls on the Government to reverse excise on alcohol in the next Budget. There has been a 62% increase in excise since 2012 and the report states that the increase in excise has a detrimental effect on the cash flow of wine distributors and importers. The total excise payable to revenue is now €14,640 higher per 1,000 cases of wine than it was in 2012. This, the industry says, has put jobs at risk and has made it impossible to scale up and take on new talent.

Tax take on a standard bottle of wine is now over 50%. Irish wine excise is the highest in the EU and 14 countries pay no excise on wine. Excise on wine is now 106 times higher in Ireland than France. Spanish tourists pay almost twice the price for wine in Irish restaurants that they do at home.

According to the report, 1,100 people are employed directly by Irish wine distributors and importers, and thousands more jobs are supported in the 13,000 pubs, restaurants, and independent off-licences that sell wine. 8.5 million cases of wine were sold in Ireland in 2014, up slightly from 8.2 million cases in 2013, but below the 2011 level of 9 million cases.

Michael Foley, Chairman of the Irish Wine Association and Marketing Director at Findlater Wine & Spirits, says: “Excise is the number one threat to the Irish wine industry. Draconian excise hikes have meant that since 2011 the tax take from a standard €9 bottle of wine has increased from 39% to 54%. This impacts on the cash flow of Irish wine importers and distributors, as many have to pay excise as an up-front cost. The vast majority of these jobs are in small, family-operated businesses across Ireland, making it difficult to take on new talent. The message coming from the industry is clear: reverse excise increases and support thousands of small businesses and jobs across the industry.”

The report outlines the popularity of wine variations, with 50% of wine drinkers choosing white, 47% choosing red and 3% choosing Rose. Chile has overtaken Australia as the No 1 country of origin with France, Spain and Italy retaining their 3rd, 4th and 5th positions. Wine is Ireland’s second most popular alcoholic beverage after beer. 57% of wine drinkers are women and 43% are men.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • September 11, 2017drinktec
  • September 13, 2017FI Asia
  • September 19, 2017PROCESS EXPO 2017
  • September 22, 2017Global Summit on Food & Beverages
AEC v1.0.4

The Magazine

F&D Business Preferred Suppliers

Advertisements