The European Commission is releasing €40 million support from the agricultural reserve to help French wine producers address market pressures on the wine sector in France. The funding will finance a temporary exceptional crisis distillation measure and will remove up to 1.2 million hectolitres of surplus red and rosé wines from the market to stabilize declining prices.
France’s wine sector has faced mounting pressure due to shifting consumer preferences, climate change impacts, geopolitical trade disruptions, and a drop in bulk wine prices. Despite a 16% reduction in production, compared to long-term averages, oversupply has driven prices down, threatening the livelihoods of producers, particularly in regions specialising in red and rosé wines.
The emergency measure will offer €33 per hectolitre to distil unsold stocks, easing market pressure ahead of this year’s harvest. This latest support complements the Commission’s broader Wine package, which includes further measures to help the sector manage production potential, as well as to adapt to evolving consumer preferences, and unlock new market opportunities.
Commissioner Hansen said: “French wine producers are the backbone of Europe’s viticultural heritage, but at the moment they face unprecedented market challenges. This is an essential response, taken in close coordination with French government, to address the collapse in prices and the saturation of stocks in France. With this €40 million support we aim to provide relief to the market.”
More information is available online.
