91999E2737

WRITTEN QUESTION E-2737/99

by Michl Ebner (PPE-DE) to the Commission

(18 January 2000)

Subject: Unfair competition in the grape-based eau-de-vie sector

When diluted to less than 86 % volume raw alcohol produced from grapes can become, on the basis of a broad interpretation of certain Community norms, eau-de-vie made from grapes which, once brought into Italy, could be sold, albeit unlawfully, as grappa.

Eau-de-vie made from grapes produced in this way is considerably cheaper than grappa since raw alcohol is eligible for a Community contribution of 140 000 lire per hectolitre compared with 78 000 lire for grappa.

This difference of 62 000 lire constitutes an incentive to counterfeit this most Italian of eau-de-vie. Not only does this lead to serious financial losses for producers but it also results in consumers being deceived.

Can the Commission say whether it intends to take steps to equalise the Community contribution for grappa with that for raw alcohol, thereby removing the unfair competition in the grappa sector and protecting consumers?

Answer given by Mr Fischler on behalf of the Commission

(14 February 2000)

The Commission has been informed of the use of raw alcohol in grappa production, contrary to the rules in force.

At a recent management committee meeting the Member States in question were asked to give attention when granting aid to the destination of the distillation product. It is of course up to these Member States' supervising bodies to ensure compliance with Community rules.

The Commission is at present reviewing the distillation aids for grape marc spirits and raw alcohol in the context of the reform of the common market organisation for the wine sector due to enter into force from the next wine year (1 August 2000).