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Friday, May 25, 2007

European Commission Wants to Promote EU Out of Wine Glut

The European Union has delayed action to deal with its continuing wine glut, but now the European Commission plans to recommend that $161.4 million be spent annually to promote European wines around the globe.

The European Commissions proposal reportedly covers 2009-2015. It will be unveiled in July as part of what is expected to be a wider ranging reform of the wine market across Europe.

The plan will include a recommendation to destroy 200,000 hectares of vines. European politicians are also considering a plan to scrap current subsidies to turn unused wine into industrial alcohol. That program costs in excess of $650 million annually.

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