The introduction without consultation of a Wine Tax on wines threatens to undermine all that the local wine sector has achieved over the last 10 years, wine producers said today. We are as concerned with the uncompetitive impact of the tax - 20 cents per litre (15cents per bottle) - as with the levity and lack of discussion with which it was presented.

When Malta joined the European Union in 2004, the then Ministry of Agriculture was gravely concerned that the promise of 'one of its key agricultural sectors' would be extinguished by a flood of cheap imports from its partner nations. This notwithstanding, Malta's negotiators, legislators, farmers, wine-producers, retailers, and consumers proudly worked together to transform potential into reality:

• Despite a cross-European planting moratorium, Malta managed to secure pre-accession planting rights which increased pre-EU vineyard cultivation of 300 ha. into the current vineyard cultivation of 1,000 ha. This was designed to reduce Malta's previous dependence on 6,000 tons of imported grapes;
• Thanks to the EU, farmers received the equivalent of €1,100 per tumolo to plant wine-vines to replace previously imported grapes and must;
• Although the new plantings largely consisted of the international varieties, care was taken to promote and develop the better strains of autochthonous varieties like Girgentina and Gellewza;
• The local wine-growing and wine-making communities eagerly embraced the standards underlying the production of quality wines, leading to the introduction of Malta's internationally recognized DOK, and IGT standards; and
• The EU also funded the oenological and viticultural expertise which helped Maltese wines remain competitive despite the post-accession removal of protective tariffs equivalent to €2.40 (Lm1.00) per litre.

We strongly urge the authorities to recognize the exemplary role played by Malta's promising wine sector to the benefit of consumers, farmers, and producers. At this critical juncture in its development, Malta's fledgling wine sector deserves the government's unmitigated support!

This statement was issued and endorsed by Marsovin, Meridiana, Camilleri Wines, Vitimalta (Producer Organization)