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Wine, a champion and a pillar of EU’s socio-economy and rural development, PwC study says

The European Committee of Wine Companies (Comité Vins – CEEV) presented on March 20th in the European Parliament, the outcomes of an exclusive study carried out by PwC which has quantified the impressive socio-economic and environmental contribution of the wine sector to the European Union. With almost 3 million jobs and a contribution of 130 billion euros to the EU GDP in 2022, equivalent to 0.8% of the total, the wine sector plays a fundamental role in the socioeconomic sustainability of rural areas of the EU. “A blessing against rural depopulation,” said Mauricio González-Gordon, President of CEEV. “Furthermore, its complex supply chain generates almost the same market value at all stages of production – from grape cultivation to winemaking and subsequent commercialization – which represents an example of a balanced value system, which must be preserved politically.” he added.

The objective of the report was to quantify the economic contribution of the wine sector to the EU, considering each stage of its value chain, and recognizing its impact on R&D, society, culture and the environment.

how the EU wine sector is a leader, a champion and a pillar of EU’s socio-economy and rural development, PwC study says.

The PwC study shows how the EU wine sector is a leader in different areas

Internationally, it leads the world wine market, representing 62% of global wine production and trade. With exports worth €17.9 billion in 2022 and a positive trade balance of €15.9 billion, wine played a crucial role in reducing the EU trade deficit by 3.7%.

The wine sector is a qualitative socio-economic anchor for rural areas of the EU. On a social level, wine regions tend to experience less demographic decline and on an economic level, vineyards are 37% more profitable than other permanent crops.

The EU wine sector is a hotbed of jobs, mainly in rural areas, and represents 1.4% of total EU employment. These jobs exhibit exceptional productivity, generating greater value added per employee compared to similar activities at each stage of the value chain (+90% in agriculture, +16% in manufacturing and +5% in commercialization).

The total fiscal impact generated by the wine sector amounted to almost €52 billion in 2022, equivalent to 0.7% of the EU’s government expenditure.

Wine has also emerged as a tourist draw and, consequently, a key economic catalyst in many rural regions, generating almost €15 billion in revenue.

On the environmental side, the report shows how the more than 3.2 million hectares of vineyards in the EU contribute to the sustainability of the EU environment in many ways, such as increasing biodiversity, limiting soil erosion, improving water management and providing fire protection.

“The overall balance of wine for EU society is impressive and clearly positive,” stated Ignacio Sánchez Recarte, Secretary General of the CEEV. “But this success story remains delicate and needs to be supported by further adapting the complex legal framework that applies to wine, while preserving wine culture against those attacks that attempt to demonize it. Harming EU wine is damaging EU culture, EU society and the EU economy,” he added.