Regional Government already supported wine production with 631 thousand Euros under covid-19 pandemic - Communication

Secretaria Regional da Agricultura e do Desenvolvimento Rural

The Regional Secretariat for Agriculture and Rural Development will grant additional support to wine companies, cooperatives, producers and bottlers that have been certified by the Azores Wine Commission (CVR), with the Designation of Origin (DO) or with the Geographical Indication (GI). The measure is intended to help the wine sector mitigate the impacts caused by the covid-19 pandemic, increasing liquidity and revitalising the sector.

The support covers the storage of certified wines to offset the negative impact on the sales of wines resulting from the crisis situation caused by the pandemic in this sector.

This aid concerns the quantity of wine certified as DO or GI by the Azores CVR for all harvests up to 2019 for bulk and bottled table wines as well as bottled liqueur wines.

Nine beneficiaries have received aid under this support measure, with 745,934.50 litres of DO and IG certified table wines having applied for and been considered eligible for support. An overall amount of 313 thousand Euros has already been allocated, corresponding to the storage of these wines until the end of last October.

The support also covers the sales of certified table wines with the aim of mitigating the disruption in the supply chains as well as in the tourism and catering sectors, among others, arising from the pandemic situation. This situation has affected wine consumption, contributing to a market surplus.

This aid applies to the quantity of table wine certified as DO or GI by the Azores CVR up to and including the 2019 harvest. It is granted upon the submission of the production declaration and documents that clearly prove the sale of certified table wine bottles.

Eight beneficiaries have received aid under this support measure. A total of 96,697 DO certified table wine bottles and 201,578 GI certified table wine bottles have already been placed on the market, representing a global amount of support of 318 thousand Euros.

The support measures in question concern the period between July 2020 and December 31, 2021.

According to the Regional Secretary for Agriculture and Rural Development, the Regional Government "considers wine production as a branch of agriculture with perspective and objectivity in the rural development policy of the Azores, starting with the financial support for storage and sale as a measure to mitigate the negative effects of the pandemic at market level."

António Ventura also stressed that "wine production continues to deserve the Regional Government's attention as an active part in the economic recovery of the Azores, with an optimistic outlook for the future in terms of job creation, maintenance of young people and diversification of economic opportunities."