BERN, SWITZERLAND – Lower wine consumption in most markets, over-production in 2011, a high Swiss franc and stocks of wine that aren’t moving lie behind a decision by Bern to allow AOC (appellation d’origine contrôlée) wines to be sold as table wines. The extraordinary measure starts 1 June and will be in effect until the end of 2014, to allow wine producers to reduce their stocks.
The federal government will provide up to CHF1.50 per litre to producers who take part in the programme. They will have to contribute an equal amount.
The reduction should bring the AOC wines, which follow a strict set of guidelines, into line with table wine prices, to the benefit of the consumer.
Other adjustments, such as the allowed weight of grapes at harvest time and the quantity of AOC wines that can be downgraded, will be made to ensure that the market does not become unbalanced.
The move will be welcomed by some in the wine industry, but Pierre-Emmanuel, wine journalist for Le Temps, writes that “in Switzerland the State is doing things the wrong way around, investing more money in reducing stocks – CHF10 million nevertheless – rather than in promoting excellence. The other problem: marketing is done at the cantonal level, despite the efforts of Swiss Wine Promotion. Developing a shared identity that takes into account local strengths is the big challenge that lies ahead, in coming years.”