A fight for change in the Douro

[Andy Velebil]

Appears a movement is getting organized to change the regs in the Douro. Here’s the translated version:

The Douro deserves better

The Douro Demarcated Region is internationally known for being one of the wonders of the wine world. It contains more than half of the mountain vineyards on a global scale. It has the status of a UNESCO World Heritage Site. There is no comparable region in any country. More than 19,000 winegrowers and 1,000 companies are committed to cultivating these challenging vineyards, producing two highly recognized wines: Port Wine and DOC Douro wine.

However, the last twenty years have been characterized by a decrease of almost 25% in the sales volume of Port Wine, to 7.8 million boxes of 9 liters. In the same period, sales of DOC Douro wines grew significantly to 5.2 million boxes.

Despite these profound changes, the regulatory framework has not changed, remaining, in its essence, unchanged for almost 100 years. The current system is promoting devastating distortions that are impacting not only on the price of grapes, but also on the socio-economic sustainability of winegrowers, companies, and the future of their wines in international markets.

The 'benefit' system - introduced in the 1930s - establishes the amount of grapes intended for the production of Port Wine. This limit is adjusted annually, depending on a set of factors, namely quality and levels of supply and demand. A similar system is practiced in the most important European wine regions. However, DOC Douro wine grapes are marketed on the free market and, as a general rule, in an environment of oversupply.

The Douro is suffering due to the reduction in volumes of Port Wine and an outdated regulatory context. Consequently, many grapes are sold below their production cost. The damage to winegrowers is obvious, resulting in the abandonment of the vineyard and the depopulation of the region. A situation aggravated by climate change that is seriously impacting our region.

Equally serious is the fact that too many wines are on sale internationally at prices comparable to the cheapest in the world – something that would never be possible if winegrowers received a fair price for their grapes. We are passing on the message that the Douro produces cheap wines, when nothing could be further from the truth. Our production cost, per kg, is among the highest in the world, and the yield per hectare is among the lowest – because of the unique characteristics of the mountain vineyard in the Douro.

Over the last 15 years, several studies carried out by renowned entities, including UTAD (University of Trás-os-Montes and Alto Douro), have concluded that the Douro is not sustainable in these circumstances and that it needs reform in its regulatory framework. But nothing was done, despite the promises of the state.

No wine region endures so long in this imbalance, suffering so much damage to its image and the economy of its communities. The incomprehensible inaction is harming one of the most historical, beautiful and challenging wine regions in the world. There are, however, solutions that are within our reach, namely emergency, short-term and other, more structuring, medium and long-term measures. The Douro needs a strategy for the future built on a scientific basis led by an independent entity, in consultation with key stakeholders in the region.

We call on producers, winegrowers, traders and their Associations, the Ministry of Agriculture, the CIM do Douro, and the Douro and Porto Wine Institute, to face this situation urgently. We should feel proud of the Douro, its people and its wines, but currently we can only feel frustration and sadness for the serious and unnecessary damage that the inertia in changing the regulatory and institutional framework is causing.

The Douro deserves better.


https://www.odouromerecemelhor.pt

[Andy Velebil]

Seems they are finally getting a little attention to their cause. Lets hope it continues.

...President of Portugal Marcelo Rebelo de Sousa, has now spoken publicly in the region about the open letter and endorsed the need for urgent reform of the regulatory system.

In a public speech which took place in the Douro on Saturday 2 September, Rebelo de Sousa said: “The last time that the laws for the Douro Demarcation were defined was about 100 years ago. Some adjustments were since made, but reality was very different.”

The Head of State reminded his audience that a petition exists “with over one thousand signatures calling for a review to see what regulatory adjustments are needed so that the region adapts to today and tomorrow’s reality”.

“This is in our interest and that of Portugal,” he added...

https://www.thedrinksbusiness.com/2023/ ... on-reform/

[Lucas S]

That's quite the Who's Who of signatories.

It does seem that the beneficio system is there more out of Byzantine tradition, rather than some powerful entrenched interest.