Business news from Ukraine

Ukraine may allow bottling wine in containers made of aluminum and stainless steel – draft law

22 February , 2023  

People’s deputies of Ukraine propose to modernize and synchronize the legislation in the Ukrainian wine industry in accordance with international standards, in particular to allow bottling wine in metal cans of food aluminum and kegs of aluminum and stainless steel.
The corresponding bill number 9030 “On Amendments to Certain Legislative Acts of Ukraine on the development of wine production and simplification of economic activity of small wineries” was registered in Parliament on February 17.
Among the authors of the document, in particular, the head of the parliamentary committee on finance, tax and customs policy Daniel Getmantsev, the head of the Verkhovna Rada Committee on Agrarian and Land Policy Alexander Haydu, head of the parliamentary committee on economic development Dmitry Natalukha and head of the parliamentary faction “Servant of the People” David Arahamia.
“The current legislation has norms for bottling wine products only in glass containers. Such norms indicate outdated national standards. In such economically developed countries of the world as USA, Great Britain and France it is allowed to pour wine in metal cans from food aluminum, and also kegs from aluminum and stainless steel. Therefore, taking into account current international practice, it is proposed to allow bottling wine in such packaging”, – clarify the authors of the draft law in the explanatory note to the document.
It is also proposed to cancel the need to obtain a license for the production of alcoholic beverages for small Ukrainian wine producers. Instead of licensing, it is proposed to establish a register of small producers of wine products, inclusion in which would be the basis for a business entity to acquire the status of a small producer of wine products.
The draft law No. 9030 proposes to eliminate a number of onerous existing requirements to material and technical base of small producers of wine products, as they buy raw materials of Ukrainian origin (grapes, fruits, berries, honey) for their activities which facilitates the development of agro-processing in the country.
In addition, it is assumed to simplify the reporting procedure for wine producers, from the current monthly to the annual, which will reduce the bureaucratic burden on them. At the same time, the responsibility of small producers of wine products will remain in the form of a fine for failure to submit or late submission of a report or submission of a report with inaccurate information about the volume of production and/or circulation (including import and export) of alcoholic beverages.
The authors of the draft law emphasize that the document is designed to bring national legislation in line with international practices and current trends in the wine industry, involves the removal of unjustified administrative barriers to the activities of producers of wine, fruit and/or honey drinks and allows for the creation of favorable conditions for the development of small production of wine products in Ukraine.
According to the explanatory note to the bill, by the time of its development in Ukraine there are only 26 small winemaking productions, while in 2013 their number reached a hundred, and in 2018 – 52. Thus, the wine industry in Ukraine is in decline, although Ukrainian producers at the international level demonstrate the high quality of their product and receive recognition and rewards.
“For example, in Italy there are 48 thousand small production of wine products, in France about 27 thousand, in Spain – almost 14 thousand in Georgia – more than 1 thousand. Even in countries with a less favorable climate for viticulture (or climatic conditions similar to Ukraine), their number is higher than in Ukraine. Thus, in Slovakia there are more than 28 thousand small wineries, in Germany – about 10 thousand, in Czech Republic – about 1,2 thousand, in Canada – 900, in Poland – 400, in the Netherlands – over 180 (and this number is constantly growing), “- say the authors of the bill.

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