Australia cannot label wines Champagne under EU deal

Australian wine-makers will no longer be allowed to use established names such as Champagne, Port or Sherry for their products under an agreement with the European Union which comes into force on Wednesday.

AFP

Australia has one year to phase out the use of such names, the European Commission said.

The deal was signed two years ago to safeguard the European Union’s labelling regime, which is based on geographic locations of products

It provides for full protection of EU geographical indications, including for wines for export.

Europeans are striving to protect the names of regional and traditional foods originating from specific regions, such as Parmesan cheese made in Parma, Italy, or Britain’s Yorkshire Forced Rhubarb.

Champagne is made in a specific region of France, Port in Portugal, Sherry in Spain’s Jerez region. The question is particularly sensitive in France. French wine and food growers believe that terroir – the individual properties of a particular area – impart added value to their produce.

Some EU geographical indications for wines will benefit from immediate protection while other terms will be phased out over a longer period.

Under the deal, Australia will no longer be able to use traditional names such as France's Champagne and Claret (Bordeaux wine), Spain's Sherry and Amontillado, Portugal's Port and the German term Auslese from 1 September 2011, one year after the agreement comes into force.

In 2009, EU wine exports to Australia were worth 68 million euros and Australian exports to the EU were worth 643 million euros, according to the European Commission.