The group is very successful and has helped rejuvenate international thinking on international wine trade issues. This success is based on the shared common interest which fostered the group's genesis.
The major achievements of the World Wine Trade Group include:
Improved Understanding of Global Wine Issues
First and foremost the group has provided a forum for sharing of information and the discussion, deliberation and better understanding of global wine issues. Routine discussion concerns issues such as:
- trends in wine production and sales,
- the state of bi-laterial and multi-lateral trade negotiations,
- the state of wine issues in the OIV, Codex Alimentarius, and the WTO,
- viti-vinicultural practices,
- labeling and intellectual property issues etc.
Discussions on these and other matters have promoted a better understanding of the range of possible approaches to such issues, and in some cases has led to the formulation of a consensus approach within the group.
The sharing of information at the World Wine Trade Group underpins all other activities. It is the basis on which the group was founded and is the platform on which its success is built.
Mutual Acceptance Agreement on Oenological Practices
Early discussions at the World Wine Trade Group identified the possible threats to trade that arose from differing national rules on oenological practices. At the first Zurich meeting it was agreed that such differences should not be a basis for erecting technical barriers to trade.
From this point it was agreed to develop a Mutual Acceptance Agreement on Oenological Practices. The text of the Agreement was first discussed in Santiago, Chile in October 1999 and was further refined at the subsequent meetings.
The text of the Agreement, which has full treaty status, was signed in Toronto, Canada in December of 2001 by Australia, Canada, Chile, New Zealand, and the United States. Argentina became a signatory in December of 2002.
The text of the agreement is available in English, French and Spanish. The US Government is the repository for the Agreement which can be found on the following website: http://www.ita.doc.gov/td/ocg/wwtg.htm
The Agreement is a landmark in the development of international trade. It is the first multi-lateral Mutual Acceptance Agreement, in any field, fully compliant with the WTO's Technical Barriers to Trade Agreement.
For winemakers, exporters and importers the implications of the Agreement are profound - assured access to markets without the costs and frustrations of barriers to trade based on differences in oenological practices. In simple terms the Agreement accepts that there are historical differences in national rules governing oenological practices, but signatory countries accept that wine made in another signatory country should be allowed to be sold in its market, despite these differences in oenological practices. Market access is, however, conditional on compliance with the WTO obligations to protect the health and safety of consumers and to prevent deception of consumers. The Agreement is founded on WTO principles, and exceptions to the generally permitted access are WTO consistent.
Joint Action at WTO, OIV, Codex
If a consensus is reached on an issue this often engenders a co-coordinated approach to wine issues in other international fora - notably the World Trade Organisation, the OIV and the Codex Alimentarius. Frequently informal group caucuses are held before meetings of such groups to identify matters of mutual interest and to agree on a coordinated approach if this is possible. This co-ordination ensures that the voice of the group, and participant countries, is heard forcefully in international organisations, often as a counterweight to more trade restrictive views espoused by some other countries.
Labelling Agreement
On January 23, 2007 the World Wine Trade Group (WWTG) participants welcomed the signing of their Agreement on the Requirements for Wine Labelling in Canberra, Australia.
This far-reaching Agreement will enable wine exporters to sell wine into WWTG markets without having to redesign their labels for each individual market. It allows the placement of four items of mandatory information (country of origin, product name, net contents and alcohol content) anywhere on a wine bottle label provided they are presented in a single field of vision.
The Agreement will help reduce costs relating to the production, application and warehousing of labels. Since the inception of the WWTG in 1998, the Group’s global market share of wine exports has risen over 70 per cent to almost a quarter of global exports in 2005. Savings achieved by this Agreement will provide a competitive advantage and opportunities for further export growth to WWTG participants.
The Agreement also brings benefits to consumers who will be able to easily locate important items of information on the bottle in a single field of vision, allowing them better to compare between wines and brands.
Strategic Initiatives and Action Plans
During the Washington, DC based WWTG meetings held in July of 2006, participants adopted a strategic plan and an intergrated set of actions plans to achieve common goals. These action plans address environmental stewardship, codes of advitersing, emerging markets, and many other issues pertinent to international wine trade.
Beyond these achievements, the scope for the group to address international
wine trade issues is wide. Participating countries may raise any matter
they wish, providing extensive opportunity to address issues if and when
they arise.