Vodka war

Vodka war refers to heated discussions within the European Union about the definition of which hard liquors may or may not be branded as "vodka". [http://www.europarl.europa.eu/news/public/story_page/063-2627-030-01-05-911-20070131STO02626-2007-30-01-2007/default_en.htm Vodka war: "MEPs serve up a compromise cocktail"] , a Europarliament news article] [ [http://www.flexnews.com/pages/5412/European_Union/Spirits/eu_farm_chief_warns_legal_action_vodka_row.html "EU Farm Chief Warns of Legal Action in Vodka Row"] , a 25/10/2006 Reuters article] [http://www.iht.com/articles/2006/11/23/news/vodka.php "A spirited war: The search for the real vodka"] , "International Herald Tribune", November 23, 2006 ] The war was triggered by the actions of Diageo, who began marketing their Cîroc vodka as uniquely produced exclusively from grapes. [http://www.flexnews.com/console/PageViewer.aspx?page=9360&str= "End in Sight to EU 'Vodka War' as Label Deal Struck"] , June 16, 2007 source: "Reuters"]

The countries of the EU "Vodka Belt" argue that only spirits made exclusively from cereals, potatoes and sugar beet molasses may be branded "vodka". Other distillers insist on a broader definition. The Schnellhardt compromise, proposed by Horst Schnellhardt, suggests that vodkas made from items other than cereals, potatoes and molasses should say "Vodka produced from..." on the label.

On February 20, 2006 Poland put a demand to restrict the definition of Vodka within EU, and the move was supported by the vodka belt countries and Germany" [ [http://www.gdansk-life.com/news/news/1128-Vodka_War ""Vodka War"] , a March 6 2006 article, ref. "Brusdsels journal"] This demand was triggered by a 2005 European Commission proposal to split vodka category into several subcategories basing on the flavor and raw materials.

If the Vodka Belt prevails, it will significantly influence the global $12 billion annual vodka market. In particular, many vodkas, such as grape vodka Ciroc will have to be re-branded.

The issue goes beyond the EU: opinions are expressed that the United States, fastest-growing vodka producer, if its non-traditional vodkas are expelled from the EU, it may retaliate in the World Trade Organization.

Arguments for restricted definition

*Vodka must be clearly defined in the same way as it has been done for other hard liquors, such as brandy or whiskey, in terms of raw ingredients, manufacture process, etc.
*Such definition serves the protection of the quality and the originality of the product, similar to the notion of cording to the long established traditions of its production, a brand protection similar to the "Protected designation of origin".

Arguments for broad definition

*Traditionalists maintain that each good vodka has its own distinct flavor.
*Threat of trade wars.
*The proposal is seen as an attempt to monopolize the vodka market by the Vodka Belt
*The restriction may hamper innovation, in the opinion of the UK representatives in the European Vodka Alliance [http://www.foodproductiondaily.com/news/ng.asp?n=68741-vodka-spirit-drinks-eu "Vodka war splits EU"] ]
*The restriction may hamper US exports and lead to retaliation, since the United States is one of the largest vodka importers from the EU ($500 mln)

chnellhardt compromise

The compromise was adopted by the EU's Environment Committee on January 30, 2007. Since then it was negotiated with the agriculture ministers, and further compromises have been proposed, e.g., the initial requirement of prominent print size was suggested to be dropped. [ [http://www.europarl.europa.eu/news/public/story_page/063-2627-030-01-05-911-20070131STO02626-2007-30-01-2007/default_en.htm "Vodka war may soon be at an end"] , a June 22, 2007 Europarliament news article]

On June 19, 2007 The Europarliament voted for the compromise. In late August the position of the WTO is expected to be known, and the EU agriculture ministers will debate and vote on the issue in September. [http://www.flexnews.com/console/PageViewer.aspx?page=9360&str= "End in Sight to EU 'Vodka War' as Label Deal Struck"] , June 16, 2007 source: "Reuters"] old

Poland sees the EU's decision as "wódka war lost". Polish MEP Ryszard Czarnecki said "Would the French like champagne to be distilled from plums, and would the British accept whisky from apricots? That sounds like heresy. So please don't be surprised that we are refusing to recognize vodka made from waste." [ [http://www.warsawvoice.pl/view/15197 "Wodka War Lost"] , June 27, 2007, "The Warsaw Voice" ] Polish vodka producers are going to fight back by forming the Polish Vodka Association, with the purpose of launching a public relations campaign abroad against the expected flood of cheap, poor quality vodkas. While the strong Polish brands, such as Wyborowa or Zubrowka, feel safe, the smaller producers are threatened by the competition against cheaper products made of "waste". [ [http://www.warsawvoice.pl/view/15458 "Poland Fights Back in Vodka War"] , August 8, 2007, "The Warsaw Voice"]

ee also

*Smirnov Trading House, about another "vodka war" of "Smirnov" vs. "Smirnoff", ended in 1997

References