We’re living in fast-changing times, and the operating environment for spirits remains full of challenges. Quite accurately, a journalist recently described the past months as ‘the most turbulent times for the industry in living memory’. But where there is change, and where we find challenges, we also find opportunties.
So let’s start with the good news first: as the past weeks have shown, we are finally starting to turn a new page in the transatlantic relationship. The EU-US announcement on steel and aluminium and the EU’s decision to lift retaliatory tariffs on spirits, more than 3 years after they were first introduced, marks the long-awaited end of remaining retaliatory tariffs on spirits as part of unrelated transatlantic disputes. The removal of these tariffs is a significant boost to transatlantic trade and will bring much-needed relief to distillers and our value chain partners in the hospitality sector – many of which continue to be negatively impacted by the aftermaths of the COVID crisis.
Let’s hope for a permanent resolution to these disputes and that this is the last time we had to witness the emergence of unwelcome tariffs. Given the strategic importance of the transatlantic relationship for our sector and the significance of the US market for EU spirits producers, we want to help build a positive transatlantic agenda and reinforce our cooperation going forward – without the fear of disputes and tariffs hanging over our heads.
In this Newsletter, we’re also happy to share with you fresh data on the positive economic and social impact of our sector, information about our brand-new website section #SpiritofInnovation, and we are very pleased to introduce to you our new President, Manu Giró.
At the same time, signficant challenges remain on the horizon: during our successful Spirits Summit, we discussed the difficult operating environment for Europe’s hospitality sector and the continued support the sector needs from policymakers now. Another practical challenge we focus on in this Newsletter is the new registration procedure for food & drink products in China. Operators are doing their utmost best to comply with the new obligations in light of tight deadlines and avoid any disruption of trade.
Bonne lecture & all the best for the final weeks of the year!
Ulrich Adam, Director General*
*In his capacity as permanent representative of SPRL ADLOR Consulting
