SpiritsEUROPE advocates trade diversification amidst 2023 challenges for sustainable growth
A statement was presented to Pedro Miguel da Costa e Silva, the ambassador of Brazil to the EU, urging the prompt finalisation of the EU-Mercosur Agreement by year-end (Photo by Fatih Turan via Pexels)
According to spiritsEUROPE’s annual trade review, EU spirits exports surged by +16% in 2022, reaching €9.74 billion. However, 2023 presents challenges, including rising costs and geopolitical tensions, casting uncertainty. EU trade policy is crucial for resilience and job creation in the spirits sector, especially in rural areas.
SpiritsEUROPE in collaboration with the Brazilian Spirits Trade Association and the Brazilian Institute of Cachaça, presented a joint statement to H.E. Pedro Miguel da Costa e Silva, the ambassador of Brazil to the EU. The statement urges the prompt finalisation of the EU-Mercosur Agreement by the end of the year.
Pauline Bastidon, director of trade and economic affairs, spiritsEUROPE, said: “2022 was an exceptional year for EU spirits exports and once again demonstrated the importance of international trade as a driver of growth for our sector. But this exceptional performance has come under threat, as high inflation and rising production costs are starting to impact exports to key markets such as the US, while growing geopolitical and trade tensions risk affecting our exports to emerging markets.
“EU trade policy needs to maintain a proactive, outward focus, as diversification – not protectionism or unilateralism – is our best bet against the growing volatility and tensions that we see on the horizon” Bastidon added.
A stable and predictable relationship with major trading partners is vital for a strong focus on emerging markets, supported by new EU Free Trade Agreements (FTAs), closer regulatory cooperation and trade diplomacy, enforcement and an active promotion policy.
Ulrich Adam, director general, spiritsEUROPE, said: “With 85% of economic growth worldwide forecasted to take place outside of Europe in the next decade, an ambitious EU trade policy and the conclusion of new FTAs are a must.”
