QHA_February_Mag_Web

NEWS
Loblaws supermarket in Montreal Canada offering a variety of products all year round
WINE WARS
QHA REVIEW | 8
Fed up with Canada’s “protectionist” policies regarding
imported wine, the Australian Government made a
formal complaint to the World Trade Organisation
(WTO) in January.
Minister for Trade, Tourism And Investment Steven
Ciobo said the action marked the first step in
commencing formal consultations with Canada
regarding measures that impose arbitrary and
disadvantageous restrictions on the sale of imported
wine in Canadian grocery stores that were inconsistent
with Canada’s WTO obligations.
“While it would have been preferable to resolve this
issue bilaterally, it is appropriate to commence dispute
proceedings given the lack of progress,” he said.
The move was welcomed by the Winemakers
Federation of Australia chief executive Tony Battaglene
who accused Canada’s provincial liquor boards of
discriminating in favour of locally produced wine.
“Canada is Australia’s fourth most valuable export
market at around $190 million and remains a very
important destination for Australian wine,” he said.
“We respect the Canadian wine industry, but we are
seeking a level playing field to ensure we can maximise
our opportunities in this key market.”
He said the federation was delighted the Australian
Government decided to take action over these issues.
“The WTO provides a rules-based system that is
vital to ensuring countries around the world ensure
their regulations are fair and non-discriminatory. The
winners will be Australian producers and Canadian
consumers.”
Meanwhile, a spokesperson for Global Affairs Canada,
Natasha Nystrom, told The Australian that while wine
distribution and sales in Canada were a provincial
rather than a federal responsibility, a small number of
laws Australia had taken issue with were federal.
“The government works closely with all provinces and
territories to ensure their liquor distribution and sales
policies are consistent with our international trade
commitments,” she said.
According to WTO rules, Canada had 60 days to settle
the wine war before Australia could ask the WTO to
adjudicate with a view to forcing Canada to change its
laws or risk trade sanctions.