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Alcohol Industry And Trade Agreements

The same forces of globalization have reduced the cost of consumer information and contributed to international tourism by changing preferences for exotic products. Together, they have led not only to a rapid increase in the share of global consumption of alcoholic beverages (Anderson and Pinilla 2018), but also to the rapid growth of Asia`s share of this consumption (Chart 1). Global liquor markets have changed significantly in recent years as a result of globalization, income growth in emerging countries, changes in individual preferences, policy initiatives to curb socially harmful alcohol consumption and, in particular, the two trade shocks of Brexit and unilaterally imposed discriminatory tariffs by the United States. This section provides an overview of key trends and projects the potential impact of Brexit and US tariffs on the global alcohol market. He concluded that these two shocks would reduce the world`s wine trade. Even countries that are not affected by U.S. tariffs may be worse off if these tariffs sufficiently reduce global consumption. Our Brexit scenario calls for the UK to negotiate a free trade agreement with the remaining 27 member states (EU-27) and then seek bilateral free trade agreements with other countries, including wine-exporting Australia, New Zealand, Chile and South Africa. Such trade deals would reduce the losses for wine exporters around the world compared to a “hard” Brexit that does not involve such a follow-up agreement with the EU, but not enough to offset the negative effects of the devaluation of sterling and reduce UK revenues. Disruptions in the beverage market and their commercial consequences have been disrupted in recent years by a plethora of influences. In addition to sugar taxes on soft drinks and increased sales of water bottles, alcohol markets have changed significantly. Consider that this study has shown that the alcohol industry and associated economic and governmental organizations are actively working to influence negotiations on trade agreements for the economic benefit of the industry, and advocate for rules that could undermine public health objectives.

Miller, M., Wilkinson, C., Room, R., O`Brien, P., Townsend, B., Schram, A. und Gleeson, D. (2020), Industry submissions on alcohol in the context of Australia`s trade and investment agreements: A content and thematic analysis of public available documents. Alcohol drug Rev. doi.org/10.1111/dar.13219 The gradual decline in transport and communications costs as well as tariffs as part of general trade reforms has reduced the prevalence of consumption of spirits and beer in countries where it is easy to grow suitable grains and wine in latitude countries from 30 to 50o where grapes grow best.