The economic cost of IPR infringement in the spirits and wine sector
The combined annual sales of spirits and wine in the EU are worth approximately €38 billion annually and €1.3 billion (3.3%) are lost due to the presence of counterfeit products in the marketplace.
The economic cost of IPR infringement in the spirits and wine sector study looks into direct and indirect industry revenue losses and job losses due to the presence of counterfeit products, as well as their impact on public finance, including excise duties.
The study refers only to manufacturing – in this case, the distilling, rectifying and blending of spirits and the production of wine – and so does not include wholesale and retail trade due to availability of official public data.
Main findings:
- 3.3% of sales lost by the sector due to counterfeiting (4.4% of spirit sales and 2.3% of wine sales)
- €1.3 billion of revenue lost annually by the sector
- €1.7 billion of sales lost in related sectors
- 4,800 direct jobs lost.
- 23,300 direct and indirect jobs lost in the EU economy of which 8,600 jobs are lost in agriculture and 6,100 jobs are lost in the food industry.
- €1.2 billion of government revenue are lost (taxes, social contributions and excise duties).
The study covers the following products:
The report focuses on two sectors officially labelled Distilling, rectifying and blending of spirits and Manufacture of wine from grape by Eurostat. The products included in each sector, as defined by Eurostat, are:
Distilling, rectifying and blending of spirits
- Manufacture of distilled, potable, alcoholic beverages: whisky, brandy, gin, liqueurs, etc.;
- Manufacture of drinks mixed with distilled alcoholic beverages;
- Blending of distilled spirits.
Manufacture of wine from grape
- Manufacture of wine
- Manufacture of sparkling wine;
- Manufacture of wine from concentrated grape must;
- Blending, purification and bottling of wine;
- Manufacture of low or non-alcoholic wine.
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