China's beverage spirit lobby calls for action against EU wine dumping

THE China Alcoholic Drinks Association has called on the government to investigate the European Union subsidies on wine imports to China which it claims are disadvantageous to Chinese winemakers.

Local winemakers are suffering from low cost imports which has grown to 63 gallons in 2011, a 65 per cent increase year on year and follows a six-fold increase of wine imports over the last five years with Chinese consumers choosing imported wines over domestic produced wines.

According to the China drinks lobby, the EU sees the Chinese wine market as burgeoning, it surpassed the UK to fifth largest market globally, putting pressure on domestic wine production that is improving in quality.

"Almost every Chinese winemaker has felt the impact from the EU," said its wine division chief Wang Zuming, reported by Agence France-Presse.