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THE VAT INCREASE WILL EMPTY THE GLASSES OF ALL ITALIANS FROM ADULTS TO CHILDREN FROM FRUIT JUICE TO WINE, SAYS COLDIRETTI. IF CONSUMER PRODUCTS (FRUIT, VEGETABLES, MEAT, MILK, PASTA) ARE EXCLUDED, THE INCREASE WILL BE FELT IN THE GLASS

The increase in the VAT tax affects fruit juices to wine with an increase in the prices of popular drinks among the young and old, reveals the analysis of the Italian farmers association Coldiretti on the main items of food expenditure affected by the increase in VAT from 21% to 22%, starting October 1st, 2013.

If the majority of consumer products such as fruits, vegetables, meat, milk and pasta are excluded, the increase – explains Coldiretti - will be felt especially in the glasses of Italians: from soft drinks to hard liquor, beer, fruit juices, wine and mineral water. The main concern is the effect on consumption of beverages such as wine, which is facing an historic drop in consumption in Italy, 7.2% in the first half of 2013, compared to 2012.

The value added tax increase risks - concludes Coldiretti – giving the coup de grace to wine purchases on the domestic market, which fell to a record low since the unification of Italy, with just 22.6 million hectoliters, compared to 29 million hectoliters drunk in the United States and 30.3 million hectoliters in France in 2012.

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