Fair? Serbia? Serbian? Agriculture? Viskovic? Mesarovic? Woodworking? Excise duty? Wine? Montenegrins? Competitiveness? Problems? Questionnaire?
What kind of Fair are Serbia and Srpska preparing?
In the fall, the Republika Srpska and Serbia will organize a joint fair in the field of food industry, and at the meeting of the Prime Minister of the Republika Srpska Radovan Višković and the Minister of Economy of Serbia Adrijana Mesarović, it was agreed to start preparations for the organization, the Government of the Republika Srpska announced after the meeting.
This fair will enable the gathering, familiarization and presentation of domestic food producers from Republika Srpska and Serbia, as well as representatives of retail chains, with the aim of improving and more organized placement of products and goods on different markets.
The meeting also discussed concrete activities that will be undertaken in connection with projects whose implementation is ongoing, as well as new joint projects, especially in the area of wood processing and food processing industry.
In connection with the wood processing industry, it was agreed that in the next few weeks a large meeting will be organized where furniture manufacturers will participate and consider production possibilities in this area, with special emphasis on product finalization, production and placement of furniture.
Also, it was agreed to organize joint appearances and visits of delegations of businessmen from the Republic of Srpska and Serbia together with officials from the Republic of Serbia and the Republic of Srpska during talks and visits abroad and to world companies.
More Lovcen wine in trouble
The intention of the Montenegrin government to introduce an excise tax on wine of 25 cents per liter, with an estimated annual revenue of four million euros, met with strong opposition from small and large winegrowers and winemakers in Montenegro. The Ministry of Agriculture, Forestry and Water Management (MAŠV), headed by Vladimir Joković, agrees. It also indicated the need to review this idea and find a compromise solution, writes “Pobjeda”.
Montenegrin director Nikola Vukčević, who has been producing grapes and wine for seven years, after taking over the family business after his father’s death, addressed the public. He personally finds this idea unacceptable. Vukčević produces between 2,000 and 3,000 bottles of wine per year, depending on the variety, and has been trying to break into the market for years.
He states that the process of wine production, if it is done in a healthy, honest and family way, is already burdensome, complicated and expensive. The introduction of excise taxes, according to him, would only further prolong or even stifle this process. If the government introduces an excise tax despite the opposition of the wine community, Montenegrin producers will have to pay the state in advance for something that has not yet been sold, nor is it certain that it will be sold, warns Vukčević.
What does this excise tax mean?
The introduction of excise tax threatens the competitiveness of Montenegrin wine, which is produced in small family wineries. These wineries are already overburdened by the struggle with the products of large companies, regional and international markets, whose wines have an advantage due to the larger volume of production and lower prices. The consequence of this will be an additional burden on one of the few branches of final production in Montenegro.
According to Vukčević, the MAŠV should have already acted to protect the remaining winemakers, if it had not already done so. The Ministry of Internal Affairs and Communications also believes that the introduction of the excise tax will not contribute to the development of Montenegrin wineries. They state that the adoption of the proposal would be problematic for the further development of the wine sector, stressing that it would lead to the strengthening of the gray market and the non-competitiveness of domestic brands on the domestic market.
The Ministry recognizes the government’s position that it is unjustified that wines, as alcoholic beverages that can be harmful to health, are exempt from excise duty. However, they understand Montenegrin winemakers who place their entire production on the domestic market, including “Plantaže” with over 60% of production.
It should be noted that no country with a developed wine sector, greater production and a world-wide reputation for wine, such as Italy, Spain, Portugal, Greece, Austria, Germany, Hungary and Croatia, applies such financial burdens. In neighboring countries, such as North Macedonia, Slovenia and Serbia, excise taxes on wine are zero euros, the Ministry reminds.
Source: boljazemlja.com