Tax cut applicable for brandy in Turkey, not wine
ANKARA - Anatolia News Agency
Wine is not eligible for the SCT cut, says head of Wine Producers Association.A recent cut on the special consumption tax (SCT) on alcohol is not affecting wine prices, but is affecting some imported spirits such as Grappa, Armagnac and Brandy, according to Serdar Özcan of the Wine Producers Association.
Özcan said “fresh grape wine” was not going to be part of the SCT cut, but that he was strongly in favor of seeing a drop in the SCT on wine. According to Özcan, Turkey has a yearly wine production capacity of 130 million liters, but this can vary due to economic conditions, demand and grape production.
“Last year because of the number of tourists visiting Turkey we saw an increase in wine consumption. So producers ran out of wine reserves,” said Özcan, explaining that wine producers needed incentives to ease production.
According to Özcan, the share of Turkish wine in the global market is miniscule. “Of the $29 billion global wine market, we only have a $8.5 million share,” he said.