30 May 2017
The UK has accounted for a major share of the world’s wine imports for centuries, and wine currently accounts for more than one-third of UK alcohol consumption. Its withdrawal from the European Union (Brexit) will therefore affect not only UK wine consumers, producers, traders, distributors and retailers but also suppliers of those imports.
Based on a model of the world’s wine markets, in their Briefing Paper ‘Will Brexit harm UK and global wine markets?’ Professor Anderson and Glyn Wittwer determine the impacts of various alternative Brexit scenarios through to 2025, involving adjustments to UK and EU27 bilateral tariffs on wine imports and any changes to UK income growth and the value of the pound over the period of adjustment.
Their research indicates that for wine markets, the impact of the UK leaving the Customs Union is likely to come not only from tariff changes but also from slowed growth of UK incomes and devaluation of the pound. (more…)
Charlotte Humma May 30th, 2017
Posted In: UK - Non EU, UK- EU
Tags: Customs Union, devaluation of the pound, Imports, slowed growth, tariffs, Wine