WINE DUTIES: MORANDO (MONTALBERA), 'WITH 15% TARIFFS, THERE'S A DRAMATIC IMPACT ON THE BEST-SELLING BRANDS IN THE USA'

"The 15% tariff rate will impact the popular wine segment, meaning the one whose ex-cellar price varies between €3 and €6 and which, after transport, duties, and distribution markups, reaches a retail price of no more than $13 a bottle. The luxury segment, however, is less at risk. We will certainly lose a segment of consumption, the most important one, because the multiplier effect will push these wines out of the segment. We hope to still have some room for negotiation; a return to zero is almost impossible, but perhaps we can get it down to 10%. It's too early to say. What worries me, perhaps more than the tariffs, is the shift in consumer tastes toward other wines, perhaps Argentine or Chilean, because then it becomes difficult to go back." This was stated by Franco Morando, general manager of Montalbera, a winery spanning the Monferrato and Langa regions of Piedmont, commenting on the EU's likely agreement with Trump for a 15% tariff. "Personally," Franco Morando continues, "I don't think we need to start trade wars because, ultimately, an entire supply chain will suffer, ultimately resulting in the end consumer being hit by significant inflation. Talking and clarifying are the key words; promoting Made in Italy, highlighting our unique and distinctive products are the best weapons we can deploy in the face of such harsh trade policies. The alternative, in my humble opinion, remains the diversification of our sales portfolio toward emerging and more receptive markets, such as the East in general. America will always be everyone's dream and a country where we will try our best, but unfortunately, right now, the world is going backwards, and we must follow suit," concludes Franco Morando, general manager of the Montalbera winery.