My Lords, I thank the Minister for his time and that of his officials in the briefing, as well as for his introduction to this relatively straightforward instrument.
The Explanatory Memorandum gives clear detail. Paragraph 7.3 refers to wine that has been stored and appreciated in value, and is then marketed later when it may not have the requisite information details that we are introducing in this IS; the Minister referred to this. Ensuring that this does not happen is referred to, in the last sentence of paragraph 7.3,
“by amending the Wine Regulations 2011 (S.I. 2011/2936) and the Food Information Regulations 2014 (S.I. 2014/1855).”
The Minister referred to those statutory instruments. However, there is no indication of when this might happen. Can he say whether a date has been given for that action?
Paragraph 7.8 gives details of the trade in wine with Northern Ireland and the effect of the Northern Ireland protocol on the wine industry. It makes the claim that, although the instrument
“will be looked at again once those negotiations have been concluded”,
there will be no
“significant effect on the trade in wine between Great Britain and Northern Ireland.”
Is the Minister sure that there will be no significant effect? The wording of the EM implies that there will be an effect but it will not be significant. I know that this is straining at gnats, but it would be helpful to have clarification.
Consultation with the industry, including the Wine and Spirit Trade Association, WineGB, the Food Standards Agency and Food Standards Scotland, has taken place. Not surprisingly, since the VI-1 wine import certificates are to be abandoned and the process
simplified, there was general satisfaction in the process to be instituted and followed. It will reduce costs, which is good for business.
However, I am somewhat concerned that the consequent reduction in the price of wine could lead to harm from increased alcoholism, especially among young people, due to it being cheaper. Although a glass of wine is an enjoyable thing for most adults, the cheaper it is for those on low incomes, the more likely it is to be tempting to consume more than is healthy. Addictions of all type are a strain on the health service, and alcohol addiction can lead to anti-social behaviour and violence. I am not suggesting for one minute that the reduction in the price of wine will lead to wholesale disorder on the streets, but it is a consideration for young people.
The Secondary Legislation Scrutiny Committee has produced information paragraphs on this SI, having consulted Defra. There is a transition period, to which the Minister referred, of two years for producers and wholesalers of wine, and until stocks have been exhausted for retailers. Can the Minister say whether an estimate has been made of how long it might be before stocks of wine imported under the TCA before the lot codes came in might be exhausted? Is it likely to be sooner than two years, or might stocks be left at the end of the two years? If so, what arrangements will be made to ensure that these wines can still be marketed although they will not have the lot codes in place?
Lastly—I am sorry but this is a bee in my bonnet— I note that no impact assessment was produced. It is clear from the EM that there are likely to be impacts; it would have been helpful for these to be gathered together in one place. Apart from these minor comments, I am satisfied with this SI. I can see that it will be very good for business and will improve the movement of wine between GB and the EU, so I support it.