GENERAL AGREEMENT ON TARIFFS AND TRADE

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1 GENERAL AGREEMENT ON TARIFFS AN TRAE RESTRICTE COM. AG/W/2/Add May 1968 Special istribution griculture Committee Original French YUGOSLAVIA Information Supplied A. Prodution: production measures and policies in Respect of Wine 1. Statistical data on total volume of production; total acreage and average vield Wine production by agricultural undertakings has been as follows in the past three years: Collective farms account for 23 (million litres) per cent of total wine production. At the same time, the nwnber of fruit-bearing vine stocks has stabilized so that any variation in total grape production reflects a variation in yield: - Number of fruit-bearing stocks (millions) 1,570 Grape production (thousand tons) 1,120 Yield per vine stock ,580 1,930 1,050 About 65 per cent of the total grape harvest is turned into wine and the rest is consumed fresh. 2. Trends in productionand estimates for 1970 Grape production is expected to rise to approximately 1,200,000 tons by

2 Page 2 of 3. Statistical data on carry over stocks and stocks The normal stocks held by producers represent approximately 15,000 wagons wine. 4. Factors which affect production A great deal has been done, particularlyin the collective undertakings, to improve the assortment" in vineyard production, and hence Wine productions. As a result, yield per vine stock has risen to 1.6 kg. using the espalier system and the quality, of grapes and wine has been improved. This enables bettter use to be made of ecological and climatic conditions that are favourable for grape and wire production Similarly, agricultural techniques have been improved and modern mechainized methods have been introduced, particularly on the collective farms which produce about 13 per cent of the total grape harvest. 5. Policies and measures of governments or other bodies likely to influence production other than those listed under B In order to promote Wine production and protect consumers, wine production and trade are governed by the Fundamental Law on wine.

3 COM.AG/W/2/Add. 8 Page 3 B. Protection and support measures and policies I. Internal support measures and policies 1. Inventory of the instruments of support No support measures are applied to wine production and trade through a systemof fixed prices, and prices are freely formed in the market. 2. Levels of guaranteed pricesor support prices The Government has prescribed minimum prices that purchasers are required to pay for table grapes of specified varieties or qualities; the purchaser is, however, free to pay higher prices if market conditions permit. 3. Amount of producer subsidies In order to encourage greater utilization of fertilizers and increase production, producers receive rebates equivalent to an average of 30 per cent of the production prices of fertilizers. The Government intends to reduce the rebate on fertilizers in the coming period (for 1968 it has been reduced by about 5 per cent). 4. Average returns to producers Average returns to producers have been as follows: (US%per '000 litres) , 196.8o g Methodof determiningreturns for producers constituent elements of these returns relationship ofprice formation in domestic and international markets The relationship of price formation in the domestic and international markets is based upon the same principles, i.e. the free interplay of supply and demand.

4 COM.AG/W/2/Add. 8 Page 4 II. Measures at the frontier Tariff Importuty Trade Regime Item No. Product advalorem Export WINE OF FRESH GRAPES, GRAPE MUST WITH FERMENTATION ARRESTE BY THE AITION OF ALCOHOL 1. Champagne 2. Prochek 3. essert wines of all kinds 3. Wines, Madeira, Port etc. 5. Quality wines in bottles 6. Ordinary wines in bottles 7. Quality wines in barrels and tanks 8. Ordinary wines in barrels and 9. Other tanks VERMOUTHSAN OTHER WINES OF FRESH GRAPES FLAVOURE WITH AROMATIC EXTRACTS: 1. Vermouths and other wines flavoured with aromatic extracts, in bottles 2. Vermouths and other wines flavored with aromatic extracts, in barrels and tanks 3. Other wines flavoured with aromatic extracts (apéritifs etc.) L3 = Free. = Imports subject to licence.

5 COM.AG/W/2/Add. 8 Page 5 C. Consumption and internal prices 1. Statistical data consumption According to available statistics, total consumtion of wine has been as follows in recent years: (million litres) Trends in consumption and estimates for 1970 Consumption has levelled off in recent years, so that no substantial increase is forecast for Retail and wholesale prices on major internal markets Retail prices for wine are forced freely in the market by the interplay of supply and demand. ln the past three years, average prices have been as follows: (US$ per '000 litres) Factorswhich condition the evolution of internal consumption 5. Policies and measures affecting consumption There are no consumer subsidies on wine.

6 COM.AG/W/2/Add.8. International trade and price 1. Statistical data on the volume and value of imports and exports by source and destination Statistics of exports and imports are given in annexes I and Il 2. Levels of export pricesmarkets In 1967 an average price of $194 per ton was obtained for quality wines in barrels and tanks in the Federal Republic of Germany, one of our major markets. 3. Export and measures and policies other aids There are no export payments, subsidies or other aids. (b) Stock management policies as they relate to exports No special policy is applied with respect to stocks and exports. No (c) Typesand incidence of non-commercial transactions and policies, including, export credit export credit is granted on wines. 4. escription of bilateral agreements affectingimports orie exports Trade with countries with which clearing arrangements exist is conducted under bilateral agreements. The products and quotas mentioned in schedules annexed thereto are only of an indicative character.

7 ANNEX I Yugoslavia Exports of Wine (Quantity in tons) value in dollars; price in dollars per metric ton) SITC Product Ordinary winein burrels Quality wine barrels and tanks andtanks wine Quality in bottles essert wine in bottles Sparklingwine in 11211Winefor distilling Wine for blending Winefor distilling Wine for the preparation of vinegar Wine for the preparation of venouth ,f!.7j,/77 1, 5,`1 2 {, > ç S6 27, :r !27 i.,~ 1/ I ('i" 17-1s C Grapemust with formentation arrested by the addition ofalcohol 1 " 1 1 7"3J ? 12,77 y.c;924? 5 f 1, ;t070 0/ (} './2 9,120 94,7', `-02Ü0 TOTAL 139, y,p 5, ':.) c' 520L,C~75 IÎ *_ -, t.,.et (.,Cce G onc.5 A6 i 96 5 ;7'U1~ ,205 lr c'-tr--r *.fr.i) r $64,t 213 ('_'Il 9 p(4 CQ 17,2(0) 4AA 'LSO 05 4~ ,1 c., _( t---f '7; j 19>67 - Quantity Value Price,^!6 j 1.,-;,',-0 156) 2)! : r K^ ,005C Ci, qrm r. g 504 r, ç./.n 5;,926,5.2-; 490l; `64 r. 15,13 _ 7,~172 re (11 9 1? ;'5 ].3'0,7.1l 2,74 S f 9 5,!/4,345! I 'C ,9c

8 (Quantity in tons) value in dollars; price in dollars per metric ton) ANNEX II YugoslavImports of Wine SITC Product Quantity Value Price Quantity Value Price Quantity Value Value price Price /1 il~ ~~' I212/ Ordinary wine in barrels and tanks Quality wines in barrels and tanks Ordinary wine in bottles Quality wine in bottles essert wine in bottles Sparkling wine in bottles '9 1U., I ,1.2,107 /..02, ? /1 2,Gl'C,2 77 2, , _ ; _ _ 0.?,03 19,;057 5q'J?0.,,u5 TOTAL 69? ,O 0_52 _, ,37Ç. 2,1.5,!,I_2

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