Russia: Wine Imports from “Hostile” Countries Decline

For the period January-October 2024, Russian importers reduced foreign wine purchases by 33%, which fell from 532,400 tons (10 months of 2023) to 357,700 tons for the same period of 2024. According to Maxim Chmora, head of the Tariff Department of the Russian Federal Customs Service, “the decline is due to the increase in duties on wines from so-called ‘hostile’ countries to Russia.”

Now the duties on wines imported from Italy, France, and other “unfriendly” countries are equal to 25%, but on November 7, Deputy Prime Minister in charge of agriculture, Dmitry Patrushev, proposed to raise duties on wines imported from “hostile” countries up to 50% and to direct the proceeds to the development of the wine industry in Russia. In the first 10 months of 2024, Russian wine exports increased by 20% compared to the same period last year, rising from 1400 tons to 1680 tons. The rating of the main importing countries of Russian wine is topped by China, which imported 48% of all Russian wine exports in the mentioned period. Turkey is in second place, followed by Latvia and Israel.

In terms of wine imports to Russia, the first place is occupied by Georgia, importing must from European countries and “transforming” it into “Georgian” wines. Thanks to this not-so-cunning operation, Georgia’s share in wine exports to Russia for the period January-October 2024 increased from 17% to 25% year-on-year. The ranking of the states exporting the most wines to Russia has not changed: in addition to Georgia, Italy is in the “real” first place, followed by Spain, France, and Portugal.