Wine growing to be significantly affected by the end of tax exemptions

Friday September 14 2018 by Vitisphere

As Vitisphere announced on Tuesday 29 August, President Macron’s government plans to put an end, at least in large part, to the exemptions from employer contributions to which winegrowers are entitled when hiring casual workers. The move is part of its finance bill for social security and would come into force on 1 January 2019. The vice-chairman of the Farmers’ Union FNSEA, winegrower Jérôme Volle has been criticising the disastrous consequences of the change for several weeks, particularly for wine growing: “This will be the worst affected sector. There are 452,000 contracts of this type per year at a total cost of 85 million euros", he said. Taking into account paid holidays, the gross hourly cost of hiring a seasonal worker for a winery would thus increase, according to his calculations, from €11.70 to €14.

MPs must make the government back down

The Farmers’ Union therefore fears a significant loss in competitiveness for the agricultural sectors concerned – wine growing, fruit tree production, market gardening, and even nurseries – compared with their competitors, particularly in Germany and Spain. The Union even claims that certain sectors already suffering despite the aid, may disappear altogether. “This is unacceptable, we will increase losses for the French farming industry and cause the demise of certain sectors”, warned the farming representative.

 

Jérôme Volle, a winegrower in Ardèche, has been vice-chairman of the FNSEA since April 2017

 

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