Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis (Jan 2009)

Preliminary situation analysis of wine production industry in the Czech Republic since 1989

  • Radka Šperková,
  • Jiří Duda

DOI
https://doi.org/10.11118/actaun200957060287
Journal volume & issue
Vol. 57, no. 6
pp. 287 – 296

Abstract

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External environment factors influencing Czech wine production industry went have been significantly changing in the past 20 years. Objective of this paper is to identify and describe selected external environment factors influencing this industry.Changes in the Czech Republic in 1989 significantly influenced all industries in the Czech eco­no­my, including wine production. The most significant include the transition from planned socialistic economy to the market economy, establishment of the Czech Republic (January 1, 1993), entrance European Union (May 1, 2004). For the wine production industry it brought for example opening the domestic market to competition, simplifying international trade with EU-member countries, stabilization of the area of vineyards including the ban on their extension, establishment of the Wine Fund, establishment of non-governmental organisations supporting activities of wine producers (e.g. Union of wine producers of the Czech Republic, National Wine centre, Moravín, Partnership foundation), etc. Significant changes can be found also in the field of wine-marketing and promotion of wines. Wines from the Czech Republic are sold in foreign markets and achieve awards within international trade fairs and wine exhibitions, Czech Republic organises wine trade fairs, e.g. Vinex or Wine and distilled products, Wine fund have registered the trademark „Svatomartinské víno“ (St. Martin Wine), etc. Other significant factors identified within macro-environment analysis include con­ti­nuous changes in wine production technology. Here we can expect that in the future, there will grow the use of PET bottles, which could replace the classical glass bottles, just as it happened in the soft-drinks production industry. Changes happened also in the field of legislature, and were connected with updating the law on winegrowing and wine production, change of the VAT to 19 %, cancellation of the consumption tax on wine or new titles of subsidies.Also the buyer behaviour goes through a gradual development and it is influenced by many factors. Therefore the paper includes statistical evaluation of dependence between the average monthly wages and wine consumption. Calculated values show a semi-strong positive linear dependence of these two factors.

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