Vine pull schemes are programs whereby

grape A grape is a fruit, botanically a berry, of the deciduous woody vines of the flowering plant genus '' Vitis''. Grapes are a non- climacteric type of fruit, generally occurring in clusters. The cultivation of grapes began perhaps 8,000 years a ...

growers receive a financial incentive to pull up their grape

vine A vine (Latin ''vīnea'' "grapevine", "vineyard", from ''vīnum'' "wine") is any plant with a growth habit of trailing or scandent (that is, climbing) stems, lianas or runners. The word ''vine'' can also refer to such stems or runners themsel ...

s, a process known as ''arrachage'' in French. A large program of this kind was initiated by the

European Union The European Union (EU) is a supranational political and economic union of member states that are located primarily in Europe. The union has a total area of and an estimated total population of about 447million. The EU has often been de ...

( EU) in 1988 to reduce the

wine lake The wine lake refers to a perceived overproduction of wine in the European Union, particularly around 2005–2007. The EU's Common Agricultural Policy contained a number of subsidies for wine producers, leading to a supply glut; this surplus forc ...

glut from

overproduction In economics, overproduction, oversupply, excess of supply or glut refers to excess of supply over demand of products being offered to the market. This leads to lower prices and/or unsold goods along with the possibility of unemployment. The d ...

and declining demand. In the first five years of the program, growers, mainly in southern France and southern Italy, were paid to destroy 320,000 hectares or of

vineyard A vineyard (; also ) is a plantation of grape-bearing vines, grown mainly for winemaking, but also raisins, table grapes and non-alcoholic grape juice. The science, practice and study of vineyard production is known as viticulture. Vineya ...

. This was the equivalent to the entire vineyard area of the world's fourth largest grower of grapes, the United States. The EU has recently resumed a vine pull scheme and

Plan Bordeaux Bordeaux wine ( oc, vin de Bordèu, french: vin de Bordeaux) is produced in the Bordeaux region of southwest France, around the city of Bordeaux, on the Garonne River. To the north of the city the Dordogne River joins the Garonne forming the ...

proposes additional vine pulls to increase prices for generic

Bordeaux wine Bordeaux wine ( oc, vin de Bordèu, french: vin de Bordeaux) is produced in the Bordeaux region of southwest France, around the city of Bordeaux, on the Garonne River. To the north of the city the Dordogne River joins the Garonne forming the ...

. It is believed that this has contributed to the "global wine shortage". Research by America's

Morgan Stanley Morgan Stanley is an American multinational investment management and financial services company headquartered at 1585 Broadway in Midtown Manhattan, New York City. With offices in more than 41 countries and more than 75,000 employees, the fir ...

financial services firm says demand for wine "exceeded supply by 300m cases in 2012".

References

Further reading