Wine Law

450 WINE LAW Ministry of Foreign Relations. It is of notice the absence of the Ministry of Economy, which, together with the National Superintendence of Tax Administration (SUNAT in Spanish), has the fiscal policies and the application of taxes, whose integration and participation could be “an incident factor for harmonising the behaviour between taxation and the promotion of policies growth of wine”. Today, the National Productive Diversification Plan of the Ministry of Production, which aims to have a broader range of exportable products with high added value, has one of the supporting bastions in the Peruvian wine industry, since the wine industry has always had significant development in Peru for the production of wine and other derivatives. This allows prospecting for potential growth and development, even more so today, when OIV’s General Director, Pau Roca, presented, on 23 April 2020, through videoconference, the annual report on wine production, consumption and international trade in 2019 (VINETUR, 2020), in which he explains that, in South America, the evolution of the vineyard surface between 2018 and 2019 showed a declining tendency for the fourth consecutive year, being Peru the continent’s only exception. The country increased its vineyard area by 7.1 kha (+17%), reaching 48 kha, an aspect that allows us to express the expectations of wine production in Peru if one knows how to take advantage of the strength and overcome the weaknesses, assuming the economic agents – a real intention that points to their growth and development in local and international areas, in relation to the latter reaching a quality level that allowed them to compete commercially in the world wine markets. This data is prone to change given the impact the COVID-19 pandemic has had on the sector. 4. WINE AND TAXATION An effective tool to guide investment in priority sectors with high growth potential is the appropriate tax system, which facilitates, in this case, the growth of the sector or product we are targeting. A historical account is made of tax application in the last three centuries, in which some tax regulations concerning wine have been evaluated. In a first evaluation, we can induce that, in the 19 th and 20 th centuries, the laws and provisions marked an accentuated protection for the production and consumption of wine through taxation. Thus, with a law from 1887, the national wine tax was 1 cent per litre, much less than champagne (10 cents) and red wine (6 cents), the difference being noticeable. Between 1943 and 1946 (Law