Baden-Württemberg Introduces Mandatory Levy to Fund Wine Marketing Amid Industry Challenges

2025-09-18

New fee targets collective promotion as winemakers face global overproduction and seek to boost domestic market presence

Winemakers in Baden-Württemberg will be required to pay a mandatory levy starting next year to support the marketing of local wines. The state’s Minister of Agriculture, Peter Hauk, announced the plan during a meeting with the Badischer Weinbauverband in Müllheim, located in the Breisgau-Hochschwarzwald district. Hauk said that voluntary models for funding wine promotion have not worked and that the industry now needs what he called “compulsory solidarity.” He explained that this step is legally possible and would likely take the form of a fee per hectare of vineyard, with the funds directed to a state-run organization responsible for marketing.

The move comes as the global wine industry faces ongoing challenges from overproduction. Hauk emphasized that increased advertising for wines from Baden and Württemberg should focus on domestic consumers, noting that product quality is high and there is untapped potential in the market. Similar levies already exist in other German wine regions, such as Rhineland-Palatinate.

The proposal has drawn criticism from opposition politicians. Georg Heitlinger, agricultural spokesperson for the Free Democratic Party (FDP) in the Baden-Württemberg state parliament, argued that global overproduction cannot be solved through compulsory measures. In a statement, he said that forced solidarity would not address the root causes of the crisis.

However, representatives from the local wine industry have responded more positively. Holger Klein, managing director of the Badischer Weinbauverband, said he does not expect winemakers to strongly oppose the new levy. He suggested that most producers understand the need for collective action to maintain market share.

The announcement comes as this year’s grape harvest is underway in Baden. According to Rainer Zeller, president of the regional winegrowers’ association, winemakers are working quickly due to heavy rainfall that could cause rot among the grapes. Despite these challenges, yields are expected to be better than last year, which saw production drop sharply due to extreme weather events. The association has described 2025 as a promising year for white wines.

In Württemberg, another major wine region in southwestern Germany, expectations are also high for this year’s vintage. Dietrich Rembold, president of the Württemberg Winegrowers’ Association, reported that grapes are healthy and ripening well, with both quantity and quality meeting targets. The main harvest is already underway, and further details about yields are expected to be released soon.

Baden and Württemberg rank third and fourth among Germany’s wine-growing regions by vineyard area, following Rheinhessen and Pfalz. The new levy aims to help these regions compete more effectively in a crowded market by funding coordinated marketing efforts at a time when many winemakers are struggling with low prices and surplus production worldwide.