Italy Lifts Ban on Domestic Dealcoholised Wine Production After Decades

Italian wine producers are preparing to begin dealcoholising wines within Italy for the first time, following a government decree passed in late 2025 that reversed a longstanding ban on domestic production of dealcoholised wine. The change is expected to take effect soon, with industry leaders anticipating the new rules will be implemented by the end of March.

Until now, Italian wineries have been required to send their wines abroad, mainly to Germany and Belgium, for dealcoholisation. This process has added significant costs and logistical challenges. Aurora Semenzin, communications manager for Valdo Spumanti, said that transporting wine out of Italy for dealcoholisation not only increased expenses but also raised environmental concerns due to the additional miles traveled and the resulting carbon footprint.

The new decree outlines specific regulations for both small and large producers. Wineries producing less than 1,000 hectoliters per year and those producing more must follow different protocols for managing the alcohol extracted during dealcoholisation. All production must occur under a tax warehouse regime, and producers are required to hold an updated license in line with Article 28 of the Unified Text on Excise Duties.

The original ban on dealcoholised wine was put in place because it was seen as a potential threat to Italy’s traditional wine industry. Giancarlo Moretti Polegato, CEO of Villa Sandi and board member of Federvini, explained that there were concerns about the impact on jobs and the reputation of Italian wine. However, after lobbying efforts from producers and industry groups, the government agreed that dealcoholised wine represents a new opportunity rather than a risk.

Polegato compared the current situation to the introduction of Prosecco Rosé in 2020. Initially met with skepticism, Prosecco Rosé now accounts for about 10% to 12% of total Prosecco production. He expects that allowing domestic dealcoholisation will have a similar positive effect by expanding options for consumers without undermining traditional products.

Villa Sandi has been shipping its wines to Germany for dealcoholisation since launching an alcohol-free product during Dry January this year. With the new law set to take effect soon, Polegato said the company will be able to handle the process entirely in Italy, reducing both time and costs.

Caviro, which manages more than 36,200 hectares of vineyards across Italy, is also preparing to launch a new dealcoholised product as soon as it becomes legal. The decree permits only those dealcoholisation techniques recognized by European Union Regulation 1308/2013 and the International Organisation of Vine and Wine. Approved methods include vacuum evaporation, spinning cone column distillation, and reverse osmosis.

Under the new rules, wines containing less than 0.5% alcohol by volume can be labeled as “dealcoholised wine,” while those with higher levels may be marketed as “partially dealcoholised wine” according to EU definitions.

The move comes at a time when demand for no- and low-alcohol beverages is rising worldwide. At ProWein 2026, Patrick Schmitt MW presented data showing that the alcohol-free market has grown by 200% over the past decade. Industry experts believe this trend will continue as consumers seek more options.

By allowing domestic production of dealcoholised wines, Italy aims to support its winemakers in competing globally in this expanding category while reducing environmental impact and operational costs. Producers across the country are now waiting for final approval so they can begin offering these products directly from Italian soil.