New legislation in favour of
wine exporters and Bordeaux City Bond
Storing wine in bond is currently experiencing a minor revolution! Bottles stored in a bonded warehouse whilst awaiting export can now be sold on the French market without having to request prior authorisation. This historic step forward was achieved last July thanks to Bordeaux City Bond, Bordeaux CCI’s bonded warehouse. It represents a new opportunity for the warehouse along with all those involved in the wine trade and the Bordeaux wine industry.
«Since the summer, French Customs authorities have granted the right to release bottles stored in a bonded warehouse, but not having been sold for export, onto the French market much more easily” as Philippe Dumand, elected member of the Bordeaux CCI and President of Bordeaux City Bond, and Jean-Claude Lasserre founding President of the Bordeaux warehouse, were delighted to confirm. This is a simplification of the taxation rules that apply when French wines, previously placed in a bonded warehouse, are released onto the national market. A measure published in the French ‘Journal Officiel’ on 26 July last (page 6984).
The end of French wines “just visiting” England or Switzerland.
Until now, it has always been very complicated to sell wine on the French market when it had initially been intended for export, with owners having to obtain special permission from the customs and tax authorities. A procedure that was so dissuasive that a sale in France was often carried out after the wine had transited via England or Switzerland, for example, on what was referred to as a “tourist trip”.
Reviving France’s number one position for export
With this new legislation, it is clearly in the interests of both producers and traders to store their bottles in a bonded warehouse: a safe and effective way to optimise their wines close to where they were produced, before shipping them abroad… or, from now on, within France.
“This relaxation of the rules is a victory for the entire French wine industry and for Bordeaux in particular. Bringing the French regime into line with that of Britain and Switzerland now enables French producers and wine merchants to compete fairly with their competitors around the world”: Pierre Goguet, President of the Bordeaux Chamber of Commerce, founder and majority shareholder of Bordeaux City Bond.
About Bordeaux City Bond
Created in 2009 at the initiative of the Bordeaux CCI and in direct collaboration with the customs authorities, Bordeaux City Bond is mainly dedicated to foreign buyers and to export-oriented French companies. In an ultra-secure environment under special conditions, the wines are stored with all tax and duty payments being suspended, with simplified formalities and no time limitation. A facility that ensures the conservation and traceability of the bottles stored and offering: geolocation of cases, security labelling during bottling, temperature and humidity control sensors, application of storage warranty tape, etc and all with total confidentiality.
BORDEAUX CITY BOND IN FIGURES
3,000 m² with a storage capacity of 125,000 cases
Turnover of 1.4 million euros
200 million euros of stock
13 shareholders including Bordeaux CCI 50% and Vinexpo SA 21%.