Brussels, Nov. 26 - European Union agriculture ministers on Monday discussed proposals to overhaul the bloc's wine industry to compete with New World producers.
The reforms are aimed at reversing falling sales and reducing surplus production costing hundreds of millions of euros.
The European Commission says the bloated wine sector must cut overproduction or risk further decline against cheaper wines from New World and other overseas producers.
Its plan suggests pulling up unprofitable vineyards, ending subsidies for massive and costly distillation of unsold wine into industrial products and harmonizing labeling to make it more consumer-friendly.
It also foresees a ban on adding sugar to wine produced in regions with a cooler climate -a plan the majority of countries in the 27-member bloc opposes. Vintners in areas with a lack of sun, including Germany, Austria, Luxembourg and the Czech Republic use extra sugar to produce higher-quality wines.
An agreement on how far the reform will go could be reached by the end of the year, diplomats said.