The Spirits Romania employers' association draws attention to the fact that the increase in excise duty on alcohol will not lead to an increase in state budget revenues but will lead to the growth of the black, untaxed market, with particularly serious effects, both economic and social.
According to a press release sent on Thursday, AGERPRES, in the past, the 42% increase in excise duty in 2013 caused a 30% decrease in the taxed market of spirits between 2013 and 2014. In contrast, the 30% reduction in excise duty in 2016 resulted in a decrease in the untaxed market by approximately 25% between 2016 and 2021 and a doubling of revenues collected for the state budget, which recorded 1.22 billion RON in 2024 for the spirits market.
"The counterfeit spirits market poses a threat mainly to bona fide local producers, who sell the most popular and affordable products. Approximately 85% of spirits consumption is represented by Romanian products, according to industry data. In addition, any increase would have catastrophic consequences for local spirits producers, as well as particularly serious social effects determined by the increased interest in counterfeit drinks, which can seriously affect health, even leading to loss of life," the statement said.
According to a survey conducted by ivox.ro at the request of Spirits Romania, in October 2024, 34% of Romanians say they have consumed alcoholic beverages from sources they did not know, namely drinks without a stamp or drinks produced by people they did not know. Among the respondents who admitted to consuming counterfeit alcoholic beverages, one in five indicated the price as the reason, namely the fact that the counterfeit drinks they consumed were cheaper.
The cited source also indicates that the spirits industry has over 46,000 direct and indirect jobs, and contributes an annual value added of over 850 million euros to the gross domestic product. Aggregated data from ANAF show that 62% of the total excise duties applied to alcoholic beverages in 2024 were transferred by the spirits industry. Thus, the excise duties collected by the state from the sale of ethyl alcohol amounted to 1.22 billion RON in 2024, given that the total amount obtained by the state from the sale of all types of alcoholic beverages last year was 1.98 billion lei.
In addition, according to industry estimates, there is also a significant multiplier effect. Thus, every 10 euros of gross value added created directly in the Romanian spirits sector contributes another 10-15 euros to the national economy through indirect and induced impact.
"We cannot penalize all those who pay their taxes and contribute significantly to the local economy. The solution to increasing state budget revenues lies in combating tax evasion and the counterfeit drinks market," said Florin Rădulescu, president of Spirits Romania, quoted in the press release.
Spirits Romania, an employers' association that brings together the main producers and importers of spirits in Romania, was established in 2013 with the aim of contributing to the creation of a functional fiscal and legislative framework, conducive to the development of the local spirits industry, as well as from the desire of member companies to get involved in the creation of joint consumer education programs on responsible alcohol consumption. Member companies provide over 3,000 direct jobs and 185,000 indirect jobs. Spirits Romania members export high-quality spirits of all types to over 30 countries in Europe, Asia and America.
The association is affiliated with SpiritsEurope, the representative organization of the alcohol industry at European level, which brings together over 31 national associations from 24 countries. Spirits Romania represents the main companies producing and importing spirits from Romania: BDG, Diageo, Pernod Ricard Romania, Prodal, Prodvinalco, PPD, Coca-Cola HBC Romania and Maspex.
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