What Are The Duty And Tax Structures Affecting Your Wine Cost And Pricing?


Georgia will be the fourth wine producing country after New Zealand, Chile and Australia who entered a Free Trade Agreement with China and is expected to enjoy a 0% custom duty in the second half of 2017. Georgian wines ranked the 12th in both import volume (3.477 million liters) and value (US$12.18 million) in 2016 to China.

The tables below show the cost structure of wines who enjoyed this tax benefit.

* Excise tax: 10%, value-added tax: 17%

** Georgia will enjoy the 0% custom duty benefit in the second half of 2017

*** Australia’s tax benefit term was split into 5 years and will enjoy 0% custom duty starting 2019.

Besides the duty and tax costs, importers need to add another 8% to 12% on top of the local landing cost which includes charges of shipping document and goods handling, import agent service fees and other incidental costs, depending on their import volume and number of wine labels.

#customduty #exercisetax #valueaddedtax #Georgianwine #FreeTradeAgreement

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