The production of fake spirits and wine costs EU businesses €1.3 billion each year.

A new report from the European Union Intellectual Property Office (EUIPO) shows that 4.4% of legitimate sales of spirits and 2.3% of legitimate sales of wine are lost each year due to counterfeiting of alcoholic drinks. Those lost sales translate into 4,800 jobs directly lost across the spirits and wine sectors in the EU, as legitimate manufacturers employ fewer people than they would have done in the absence of counterfeiting.

When the knock-on effects of counterfeit wines and spirits in the marketplace are taken into account, 18,500 additional jobs are lost in the EU economy, of which notably 8,600 jobs are in agriculture and 1,300 jobs in the food industry.

The total yearly loss of government revenue as a result of counterfeit products in these sectors across the EU-28 in terms of household income taxes, social security contributions, corporate income taxes, VAT and excise duties is estimated at €1.2 billion.

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