The Regional Secretary for Agriculture and Forestry announced the approval of 28 applications submitted under the Support Scheme for the Conversion and Restructuring of Vineyards (VITIS) that had not been accepted in the last application period.
 
"I can announce that we have managed to ensure a budget increase that allows the approval of all applications submitted by producers under the last call," said João Ponte. The government official spoke during a visit to Quinta da Jardinete, a unit dedicated to wine production on the island of São Miguel.
 
João Ponte pointed out that, previously, the budget allocation for the 2017 application period was set at 3.5 million Euros, adding that a new ordinance stipulating the amount at 4.2 million Euros will be published soon.
 
The Regional Secretary stressed that the 28 investment projects, corresponding to 28 hectares, which includes the application submitted by Quinta da Jardinete, were not initially considered due to the lack of budget allocation and not due to lack of quality.
 
"Currently, VITIS does not accept new applications. We do not know when there will be a new phase, but we are certain that there will be one in the future, as the European Commission guaranteed the extension of VITIS until 2023. As soon as it opens, producers who own land in areas more suitable for wine production should apply for the programme," said João Ponte. According to him, the Government will only know the estimated budget allocation by 2020.
 
In September, one hundred applications under VITIS were already approved in the Azores. About 80% correspond to investment projects to be developed on the island of Pico, where there is a great wine growing tradition.
 
There were also approved projects from the islands of São Miguel, Terceira, Faial and Graciosa. The 100 applications approved under this programme correspond to an overall area of 132.7 hectares.
 
The Regional Secretary pointed out that the island of São Miguel has a "great growth potential" in terms of wine production. He highlighted the case of three recent projects that are highly successful, which produced small quantities of wine that are absorbed by the local market.
 
João Ponte also pointed out that wine producers with projects approved under VITIS may request the anticipated payment of up to 80% of the approved aid.
 
"This is an extremely important measure that will allow producers to start their investments," said João Ponte. In this regard, he added that the recent approval of the Plan and Budget for 2018 by the Legislative Assembly provides for 18 million Euros of aid under VITIS programme.
 
Established in 1879, the Quinta da Jardinete encompasses five hectares of vineyard, three of which are currently under production with foreign grape varieties; annual production reaches 10,000 bottles.
 
With the application for VITIS now approved, this unit will able to increase its production area by 1.5 hectares with the intended to reach an annual production of 20,000 bottles.
 
Currently, the Azores have 38 brands of certified wine, various individual producers, three identified wine areas, including Biscoitos (Terceira Island), Graciosa and Pico, and the Protected Geographical Indication designation for quality white and red wines.