Rotkäppchen-Mumm CEO warns of impact from sparkling wine tax hike

Silvia Wiesner, head of Rotkäppchen-Mumm sparkling wine cellars, has issued a sharp warning regarding a planned increase in the sparkling wine tax in Germany. She stated that the additional tax burden is the opposite of what companies need during Germany’s current structural crisis.

The proposed increase of 20 cents per bottle plus VAT would disproportionately affect lower-priced products compared to premium items like champagne. Wiesner criticized the move as neither socially just nor competitive, noting that as a market leader, the company would have no choice but to pass the costs on to consumers.

Wiesner also warned of negative impacts on investment, stating that non-essential investment decisions, such as those regarding the Rotkäppchen Erlebniswelt in Freyburg, are currently being paused. She cautioned that the number of sparkling wine production sites in Germany could be at risk due to the lack of financial buffers in the industry.

She has invited Federal Finance Minister Lars Klingbeil to visit the company’s largest production site in Freyburg to discuss the economic collateral damage caused by the tax hike.