Customs Duties for Importing European Wine to the UK

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Last Updated: September 18, 2026

How Customs Duties for Importing European Wine Actually Work

Importing wine from Europe means dealing with two separate charges that most first-time importers wrongly assume are the same thing. Customs duties and excise duty are distinct, calculated differently, and paid at different points. Get the distinction wrong and your margin disappears.

79North Ltd serves as a dedicated importer of premium, family-owned wines from Portugal and Italy to the UK market, bridging the gap for independent retailers and restaurants.

Customs duty is a tax on goods brought into the UK. For wine, it's assessed on the customs value: the price paid to the producer plus freight and insurance to the UK border.

Excise duty is a separate tax on alcohol itself, charged by alcohol by volume (ABV) and litres. Wine is classified as still or sparkling, and the rate depends on strength.

The two are collected together but calculated on completely different bases.

Key Takeaway Customs duty applies to the value of the shipment. Excise duty applies to the alcohol content. Confusing the two is the single most common costing error for new wine importers.

Import duty versus excise duty: what each one is

Import duty is calculated on the customs value of your goods, at a rate set by the commodity code assigned to your wine. Excise duty is calculated on litres of pure alcohol, using the ABV on the label.

For most wine entering the UK from the EU, the customs duty rate under the UK Global Tariff is low or zero, but excise duty is where the real money sits.

UK Alcohol Duty Rates 2024 and the 2026 Changes to Understand

The UK alcohol duty system was overhauled in August 2023, moving to a strength-based model where every alcoholic product is taxed by ABV. The 2024 rates reflected this structure, and further changes continue to reshape how small importers cost shipments.

Wine Category Duty Basis Cost Driver
Still wine 11.5% ABV or below Per litre of pure alcohol Lower ABV = lower duty
Still wine above 11.5% ABV Per litre of pure alcohol Strength increases cost
Sparkling wine Per litre of pure alcohol Higher rate than still
Fortified wine Per litre of pure alcohol Highest band

EORI Number Requirements for Wine Importers and the Customs Declaration Service

An EORI number is a unique identifier every business must have before moving goods into or out of the UK. Without one, customs will not release your shipment.

Watch Out Filing a declaration with the wrong commodity code is one of the most common causes of held shipments. If the code doesn't match the wine's actual category and ABV, HMRC can reject the entry and you'll pay storage while it's corrected.

Wine Labelling Regulations UK: What Must Appear on Every Bottle

Wine sold in the UK must carry specific information on the label before it can legally be offered for sale, whether imported or produced domestically.

A Step-by-Step Digital Filing Walkthrough for Small Importers

Most guides stop at "log into CDS and file a declaration." What follows is the actual sequence a boutique importer follows, with the fields that trip people up and the shortcuts that keep a first shipment moving.

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Wine importer working on customs duties paperwork on a laptop at a desk
Wine importer working on customs duties paperwork on a laptop at a desk

Before you touch the portal

  1. Register for an EORI number if you don't already have one. It is free through HMRC, and without it CDS will not accept your declaration. Allow a few working days.
  2. Confirm the commodity code for your wine category and ABV band. Wine sits under Chapter 22 of the UK Global Tariff, and the code splits by still versus sparkling and by container size. A wrong code is the single most common reason a small importer's first entry is rejected.
  3. Decide who is the importer of record. If you buy DAP and the producer's forwarder files the entry, you are not the importer of record, and you cannot reclaim import VAT or prove compliance later. For a small importer, being the importer of record is usually the right call.
  4. Gather the commercial invoice, packing list, bill of lading or CMR, and the producer's VI-1 where applicable. The invoice must show the price paid, the Incoterm, and the country of origin of the grapes, not just the country of bottling.
  5. Calculate the customs value by adding product cost, freight, and insurance to the UK border. Customs duty and import VAT are assessed on this figure, not the retail price, and not the ex-winery price alone.

Filing the declaration in CDS

  1. Log into the Customs Declaration Service using your Government Gateway credentials. CDS replaced CHIEF and is the only route for imports now.
  2. Choose the correct declaration category. For a standard commercial wine import, this is a full import declaration. Simplified procedures exist for some low-value consignments, but wine rarely qualifies once excise duty is in play.
  3. Complete the header fields first: declarant details, importer of record, country of dispatch, country of origin, and the customs procedure code. The procedure code tells CDS whether goods are released into free circulation, entered into a bonded warehouse, or moved under duty suspension.
  4. Add the goods item lines. Each wine gets its own line with commodity code, description, net mass, supplementary units (litres), customs value, and, critically, the ABV. Excise duty is calculated from ABV and litres, so an incorrect ABV flows straight through to an incorrect duty figure.
  5. Enter the VAT and duty details. Import VAT is charged on the customs value plus duty plus excise. If you are VAT-registered and using postponed VAT accounting, flag it here so VAT is accounted for on your return rather than paid at the border.
  6. Submit the declaration and pay the calculated duty and excise. CDS returns a calculation; check it against your own before paying. Discrepancies are easier to fix before payment than after.

After submission

  1. Retain every record, declaration reference, invoice, transport documents, duty and excise receipts, for at least four years. HMRC can ask for them at any point.
Pro Tip A common pattern among small importers is to file the first declaration through a customs agent, watch exactly which fields they populate, then take the filing in-house once volume justifies it. The agent fee is worth it for the first two or three shipments purely as training.
Watch Out If your declaration is rejected, the shipment does not move. Storage, demurrage, and movement guarantee costs start accruing immediately. Build a buffer of a few working days into your first shipment's schedule so a rejection does not become an emergency.

The sequence takes a couple of hours once you have done it a few times. Budget a full afternoon for the first attempt, with the producer's invoice in front of you rather than in an email thread.

Incoterms, Hidden Costs and Post-Import Compliance Audits

Incoterms are not just about who pays the freight. For wine, the Incoterm you agree with your producer determines who is legally the importer of record, who is liable for customs duty and excise, and whether you can reclaim import VAT. Getting this wrong is more expensive than getting the duty rate wrong.

How the Incoterm changes your duty liability

EXW (Ex Works), the producer makes the wine available at the winery. You are the importer of record from the moment the goods leave, arranging collection, freight, insurance, and the customs declaration. You pay customs duty, excise duty, and import VAT, and can reclaim the VAT if VAT-registered. Most control and cleanest compliance, but the most work.

Key Takeaway For a small importer building a real business, EXW or FOB is usually the right Incoterm. DAP and DDP are easier on day one and harder on day one hundred.

The hidden costs that catch small importers

Beyond duty and excise, budget for:

  • Bonded warehouse storage if your wine is held under duty suspension before release.
  • Movement guarantees required when moving excise goods under suspension.
  • Fiscal representative fees where a representative is required to act for you on excise matters.
  • Demurrage and detention if a container sits at port because a declaration was rejected or a document was missing.
  • Customs agent fees if you use an agent rather than filing in CDS yourself.
  • Over-stickering and back-labelling to meet UK labelling rules before the wine can be sold.

These are not small. A single delayed container can add more in demurrage than the duty on the wine inside it.

Post-import compliance: what HMRC actually checks

After the wine arrives and is sold, HMRC can audit your records. It is not common for small importers, but it happens, and the check is straightforward: can you show, for every shipment, that the correct duty and excise were paid and the goods declared accurately?

Keep, for at least four years:

  • Commercial invoices and packing lists
  • Bills of lading or CMR documents
  • CDS declaration references and submitted declarations
  • Duty and excise payment receipts
  • Evidence of the customs value calculation
  • Records of any duty suspension or bonded movements

Frequently Asked Questions

What is the difference between customs duty and excise duty on wine?

Customs duty is charged on goods arriving from outside the UK, while excise duty applies to alcohol produced or imported for consumption. For European wine, the common customs tariff may apply, but the larger cost is usually the alcohol duty based on strength and volume. You settle excise through your customs declaration, and both feed into your final VAT liability.

Do I need an EORI number to import wine from Italy or Portugal?

Yes. An EORI number is mandatory for any business acting as importer of record. You cannot submit a customs declaration through the Customs Declaration Service without one. Apply online before your first shipment arrives, because without it your wine cannot clear border control and storage charges will build up while it sits.

What are the labelling requirements for wine imported into the UK?

Every bottle needs the product name, alcohol by volume, volume in litres, country of origin, and the importer's name and address. Check your supplier's artwork against these rules before shipping, because re-labelling at a bonded warehouse adds cost.

How do post-Brexit customs declarations affect wine importers?

Since Brexit, every shipment from the EU needs a full customs declaration, a commercial invoice, and a VI-1 pro-forma for wine. You file through the Customs Declaration Service and may need a fiscal representative. Getting this wrong triggers HMRC compliance checks, so build the paperwork into your supply chain documentation from the start.

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