I am biased towards Australia for obvious reasons, but the same applies to all overseas wine in Thailand.
Coming from Australia, which produces lots of terrific affordable wines with everyday drinkable versions costing well under 200 baht (A$10.00) it was a shock to come to 'cheap' Thailand and see the unaffordable prices for the same thing here. I was a wine drinker back 'home' with a bottle being emptied regularly in an evening, and at those prices why not?
It has been one of the disappointments of Thailand where a glass of chilled white would be so appropriate and enjoyed given the climate, I just can't afford the prices on a regular basis and even if I could, I would find it difficult to pay three times the Australian retail price.
When I researched why the huge price difference, I came across this article. What a load of bollocks the mass of taxes that are applied. Good to know that your wine drinking is contributing to public broadcast and the elderly foundation isn't it. Feel better now paying 400 baht for your 110 baht bottle? Interesting that Australian wine is cheaper than it might be! Who would have thought from the prices we pay!
The Thailand-Australia Free Trade Agreement provides Australian wine producers with preferential treatment (with a zero tariff) over other wine exporting counties (except for Chile which has an FTA and New Zealand which has 0 per cent through its Closer Economic Partnership with Thailand). Wine from almost all other countries are subject to a 54 per cent import duty (Source: DFAT, Key Outcomes of the Thailand-Australia Free Trade Agreement, March 2015) .
This benefit to Australian wine exporters multiplies after the application of Thailand’s heavy and complex alcohol excise and VAT tax regime – to where Australian wines (over 1,000 baht) can be around 65 per cent cheaper than wines from other countries (the exception Chile and New Zealand) when the same mark-up is applied. (Source: Austrade calculations)
In addition to import tariffs, imported wines are subject to other duties, fees and taxes:
Surcharge / Special duty (US$ 10 per import lot)
Customs Fee US$ 50
Alcohol Excise tax: the rate is Baht 1,500 per litre of alcoholic content for a wine bottle not exceeding Baht 1,000 (retail). Wine priced higher than Baht 1,000 (at retail) will be taxed at 10 per cent of its price and Baht 1,500 per litre of alcoholic content.
Municipal / interior tax: 10 per cent
Health support project: 2 per cent, based on CIF/FOB value
Public broadcasting subsidy: 2 per cent
From January 2018 – Elderly foundation tax: 1.5 per cent
Value added tax (VAT): 7 per cent, based on retail price
Wolf Blass at $15.00 each or below three bottles for $15.00.
Thanks for reading.