Spain's Jerez region needs to grub up vines to balance supply and demand, according to Sherry council director general Cesar Saldana.

Speaking to Drinks International at the London International Wine Fair last month, he said Jerez could lose up to a quarter of its vineyards under EU wine market reforms, which are set to begin in August.

But rather than oppose a grubbing up scheme, he said that declines in Sherry's mature markets, such as Holland and Germany, meant it was necessary to return

balance to supply and demand.

But it remains unclear where the axe may fall hardest. Saldana said: "For the bodegas, it will depend on their supply needs. Independents may look to see what else they can cultivate profitably."