Type of wine from Spain, under very popular label (7)
I believe the answer is:
vintage
'type of wine' is the definition.
(I've seen this before)
'spain under very popular label' is the wordplay.
'spain' becomes 'e' (abbreviation for Espana).
'under' means one lot of letters go next to another.
'very' becomes 'v' (abbreviation).
'popular' becomes 'in'.
'label' becomes 'tag' ('tag' can be a synonym of 'label').
'v'+'in'+'tag'='vintag'
'e' put after 'vintag' is 'VINTAGE'.
'from' is the link.
(Other definitions for vintage that I've seen before include "Wine harvest" , "High-quality wine" , "High quality wine" , "Type of wine" , "Excellent plonk" .)