EVERY CLOUD HAS A SILVER LINING: THE WEAK EURO HELPS OUT ITALIAN WINE EXPORTS TO THE U.S.A.

The euro is not having an easy go of it lately as it continues its descent against the dollar, but some people are ready to take advantage of this weakness: the Italian wineries that export to the United States. Thanks to the favorable exchange rate (today a dollar is worth 1.23 euros) it should now be easier to get into what is rapidly becoming the world’s largest market. It is an almost mandatory destination for Italian producers since domestic consumption continues to fall: from 37 million hectoliters in the late 1980s, we are down to less than 25 million hectoliters, which is equivalent to 30% less. “There is no doubt that the current exchange rate provides greater opportunities for exports to the U.S.”, says Fausto Peratoner, Director of La Vis, one of the largest cooperatives in the Trentino region. “In the past two years we have suffered a lot due to the super-euro, so that it was customary to agree with distributors and importers to “sustain” the disadvantage. Today, instead, these external obstacles can be recouped and used for promotional activities. Obviously, we need to harbor realistic expectations: enjoying a favorable exchange rate does not mean we’ll see our exports skyrocket”.