VINEXPO/IWSR WINE MARKET STUDY – THE MOST CRUCIAL EXPORT MARKET THAT PRODUCERS ARE VYING FOR IS IN ASIA. U.S. MARKET ALSO FUNDAMENTAL BECAUSE IT IS THE THIRD CONSUMER COUNTRY AFTER FRANCE AND ITALY. THE NEXT VINEXPO 2007 (BORDEAUX, 17-21 JUNE)

The future of wine consumption is on the Asian market, where a crucial export competition will be played out by the main wine producing countries of the world. The Asian continent already absorbs 46.9% of world alcohol consumption and, by 2010, the percentage should surpass 50%. North America is also fundamental: the U.S. is now the third wine consuming country, following just behind France and Italy, but by 2010, it should surpass these two historic European wine countries. This is all data that has emerged from the Vinexpo/IWSR study on wine markets from 2001 to 2005 and on the prospects from 2005 to 2010.

The data results on the U.S. are even more important if one considers that the United States already consumes the most high quality wines: the total value of wines sold overseas is superior to that sold all together in Italy and France. And speaking of which, the study predicts that by 2010 there will be a strong increase in the percentage of wines acquired that cost over 10 dollars (+17.2%), compared to the increase in wines costing between 5 and 10 dollars (9.12%), and the more modest increase of 2,44% for wines under 5 dollars. A trend that corresponds to the Italian market as well.

It is also an interesting note that the market, both international and Italian, will continue to demand more red and rosé wines, while demand for white wines will remain stable. Germany, England, and the U.S. will remain the largest consumers of imported wines, while significant increases are predicted for demand from Canada and Japan, after a brusque slow down occurred in the countries between 2001 and 2005.

Italians and French remain uninterested in foreign wines: in Italy the demand for imported wines is expected to increase by 1.26%, which is insignificant in numeric terms, and, as for France, interest is also null, which is bad news for Italian exporters. The study, in fact, predicts a decrease in Italian exports to France by a good 77%. And, even in Germany, Italian wine will find a more difficult market (with a predicted decrease of 15.57%), while an increase is predicted for the U.S. (+4%) and, above all, for Great Britain (+24%).
And, finally, a note on the liquor market: Vodka, Cognac, Armagnac, Tequila and Rum are all doing well, though Gin is not. A curiosity is that China will soon become the second highest consumer of Cognac, following just behind the United States.

The Event – Vinexpo Bordeaux 2007

The annual international wine and liquor fair in Bordeaux is one of the most important appointments in this sector and will take place this year, from 17 – 21 June, in the expo area of Bordeaux Lac. With the return of ICE (National Institute for Foreign Trade) and other important Italian institutions, the space dedicated to Italian wine at this event will reach a total of 4,110 square meters (within a total of 41,000 square meters, thus making up 10%). This is an increase from the 3,400 square meters held in 2005.

The novelties for 2007? The new space is call Club du Lac, located on a lakefront, with air-conditioned pavilions that will host some of the most prestigious names from around the world (Gallo Winery, Louis Roederer, Taittinger, Baron Philippe De Rothschild, the Chielans Concha Y Toro …). The opening hour has also been anticipated to 8:30 am. There will be 2,400 exhibiting stands and a predicted increase in visitors (there were 50,000 in 2005). And the Vinexpo-Asia, to be held in 2008, is expecting a massive influx in visitors from China, Japan, South Korea and Singapore.

Francesco Beghi