News
French Bulk Market Remains Short
June 8, 2011 - 02:12
The bulk market remains tight and the only loads available are “resale” parcels. The first 2 weeks of May loadings lagged, but by the end of the month had picked up to a fast-paced rhythm. The unofficial end-of-May loading figures show a 20% increase over last year. The weather has been playing havoc with 2 large hail storms occurring at the end of April in Sauternes (480ha) and Corbières (1800ha) regions. Compared to the May report, it appears a water deficit exists in the Languedoc which has moved from worrisome to serious (most vineyards are not irrigated). Other French regions (South West, Center and North) have been on alert for the past few months.
Posted in: France
Spanish High Demand for Pre-2011 Harvest Contracts
June 8, 2011 - 02:11
The tables have turned! Spanish producers find themselves in a dominant selling position after years of over-supply and low prices. There is uncertainty on how 2011 prices will respond to increased international demand, given the available volumes with slight price increases expected. Even though the first pre-harvest contract for 2011 vintage has been created, most producers are waiting until mid/end of June to confirm pricing.
Posted in: France
Italian Wine Exports Growing in Popularity
June 8, 2011 - 02:09
Italian wines continue to experience success in the USA due mostly to a competitive price:quality ratio, but also to changing consumption and economic recovery. This trend could lead to smaller stocks before the next harvest, making price increases a certainty for some wines. A total of 22 million hectoliters of wine was exported from Italy, mostly to the French and US markets. Overall, the Italian market remains firm, with stabilization for certain varietals, such as Bardolino and Valpolicella. Spumante export sales increased 17%, mostly to Russia. Wine exports to China increased by more than 1000% compared to January 2010!
Posted in: France
THE CURRENT MARKET: Where are we now and where are we headed?
May 16, 2011 - 03:54
"THE CURRENT MARKET: Where are we now and where are we headed?"
2011 Vineyard Economics Seminar, Napa Valley, presentation by Ciatti Company.
Download the slides (675KB PDF)
Posted in: USA, Canada, Chile, France, Germany, Argentina, Australia, South Africa
Spanish Market Already Interested in 2011 Vintage
May 4, 2011 - 00:25
Many players who normally buy in South America are already focusing on Spain for the next vintage. 2011 pricing forecasts may be available at the beginning of June, and we recommend that our clients communicate any future needs they may have for Spanish wines at this time. Spanish wine prices have remained relatively stable since the beginning of the year. Volumes are decreasing constantly because Spain maintains the best quality/price ratio on the global market, despite a 70% price increase for red varietals and a 50% increase for generic reds. Generic whites have shown little movement over the last 2 months and significant volumes are still available.
Posted in: France
Italian Pinot Grigio Market Shows Activity
May 4, 2011 - 00:01
According to the 2010 OIV forecast, Italian export figures are still the largest at 20.6 Million hectoliters. Pinot Grigio remains a competitive market due to requests from USA and UK. Moscato juice will have to be booked in June for the next vintage as the pressure on this varietal is high. Red varietals like Cabernet and Merlot remain available in large volumes at cheap prices. Large suppliers would commit for next vintage if contracts were brought to them before harvest.
Posted in: France
France's Bulk Activity Slows Down During April
May 3, 2011 - 03:57
Slow down in the bulk activity this month… till the end of August? Most of the wines remaining on the market are in the hands of the negociants. Many bottlers are concerned about the French market for varietal and generic wines which leads them to believe it will be hard to find needed volume before the 2011 vintage is ready. If we add to this the fact that government doesn’t usually attribute the “IGP Oc” designation until the beginning of January, some buyers may jump on the “Vin de France” category to get their wines earlier.
Posted in: France
Spanish Wines Competitive in Quality to Price Ratio Terms
April 4, 2011 - 00:10
Generic Spanish Red Wine has become difficult to find in large quantities; however some small volumes of Cabernet Sauvignon and Merlot have become available through resale. Generic White Wine is still available and there are a number of opportunities for that varietal. Spain will continue to be an interesting supply country in terms of the quality to price ratio. This is confirmed by the fact that most of the buyers are already looking to the next vintage. There is a 50% increase in volume planned for Organic Wines in 2011 over 2010.
Posted in: France
Italian Bulk Wine Market Stable
April 4, 2011 - 00:05
Overall, the Italian wine and grape market has remained stable since March; however, there are certain varietals that have shown activity. Pinot Grigio remains active as the demand remains high and the volumes decrease, although the price per liter has not noticeably increased. Prosecco and Moscato are still popular varietals and have shown steep price increases. As Vinitaly approaches, activity for the 2011 vintage has been increasing and some two and three year contracts have already been completed by the coop in the Veneto.
Posted in: France
French Merlot and Cabernet Sauvignon Back On the Market
April 3, 2011 - 23:32
Some lots of French Merlot and Cabernet Sauvignon have come back onto the market through resales, although Chardonnay remains mostly sold out. Sauvignon Blanc remains available in significant volumes, and many suppliers are ready to make an effort to move this varietal from their cellars. Prices for red varietals continue to increase and have now reached 0.80€/l.
Producers appear to be showing greater interest in long term bulk wine contracts (three years) with buyers. In the French wine economy, external growth remains a popular way to expand business. Castel has acquired Savour Club (direct sales) and several Chateaus in the Bordeaux area, AdVini (previously Jeanjean) has bought RVSO (a negociant located in the South West).
Posted in: France