US$100m to promote Argentinian wine exports
- Wednesday 14 April 2004
The Argentinian Viticultural Corporation (Corporación Vitivinícola Argentina -COVIAR) has been created under the terms of the country’s Viticultural Strategic Plan 2020.
One of its main objectives is to achieve Argentinian wine sales of US$2,000m by 2020, compared to $700m current sales. The second aim is to gain 10% hold of global wine exports – compared to 1.5% of the world market share Argentina has at present.
The strategy includes an investment plan of over $5m for the next 4 years. After that, Argentinian wineries are expected to contribute $5m per year, making a total of $100m in 20 years.
The COVIAR combines 17 representatives from private and public sectors. The former has 12 members including Bodegas de Argentina, Unión Vitivinícola Argentina, Centro de Viñateros y Bodegueros del Este, and Cooperativa Vitivinícola Argentina. The remaining members are five government officials from different wine-producing provinces.
The new organisation was welcomed by all industrial sectors.
‘It represents an excellent way to promote exports since Argentina’s consumption rates (34 litres per capita) will not increase and it has become necessary to sell our wines in other parts of the world,’ said Juan Carlos Pina, a general manager at Bodegas de Argentina.
Similarly, Enrique Thomas, current president of the National Institute of Viticulture (INV) said, ‘it is a new model created by the sector as a substitute for the previous unbalanced development programs, which allowed for a segregated, small producer versus successful companies, system’.
The priorities of the organisation include reaching markets in the northern hemisphere, developing the Latin American market and attempting to integrate smaller must and fresh fruit producers into the wine business.