Future is rosy for red wine
- Wednesday 3 September 2003
Red wine is tipped to lead the way in growth, with white and rosé wines also predicted to do well with sales increasing by between 5 and 20%.
Champagne and sparkling wines should also do well after the post-Millennium decline in sales. They may well match – if not overtake – the figures of the white wine sector with a possible rise of around 17.5%. This is partly due to their popularity with younger consumers as a social drink.
The reasons for the growth, according to the analyst Euromonitor, are cultural and social. As consumers become more aware of wine culture, its image and its apparent health benefits, the expansion of the market should follow.
In developing regions such as Africa and the Middle East, Eastern Europe and Asia-Pacific, growth in volume and value should increase from around 25 to 50%. Urbanisation and the growth of the middle class – the 'core consumer base', are cited as the main reasons for the predicted increases in these regions.
The health issues surrounding wine may increase sales in certain areas, where studies are showing that in moderation red wine may indeed be beneficial to the drinker. Paradoxically, people in traditional red wine-drinking regions such as Italy and France are cutting down on consumption to improve their health.
Although the Latin American market and the fortified wine/vermouth figures are not as promising, the study said that the 'wine market remains positive and the future is bright'. The only hindrances would come from the surplus wine in America and Australia and: 'one of the most unpredictable elements affecting the business; weather'.