Chilean Premium Wines.-/ The positive trend of Chilean wine sales since 2016 was slowed in April 2017, according to information provided by ODEPA (Bureau of Agricultural Studies and Policies, Chilean Ministry of Agriculture).
Wine industry analysts explained that this radiograph is a turning point and that the UK would be the key factor behind these results.
According to data provided by Wine Trade Monitor for the period 2017-2018, the leadership that would reach the commercialization of Chilean wines among the producers of the so-called New World, would be above countries like Australia (62%) and USA (58 %). This scenario was likely because the initial results of 2017 showed a recovery after the harvest of 2016, a situation that was tarnished in April.
According to Odepa, almost all categories of Chilean wine exported showed a decrease, which was reflected in the comparison of April 2016 versus the same month of 2017, which showed that the volume of bottling shipped abroad fell by 3.7%, from 36 million liters, to 34.6 million liters.
In the case of bulk wine, the difference is even more pronounced: it fell by 22.2% in the same period.
The average price of bottling, meanwhile, fell by 3.06%, while the bulk – due to the significant lower availability that there was, say from the industry – had a rise in the average value of 7.3% that month .
Consequences of Brexit
The most significant factor for the bottled wine that clouded April was the impact of Brexit, which would have been weakening for several months to the vineyards that have a high participation in that market. Analysts pointed out that the biggest fall in shipments occurs in those shipped to the United Kingdom, with a variation of 18.7% in bottlenecks, and a contraction of 13.6% in bulk.
If other markets are observed, such as the case of China, the import of Chilean bulk wine decreased by 43%, but increased its value by 14.2%. That is, less wine is being exported, but at a higher average price, which is a very positive change for the positioning of the national wine and which responds to the strategies implemented by the sector.
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