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Wine Network Newsletter - Jul 5, 2011

Hi

No matter whether you show it as a bar graph, pie chart or a 3-D area chart the figures all draw the same conclusion.  2011 was New Zealand's largest grape harvest with 328,000 tonnes +-/ of fruit being harvested from 33,600 hectares of land.  All this with two of the three main regions down in production due to climate conditions - Gisborne -21% and Hawke's Bay -9%!

Wine is one of New Zealand's fastest growing exports up 22% in 2010 and 30% in 2009.  This growth is particularly impressive given the current state of the global economic environment and the strong NZ dollar, which has risen strongly against both currencies of importing countries and competing exporters.

Bulk wine exports reached 28% of total exports in 2010, up 22% from the previous year.  Much of the bulk wine exports are destined for New Zealand's to export destinations - the United kingdom, Australia and the United States.  In 2010 Bulk wine sales accounted for 34% of total wine exports to the United kingdom, 33% to Australia and 19% to the United Sates.  An estimated one-third of the total is bulk wine exported by wineries for bottling under their own label overseas.  Wineries are looking at all options for reducing costs, minimising carbon foot print and to achieve that competitive advantage.  The balance is for trade sale whether that be grocery or retail. 

Aside from trade sales of winery labelled product, bulk wine movement has a considerable benefit to the wine industry.  It cleans out tanks, reduces inventory accumulation, provides important cash flow for wineries and more importantly, can open new channel markets not just for a single producer or retailer but for the whole New Zealand wine industry.

New listings are coming through and are now posted on the website. Remember that some parcels may be split by wineries so if there is something that may be of interest, it could be worth a look. If you have wines surplus to your requirements, either bulk or in clean skin formal that we do not know about then you might be missing out. Listing wines either in bulk or clean skin is free. You can't sell a secret! if we don't know, please make us familiar with your position (buying or selling) and we will direct enquiries through our database.

Click on this link for direct access to the website - www.winenetwork.co.nz

If this e-mail has gone to the wrong address or should be redirected then please let us know so we can send information to the correct person. Our purpose is to inform and not offend.

Thanks and regards,

Michael Selak
Fern
Wine Network NZ Limited
Office: 09 489 3644 | Mobile: 021 584 486 | Web: www.winenetwork.co.nz

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