Top 10 vineyard investments19th April, 2012 by db_staff
The East Asian state is on the cusp of something special in wine circles and it offers huge potential for growth of investment in their vineyards.
Last year US wine exports to China grew by 42%. Within three years, greater China will spend more money on still wines than the UK, and become the world’s second biggest wine consumer by value, after the US.
This all points to a huge opening on the Chinese domestic wine market. Consumption of wine by China and Hong Kong increased by over 100% between 2005 and 2009, from 46.9m to 95.9m cases. This figure is expected to increase a further 20% by 2014, to 126.4m cases.
According to Vinexpo – in terms of domestic production of wine, China is set to increase by 77% over the next four years, from an average 72m cases to 128m cases.
Already big drink companies are seeing the potential in the Asia market. Domaines Barons de Rothschild has begun construction of a winery in Penglai in China’s Shandong province in order to capitalise on the thirst for fine wine in Asia. And there are reports that China is warming to white wine too.
One good tip is that the potential of the Chinese market lies in the less-affluent regions.