Alert on exports of French wines – Les Echos

After two consecutive years of decline, exports of wines and spirits reached a record level in 2015, to 11.7 billion euros. With a balance of trade balance to 10.4 billion euros, the sector regains its second place behind the aircraft. “ France has sold the equivalent liquor Airbus 128 ,” says Christophe Navarre, President of the CFTS (Federation of Wine and Spirits). The depreciation of the euro against the dollar, the pound and the yen has clearly served as foreign trade.

A worrying slide wines

However, the scores of still wines (excluding champagne) are quite disturbing, with a decrease of 5.2%. “ France continues to lose market share. For the third consecutive year volumes are down , “says Christophe Navarre. Last year, exports fell over 18% in Germany and 6% to the UK. In fifteen years, French exports were down 44% in volume and lost a third of their value according to data from the CFTS. “ We suffer from very inadequate offer while Chile, Argentina, Australia and our Italian and Spanish neighbors increased production ,” said Christophe Navarre.

France has accumulated three harvests both modest in volume and poor quality between 2012 and 2014. The 2015 vintage will be exceptional but the harvested volumes will not offset losses Production of previous years. “ France absolutely must replant. Discussions are underway in all regions, but the operating conditions have not yet been arrested. “All quality wines are on the downside. Whether AOC (-1.1%), protected geographical indications (-5.4%) or worse grapes (-16.6%), which were supposed to be the workhorse for French fight against the competition of the New world. In value terms, the results are better for AOC (+ 4.3%) and PGI (+ 2.6%) but remain negative for varietal wines (-2.4%) and table wines (-4 %).

Two winners

The two winners of exports in 2015 are the champagne and cognac. It operates an impressive comeback, with an increase of 9.4% in volume and 20% in value after being heckled much the Chinese market for three years. Between them, they account for 70% of the increase in foreign sales. Two countries are driving growth, the United States and China, which account for 84%. Cognac benefits from the end of stocks in China and demand dynamics very American. In both cases, the qualities of cognac are accessible. In the US, the “VS” pulls sales. The VSOP is doing well. Trendy cocktails favorably plays with African American and Hispanic consumers. In China, excessive luxury in the matter are completed. The market normalizes the benefit of the middle classes

.