Export-Import Wine opportunities in China. China is now the world’s fastest growing wine consumption market. Here you will find some data that may help you to know Chinese Market.

Over the last ten years, wine consumption in China has exhibited the strongest growth amongst all alcoholic drinks. In 1999, retail wine sales were only 3.76 billion RMB. By 2008, this increased to about 20 billion RMB, an average annual increase rate of about 20%. For the first time in 2009, bottled wine imports exceeded bulk wine import volumes. Overall volume sales of grape wine saw a 32% increase from 2008 to 2009, mainly from the sale of still wine. Still wines are by far the preferred product in the category, accounting for over 90% of total sales.

China wine consumptions by Volume 2004-2009

Datamonitor forecasts that the Chinese grape wine market should increase by roughly 93% by 2014. Datamonitor also forecasts a 90% total increase from 2009 through 2014 in consumer expenditures on wine.

In terms of quantity, annual per capita consumption of wine in China is still only around 0.9 litres per annum, a fraction of the consumption in western countries. However wine consumption has been growing at around 7% per annum; a much higher rate than traditional wine drinking countries which have been growing at 1% only in recent years.

China wine producers - per capita consumption

Red wine has become particularly popular in China, due to its perceived health benefits, in addition to the fact that it is more heavily produced and promoted, and Icewine’s sweet taste has proven popular amongst Chinese consumers.China is also becoming a wine producing country in its own right, and in the past few years has made some progress developing local premium wines. The top four domestic companies control over 27% of the entire grape wine market in China. – COFCO – Changyu – Dynasty – Weilong . Some European wine houses have started producing wine in China, particularly in the Penglai region of Shandong Province which has climatic and soil conditions similar to those of the world famous wine region of Bordeaux, making it a suitable growing region. The quality and brand recognition of local wines is increasing, with the local industry recognizing that brand and packaging are important and spend large amounts of money on advertising and brand building. Imported premium wines are available mainly in large urban cities and demand is fueled by living foreigners and expatriates, although rising consumer awareness and sophistication has been a key driving factor in the spike in grape wine sales recently seen in China. French wine was the first foreign wine imported into China. Dynasty Wine Ltd. set up in 1980, was the first joint venture in wine industry.

Company and brand Share analysis

In Asia, wine sales have doubled over the past decade, with China and Japan together accounting for 80 percent of the total Asian market (Thorpe 2009). China only began importing bottled wines in the last 15 years or so, and only in recent years, have consumers begun to develop a taste and preference for particular wine types that compliment food.

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