Spanish wine surpasses Italian in terms of exports. Specifically, they have been exported in the first quarter of 2021 More than 86 million liters. Also in the world context, sales have increased slightly with an increase of 0,3% which augurs a beginning of recovery in the international market.
Lots of sales, bad prices for Spanish wine
Although Spain is leading the sale of wine, the negative part is that it does so at really very low prices. The increase in sales of bulk wine and Bag in Box makes the average value of a liter of Spanish wine of only € 1,26 / liter on average. While the quality of Spanish wine, in general, continues to rise, the price falls. The same thing happens with the increase in the production of organic, vegan, etc. wines and the low sale prices of these.
The large volume of bulk wine sales for the commercialization of White marks al international retail sector is one of the causes of this price. So is the lack of a better marketing strategy and the perception of the truly improvable country brand. The lack of this strategy and sufficient investment in marketing invoice the value of the wine not only its price but also its prestige.
Although some experts say that we are improving, the problem is that the others improve more and also faster. We need to value more our products for not relying solely on a price-only sale which leads to paying very low prices to winegrowers. All this also leads us to the abandonment of many lands and to accentuate the problem of emptied Spain. We need to go out and sell to the international market, with a generation already prepared for it, give value to the product. For all this you need support, ambition, strategy and courage of the appellations of origin and that they have sufficient resources.
France and Italy leaders in value
In the Top in value of exported wine, we continue to find France a long way from the second position held by Italy. In this last year, France has lowered prices by an average of 4,4% but its exports invoice 330% more than Spain. The average per liter of French wine stands at € 6,52 / liter.
For its part, Italy, although low exports, managed to increase the value of its wines by 1,3% with a price per liter of € 3,05 / liter. In this way, although selling less wine than Spain, its international turnover is 235% higher than Spanish wine.
The international market
The three great leaders in the world wine market are still France, Italy and Spain. Only these three countries represent 53% of the world wine market. Together with Australia, Chile, South Africa, Germany, the United States, Argentina, Portugal and New Zealand they represent almost 90% of the international market. The average price of international wine is € 2,89 / liter.
Finally, note that the increase in production from non-exporting countries will affect the international market since they will cover their market share. An example can be China with its increased production and warehouses.
Another important factor is the consumer trends where you have to mark the future strategy. These point to a decrease in consumption in the younger population and to a shift towards organic wines, of less alcohol, with different presentations and with greater marketing and information to national and international consumers.