China a ¡®huge opportunity¡¯ for Australia
Date£º 2015-03-05 14:55  Source£º thedrinksbusiness    Author: Tom Bruce Gardyne   Translator:
  China¡¯s post-boom hangover hit Australia far less than Bordeaux, and the potential for top-end wine is as great as ever, according to Andrew Caillard MW.

China a ¡®huge opportunity¡¯ for Australia

Andrew Caillard MW

¡°For the smaller boutique wineries in Australia there is a huge opportunity,¡± said Andrew Caillard MW about the Chinese market, after a recent trip there.

 

The fine wine specialist for Woolworths Liquor and co-founder of Langton¡¯s wine auctions, Caillard told The Australian: ¡°I think Australia is extremely well-placed for the challenges of the future. We have an opportunity to play in the fine wine space within China.¡¯¡¯

 

He felt the greatest potential lay in the country¡¯s third and fourth tier cities with those in the first and second tier ¡°relatively saturated with fine wine.¡±

 

Compared to Bordeaux which tumbled 25% off its 2012 peak of 6 million cases, Australian wine shipments to China were down 8% last year thanks to the government¡¯s anti-corruption measures. Australia¡¯s third largest export market after the US and Britain, was helped by a softening of the Australian dollar, down from its US$1.10 high in mid-2011 to a current US78c.

 

Caillard was associate director on Warwick Ross¡¯ award-winning documentary ¨C Red Obsession on China¡¯s newfound love for Bordeaux. When released in Australia in August 2013, audiences described the film as: ¡°a cautionary tale about China¡¯s power and presence in the world,¡± according to Ross.

 

The Chinese government crackdown on conspicuous consumption ¡°hit us very hard, very suddenly,¡± Allan Sichel, CEO of Maison Sichel and VP of the CIVB told db. Caillard added that Australia¡¯s leading wine brands had not been caught up in the ¡°rampant price increases¡± that Bordeaux imposed before the crackdown.

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