Asia fine wine demand sends BI sales soaring
Date£º 2017-07-26 10:47  Source£º www.decanter.com    Author: Laura Seal   Translator:
  Asian fine wine buyers and the ¡®most successful Bordeaux en primeur campaign in seven years¡¯ have helped UK-based wine merchant BI to a 43% rise in sales in the first half of 2017.

Asia fine wine demand sends BI sales soaring

Hong Kong, one of the Asian markets behind BI's cash injection... Credit: Keng Po Leung / Alamy Stock Photo

 

BI, formerly known as Bordeaux Index, said that sales hit ¡ê50 million in the first six months of 2017, up 43% compared to the same period in 2016.

 

BI attributed the boost to a jump in Asian demand, with clients from the area taking advantage of more favourable exchange rates and accounting for 50% of the merchant¡¯s total sales in the half-year.

 

Bordeaux 2016 en primeur generated ¡ê14 million, versus ¡ê8.5 million for the 2015 vintage campaign, BI said ¨C proving that it wasn¡¯t a disappointment for everyone. This led to a 49% increase in BI¡¯s overall Bordeaux wine sales in the half-year.

 

Sales of Burgundy, Champagne and US wines were up by more than a third.

 

The results offered some hope for the UK market, with UK buyers accounting for 70% of Bordeaux en primeur sales, despite concerns about the impact of sterling weakness and political tumult.

 

BI¡¯s Asian success was led by its LiveTrade platform, which its said generated a turnover of ¡ê17.2 million in the six months and saw Asian traders behind 70% of sales.

 

It added that it has also seen a 79% increase in rare spirits sales, heavily driven by Asia-based buyers¡¯ interest in rare whiskies.

 

In France, Rh?ne could be a region to watch, BI said.

 

Top producers, such as Chateau Rayas, Jean-Louis Chave and Henri Bonneau, have seen sales increase 64% so far this year, ¡®due to greater demand for back vintages being bought as an alternative to Burgundy¡¯.

 

Looking ahead, BI¡¯s managing director, Gary Boom, predicted that the fallout of 2017¡¯s disastrous weather in some parts of France would be good for those with well-stocked cellars.

 

¡®The plight of the 2017 harvest, which has been heavily hail and frost affected, suggests that a further future supply constraint is to be incorporated.

 

Whilst this is awful news for affected winegrowers, it is at least welcome news for holders of stock.¡¯

 

(Read more at http://www.decanter.com/wine-news/jump-in-asian-demand-sends-bi-sales-soaring-to-50-million-373131/#i2HOFsxcpJ3G6oor.99)

 

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