The world’s annual wine consumption is equal to 10,000 Olympic-size swimming pools. The global demand for wine is increasing, and buyer preferences influence the grape varieties grown, the method of production, and the flavour combinations used. While many people in Europe experience a bottle of wine with their meal or a glass or two to relax after work, currently, there are new and emerging markets just waiting for wine exporters to seize.

Global Wine Industry

France, Spain, and Italy produce half of the world’s wine. Vineyards thrive throughout the summer months due to the Mediterranean climate, and a wide variety of grapes are quickly grown and harvested. Red wine is the most popular type of wine, accounting for 60% of all grapes used in wine production worldwide.

While wine is produced commercially in over 70 countries, the United States is the world’s largest market for wine exporters, with 30 million hectoliters consumed each year. Wine consumption in Europe is higher per capita than in the United States, with a glass of red or white wine consumed daily with an evening meal or while hanging out with friends or family.

The wine market is divided into regions, grape varieties, colour, and distribution channels. Still, wine, sparkling wine, fortified wine, and vermouth are all types of wine, each with its purpose and target market. Wine exporters typically ship wine crates to restaurants, supermarkets, wholesalers, and hotels worldwide. 

New Trends and Emerging Markets

As consumers become more aware of the health benefits of drinking certain types of wine, there is a huge market for premium wine products that offer additional health benefits and unique flavours. Changes in drinking habits worldwide will open up new opportunities for innovative and modern wine brands, ranging from tropical flavours and Riesling to fortified wine.

Drinking red wine is a Chinese tradition because the colour red is thought to be the lucky one. China is one of the world’s leading red wine markets. Because there is no import tax on wine in Hong Kong, it remains a significant market for wine exports. However, Asia-Pacific demand for high-quality wine extends to India, growing at a 7% annual rate. Furthermore, South Korea, the Philippines, and Japan are introducing the taste for wine, positioning them as global markets for established and new wine companies to enter. But that isn’t all. With a growing middle class, Brazil and Argentina are also playing critical roles in the global wine industry’s future growth, sparking a surge in marketing campaigns by significant importers to promote the culture of wine drinking across South America.

Leading Wine Exporting Countries

Let’s take a look at the top five wine-exporting countries in the world, as well as the types of wine they produce and ship around the world.

• France

France’s wine exports have doubled in less than two decades. France accounts for 29.2 per cent of total global wine exports and is worth $10 billion. With parties, gatherings, and celebrations stopped due to the global pandemic, the sparkling wine market, led by Champagne, fell by $754 million. Vineyards throughout Bordeaux were also hard hit by a drop in US imports and Chinese demand.

• Italy

One of the essential products for the Italian manufacturing industry is red and white wine. However, wine production is affected by the weather, precisely the average temperature in the region. No doubt, Italy is a significant wine exporter, shipping $7.2 billion annually to Germany, the United Kingdom, Portugal, the United States, and France. Still, its success is based on the climate and seasons.

• Spain

Spain produced 40.7 million hectoliters of wine in 2020. Spain’s climate and infertile soil make it more challenging to grow grapes and harvest in bulk, making it unable to compete with France and Italy. Regardless, Spain’s wine exports are valued at $3.1 billion. 

• Australia

Australia currently has over 2,000 wine exporters, with shipments to 111 countries around the world. Every year, $2.1 billion in wine is exported from Australia to foreign buyers. Australia’s largest export markets are China and the United Kingdom, with Shiraz and Cabernet Sauvignon being the most popular red wines. 

• Chile

Chile exports roughly 70% of its total wine production to approximately 150 countries. While wine production is big business in Chile, vineyard tours are a huge source of revenue. Chilean wine tourism has gained international acclaim. International media has promoted wineries throughout the country, and every year, approximately 611,000 tourists visit Chile vineyards to sample a flavour able sort of red wine. 

Benefits of Exporting Wine

Despite concerns about the effects of climate change on wine production, the global wine industry is expanding. Vineyards all over the world grow grapes and produce a diverse range of red and white wines. If you live in a hot climate where grapes grow abundantly, you might want to consider selling your high-quality produce abroad. Many international buyers are looking for direct sourcing and opportunities to collaborate with a one-of-a-kind wine exporter who can help them gain a competitive advantage. So, here are some of the advantages of exporting wine to the international market.

• Introduce New Flavors and Types of Wine

You can introduce this unique flavour to an entirely new market by exporting your unusual wine overseas. This is also true for vegan wine and low-calorie wine. While a new style or taste may not be appealing to local buyers, it may be a huge success in another country.

• Discover Untapped Markets

Exporting wine to developing countries such as Argentina and Mexico allows you to increase sales and capitalize on large populations, growing middle classes, and people who are just discovering a taste for wine. Argentina has the second-largest national economy in South America and is classified as an emerging market.

• Double Your Profits as a Manufacturer

In China, there are approximately 80 million regular wine drinkers, and therefore the market is estimated to be worth $16.5 billion. With most drinkers aged 19 to 29, China represents an enormous potential for wine exporters worldwide. This means that the popularity of wine will increase year after year as the younger generation grows older and drinking wine becomes a significant part of social society.

• Seize Seasonal Opportunities

Red wines with warmth include Pinot Noir, Merlot, and Malbec. Ideal for drinking during the colder months of the year or with comfort foods like spaghetti, lasagna, or meat. Exporting crates of high-quality red wine overseas can help you sell red wine all year, even when your home country is basking in the sun and drinking refreshing and fruity white wines. By selling wine all over the world, you can maximize your sales potential 365 days a year.

• Tax Exemptions

Another reason to export wine is to save money on taxes and increase your profit margins. For example, the US has created many new issues for US importers who have never had to pay exorbitant import duties when purchasing foreign wine. Due to a schism between the United States and the European Union, wine imported from the United Kingdom and Spain is now subject to a 25% tax in the United States. Some businesses are finding it extremely difficult to remain open as a result of the tax increase. However, wine exporters from South America, Australia, and New Zealand may take advantage of this by offering more affordable deals to US customers.