Bordeaux First Growth 2016 Vintage raised almost 10%

2017-06-20 09:40 WBO Global

Write | WBO Morris       Translate and Edit | WBO Kiwi

Last year, price of Bordeaux En Primeur 2015 vintage increased sharply, some of which raised close to 2010 vintage. While rising trend continued this year, Bordeaux Grand Cru Classes first growth 2016 vintage went up almost 10%, average price of Chateau Margaux, Chateau Haut-Brion and Chateau Mouton Rothschild increased about 9%, DBR lafite increasd 8.3%.

Divergence emerged among importers when they were confronted with the price rise. 

“Chinese-styled consumption” for Grand Cru Classes

With demands for Grand Cru Classes, Ge Zhengbo, general manager of Ningbo Arksky Supply Chain Management Co., LTD., said, “Bubble of Grand Cru Classes become bigger and bigger with the surge of 2015 and 2016 vintage. I am opening arms to big risks if I buy them at the present stage. No one can tell the upvaluation space even hold them in stock for years.”

“Chinese recognition towards Grand Cru Classe has raised a lot compared to the past seven or eight years, when buyers had no idea of price trend and didn’t affected by it in the fine-wine-rush. But now they are quite clear at the price of Grand Cru Classes.” Ge added. “Many rich Chinese buy and consume Grand Cru Classes, not just because of the wine itself, their social-related purposes are the same even in nowadays. They detected that price of such wines go beyond their expectation after learning the price system. Their purchasing behavior will definitely be decided by price instead of the quality of 2016 vintage.”

Price of En Primeur overtopped othervintages in stock

 

Wu Xianghua, CEO of Fine West, said, “Many domectic fine wine importers are still hold the wait-and-see attitude, but buyers from Europe, North Amercia and Japan are still chasing after 2016 vintage wines, I guess it’s the differences of our business way.”

“Chinese importers became so sensitive about price rise, that’s why we found several importers accustomed to buying great vintages and less wines. Price of 2016 vintage overtopped other vintages in stock which provide importers many good choices. For example, Chateau Cheval Blanc sells at 500 Euro, but we could easy to find more vintages that under this price in stock now.” Wu analyzed, “2016 vintage has nothing to do with Chinese attitudes, especially top Bordeaux wineries. They have changed export proportions which reformed market share and not rely on China market like Bordeaux 2012 and 2013 vintage. However, many top brands importers are facing awkward situation, their purchasing behavior of 2016 vintage will definitely affect their import proportion for the next vintage.”

It’s worth paying for some of the top wines for future upvaluation space

Cheng Shengliang, general manager of H&L Wines, pointed out that Grand Cru Classes are on the overall price rise trend, Chinese will import after a period of consideration.

“Production volume of certain Bordeaux top wineries are not large enough, just 200,000 or 300,000 bottles each year. Wineries are facing stockout when received several-thousand bottles order. Judging from Chinese demands, top wine drinkers are increasing with chasing-rise psychology. New vintage is sure to have its place within Chinese consumers.”

In addition, Wu has the same speculation for Grand Cru Classes price rise trends. Cheng also highlighted that price starts to go up from Mid-Autumn and suppose to fall after 2018 Spring Festival.