China’s homegrown red wine faces bitter competition as foreign brands catch up in luring domestic consumers. A report released Friday [10 October 2014] showed decreasing sales of domestic red wine, which stood at 40.8 billion yuan (6.64 billion US dollars) in 2013, a year-on-year drop of 8.52 percent. Total sales volume of imported red wine dropped by 1 percent to 9.68 billion yuan last year, or about 20 percent of the Chinese market, and is still growing, according to the Fortune Character Institute (FCI), the luxury research and consulting agency that compiled the report…Full Article: The Global Times Oct 2014
- In 2013, foreign red wine prices hit a high of US$4.15 per liter, a 3.5% increase from 2012.
- According to the Fortune Character Institute (FCI), foreign wine will account for 50% of China’s consumption by 2020 and 80% by 2030.
- As of 2013, China’s wine consumption was centered in Tier 1 cities such as Beijing, Shanghai and Guangzhou. However, industry representatives are optimistic that Chinese wine consumption will spread to Tier 2 cities, with overall consumption expected to rise from its current level of 1.1 liters per capita (world average is over 3 liters per capita). According to the Global Wine Industry Association, Chinese wine consumption is expected to reach somewhere between 2.8 to 3 billion liters by 2017. By 2018, wine sales in China are forecasted to reach approximately US$32 billion.