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Posted: Tue, Jun 19 2007. 5:00 PM

Hails to Vinexpo 2007

Vinexpo kicked off in Bordeaux with acts of nature and democracy alike hinting at difficult days ahead. It was welcome by heavy rains and hail on Sunday evening while Bordeaux mayor Alain Juppé, a staunch supporter of Vinexpo, has lost his electoral bid for the French parliament.

By Monday morning the skies and overall mood had calmed enough for Juppé, French Agriculture Minister Christine Lagarde and others to officially welcome the wine world to the region with optimistic words about the future.

Noting that global wine sales continue to rise, Lagarde highlighted how France's wine industry was being helped by the growth in exports, particularly to the United States, which is the country's biggest foreign market. "I lived in Chicago for several years and can vouch for the exceptional prestige which French wines enjoy in the USA," she said. She also stressed the importance of the emerging Asian markets, such as China and Singapore. Vinexpo returns to Hong Kong for the third time, in 2008.

'At Vinexpo 2005, French wines had experienced six years of falling export sales,' said Lagarde, who took over from former agricultural minister Dominique Bussereau a month ago. '2006 saw a reversal of that trend; with exports up 11.4%, and export profits currently standing at €7.7b, equivalent to 150 Airbuses,' she added.

Lagarde also devoted much of her speech to the continued challenges that French winemakers face, and said the government must continue to work to bring down trade barriers, develop good relations with key markets which include India, Japan and Russia, and fight to protect recognition of geographic origins, such as the French AOC.

To be more competitive internationally, she pointed to the need to institute industry reforms and make French wine more understandable to consumers, by methods such as putting the grape variety on the label.

Over 45000 persons from 144 countries are expected to pack Vinexpo's several large exhibition halls in an unprecedented through Thursday. With about 2,400 exhibitors from 45 countries on hand, producers fight to get as much of buyers' attention as possible.

Following the breakdown of air conditioning breakdown in 2003, it appears the Show is becoming too hot to handle. Nearly 2,000 bottles for Wines of South Africa (WOSA), Fosters, Gallo, Distel and Cape Legends were stopped by the customs and excise people at the Belgian-French border as they made their way from Antwerp to Bordeaux.

In a seemingly bizarre situation reminiscent of Indian Customs & Excise officials (who create problems but always come good because of the merciful intervention of senior officials at the eleventh hour), three different explanations have been given for stopping the shipments. It is unlikely that the shipment will be released before the end of the Show.

Also competing for guests' time are lavish dinners and parties at châteaux, more than 100 tastings, conferences and roundtables---including a presentation on global financial trends and a debate on how to promote moderate alcohol consumption.

Comments:

June 20, 2007 3:17 PM

#Posted By : Andre Morgenthal


Dear Subhash,

Hope you are well - I have been following your newsletters with keen interest and I have to compliment you on the content: well researched and covers everything in the wine world, internationally.

Given the situation with the SA wines at Vinexpo, I thought you might find this of interest - we issued this yesterday to interested parties. I am waiting for news on the arrival of the wines and will also forward you the update later.

Vinexpo 2007 has again proved to be a challenging experience, reminiscent of the unbearable heat of Vinexpo 2003 and the logistical challenges of Vinexpo USA 2004, Chicago. We thought we'd update you on the process in order to keep you up to speed and to dispel any rumours.

This year, 12 producers are present on the SA national pavilion. Cape Legends, Distell and Gallo did not receive their wine in time for the show's start on Sunday, 17 June 2007. The shipment (which included wine from other countries, e.g. Fosters) was impounded at the Belgian-French border post, enroute from Antwerp. According to Dalene Steyn (Market Manager Europe), who is currently at the show, closer investigation revealed that an incomplete documentation on the Belgium-France leg of the trip caused the dilemma. The
wine was released and sent back to Antwerp for re-issue of documentation.

The logistical personnel of Wines of South Africa (WOSA) have been working non-stop since Saturday to assist the shipping agent contracted by the WOSA service provider in Europe to resolve the issue. We are yet to establish which of the subcontractors in Europe is responsible and whether WOSA can lay a claim for recuperation of costs incurred by producers. One can, of course, not put a figure to the potential loss of business/exposure due to
the absence of product to present to buyers and media.

At this hour (late PM, 19 June 2007), the shipment of SA wines (approximately 150 cases) has been released and is on its way to Bordeaux - hopefully to be on the stand by tomorrow morning.

Kind Regards,
Andre Morgenthal
Communications Manager

 
 

 
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