Chile becomes UK's number five wine supplier as rivals falter

31 October, 2016

Chile has leapfrogged Spain and South Africa to become the UK’s fifth largest wine supplier, while New Zealand and Argentina continue to enjoy surging sales.

New IRI figures for the year to October 8 show that Australia’s prolonged period of growth is over, with sales down 0.9% to £1.15 billion.

Second placed Italy continues to fall, with sales down 7.9% to £642.7 million. The figures are for still wine only, so they exclude Prosecco, which is the real star performer in the UK trade.

Sales of wine from the USA dropped 6.3% to £633.5 million, while France also tumbled 2.5% to £558.9 million.

The first country in growth is Chile, now number five in the wine origins chart with sales up 4.5% to £441.3 million.

That puts it ahead of South Africa, where sales dropped 8.5% to £436.2 million, and Spain, which saw sales fall 10.3% to £401.1 million.

The figures exclude sales in the on-trade and in some independents, where countries like South Africa are currently doing well.

New Zealand is eighth, with sales up 13.1% to £331.4 million as the nation’s love of Marlborough Sauvignon Blanc shows no sign of abating.

Argentina recorded the strongest growth as sales increased 34.1% to £129.4 million.

The final country is Germany, where sales are down 14% to £67.6 million, continuing the trend that has seen the New World grow at the expense of the Old World.

Chile’s growth has been driven by strong gains in the convenience sector, where Chile now is the third most popular origin.

It also benefited from the standout performance of leading brand Casillero del Diablo, which saw value sales grow 37% in the year.

Clare Griffiths, commercial director at Concha y Toro UK, said: “Chile offers a fantastic range of wines and consumers recognise the value that these wines deliver at the price point.  We have no doubt we will continue to see growth from this category given the strength of the branded propositions such as Casillero del Diablo and Cono Sur that not only provide consumers with reassurance and value for money but also drive category value for our customers.”




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