Global wine market sees value outstrip volume growth as drinkers cut alcohol consumption
Worldwide consumption of still and sparkling wine is set to grow by 2.15% in volume to 2.7bn nine litre cases, with a value of $207bn by 2022, according to latest figures from the IWSR.
As health concerns drive consumers to cut down their alcohol consumption, value outstripped volume growth across all regions, but was particularly marked in the Americas and Asia Pacific.
While increases in volume and value were more tempered in Europe, the region continues to command the lion’s share of the global market, accounting for 58% of worldwide consumption, and half of the total value.
The US retained its place as the single most valuable wine market with a value of $34.8bn in 2017, followed by France in second place at $16.7bn, and China close behind with a value of $16.5bn. However, according to Vinexpo/IWSR research, China is predicted to leapfrog France by 2020 as the second most valuable global wine market which by 2022, is estimated to have hit over $19.5bn.
Not only is the US the world's most valuable market, but also holds the top spot in terms of volume, at 318m cases, followed by Italy at 266m, France 250m, Germany 224m and China 156m.
Germany is the world’s leading importer of wine, shipping in 126.3m cases, followed by the UK at 114m cases. By contrast the US shipped 79.9m cases and China 61m.
And it will be premium wines, priced between $10 to $20 that will be the biggest driver of value growth for wine, up by 15% between 2017 – 2022, with China and the US key contributors to this trend.
Red wine continues to dominate global wine consumption, accounting for a 55% share, though that is predicted to dip below 54% by 2022. Over the same time scale white wine and rose consumption are set to rise.
Meanwhile, sparkling wine sales are soaring, particularly in Europe which currently accounts for 65% of the 260.2m cases sold globally and 55% of value, which currently stands at $28.9bn.
Within three years volumes are expected to rise to 281m cases globally, with a value of $32.9bn. However, while European sales of sparkling wine are surging, growth, particularly in the UK is expected to slow down, with the latter adding an additional 1.8m cases between 2017 and 2022. The US is expecated to drive importer sparkling wine growth in the next few years by adding 4.6m nine litre cases.