UK buyers turns to New World suppliers following Brexit

By Fiona Holland
The UK is buying more New World wine since leaving the EU, according to a report from The Bulk Wine Club on the country’s 2020 buying activity.
Shipments from the US surged by 10% in volume and 19% in value, while Chile was also a winner reporting an increase of 11% in volume and 12% in value last year. Australia, the second most popular supplier to the UK market saw a 7% increase in volume and 16% in value. But it was New Zealand which posted the biggest overall volume increase, with exports to the UK surging by 15%, and 12.5% in value.
José Luis Murcia, the president of AEPEV (Asociación Española de Periodistas del Vino) said : “Ultimately, we should keep track of these figures as they indicate an upsurge in the UK’s purchases from the New World.”
While EU countries continue to be the leading suppliers of wine to the UK they have seen a bigger decrease in value and sales compared to their New World rivals. Italy, which is still the top seller to the UK, saw a drop in value of 10%, while France saw a 9% decrease.
The Bulk Wine Club claims one of the main reasons for the UK buying more international wines is a result of the uncertain nature of tariffs following Brexit, which will affect the supply in British wine industry.
With regards to the types of wine being bought, data collected by the Spanish Wine Market Observatory showed that bottled wine sales remained similar to previous years, with a small increase of 1% in volume, while value dipped by 0.7%. Sparkling wine sales, on the other hand, were down by 5% in volume, and a 14.5% in value.
The data also showed an increase of around 11.5% in the amount of bulk wine and bag-in-box wine being purchased by the UK. Bulk Wine Club says that this category comprised 41% of the market share in 2020, in comparison to only 12.5% back in 2000.
Photography: Lake Pukaki, New Zealand, by Casey Horner