Grapevine & Wine 01/04/2013

2012 was the Annus Orribilis for global economic vitiviniculture

World wine production in 2012 is estimated at 250.9 Mhl, which is a very low level, particularly for the European Union, due to the reduction in vineyards and the poor weather conditions. In the same period wine exports reached a volume of more than 100 Mhl

The Director General of the OIV, Federico Castellucci, presented the latest global economic vitiviniculture data on 21st March in Paris, enabling a report to be drafted for the year 2012 in terms of the area under vines, wine production, consumption and international trade.

Given the low harvests and the context of the economic crisis, the 2012 report on the state of the world vitiviniculture market "is, on the whole, positive", noted Federico Castellucci.

World trade

In 2012, the world wine market reached a volume of 101.4 Mhl*. Analysis of the figures shows that the low 2012 production is in part responsible for this disruption in the levels of trade, since the reduction in the volume available for export would have resulted in a decrease in the bulk share in vitivinicultural exports.

Considering these developments, the trend is different from that of the last two years in that the 5 leading EU exporting countries' (IT, ES, FR, DE, PT) share of world trade decreased to 62.3% (compared to 65.4% in 2011) to the benefit of the leading countries in the southern hemisphere (ZA, AU, NZ, CL, AR) and the United States (28.2% compared with 25.7% in 2011).

In the context of a modest harvest, Italy remains the leading world exporter in terms of volume with 21.5 Mhl exported in 2012, followed by Spain with 19.1 Mhl. In third place, France's exports recovered with a volume of 15 Mhl, an increase of 6% compared with 2011.

Slight upturn in world consumption

2012 world wine consumption rose to 245.2 Mhl. The year 2012 was marked by the confirmed recovery of internal demand. In Europe, consumption stabilised compared with the previous year, with a rise in French consumption of just over 30 Mhl (+0.9 Mhl/2011).

Particularly outside European borders, development was generally positive, even if pre-crisis levels have not yet been reached. For example, in the United States, wine consumption should reach 29 Mhl in 2012. For its part, China recorded a considerable increase in consumption (+9%).

Continuing decline in the area under vines and in production

The vitivinicultural market is nevertheless still suffering from the impact of the decline in production, especially in Europe. In 2012, the area under vines in European countries continued to decrease to 4212 mha (-0.8% between 2011 and 2012.) This reduction is nevertheless less significant than that of the previous financial year due to the end of the European vineyard-reducing premiums. Outside Europe, a slight increase in the area under vines has been recorded at 3363 mha, (+0.3%).

2012 world wine production is estimated at 250.9 Mhl, a level which may be described as very low, particularly for the European Union where, excluding juice and musts, it may reach 141.3 Mhl. This is a decline of 10% compared with 2011. France produced 16.8% less, and the decrease in Spain was 11.2%.

In conclusion, Federico Castellucci emphasized that Argentina, which will organise the World Congress of Vine and Wine in 2014, has provided the OIV with its President and the Catholic Church with its Pope and welcomed the fact that world vitivinicultural trends, to repeat the quote used by Pope Francis during his first appearance in Rome, "like good wine, get better with age".

di T N