US wine exports grow 1.6% in 2014
The Wine Institute believes 2015 will be a challenging year for US wines in the EU given the weakening of the euro at the back end of 2014, and the consequent re-adjustment of the market
US Exports of wines from the US, around 90% of which are produced in California, grew in 2014 to reach 442.7m litres, the equivalent of 49.2m nine-litre cases.
In a recent post, Wine Institute & Global Trade Information Services relayed that while volume was up 1.6%, value was down -3.9% to $1.49bn. Although down on the previous year, revenues nonetheless stood at their second highest point on record, representing an increase of over 60% compared to 2009. Value decline was attributed to foreign exchange rates as well as the slowdown seen at ports on the West Coast, which began midway through 2014.
Volume growth was attributed largely to three bumper harvests seen between 2012 and 2014, which eased supply constraints. The European Union (EU) represented the largest outlet in volume and value terms, accounting for just over 50% of volume and just short of 35% of value. Canada was not far behind at just over 20% of volume but an impressive 32.5% of value. Japan, China and Hong Kong were the third, fourth and fifth largest destination markets respectively.
The Wine Institute believes 2015 will be a challenging year for US wines in the EU given the weakening of the euro at the back end of 2014, and the consequent re-adjustment of the market. Meanwhile, with almost 30% volume growth between 2013 and 2014, US wines are going from strength to strength in neighbouring Canada. Growth is said to be coming across all segments.