January―July 2007:

EXPORTS OF BOTTLED WINE

CONTINUES TO RISE

Wines of Chile reports that wine exports in the first half of 2007 have increased 52% in volume (361,000,000 liters) and 37% in value (US$688,000,000).  

Santiago, September 4, 2007. Exports of still and sparkling wine show over the past 12 months total US$1,148 billion and 598 million liters, an increase of 27.4% and 41.7% respectively, over the previous 12-month period.

The growth recorded as of November 2006 shows that the 12-month accumulated percentage variation continues its upward trend in both volume and value. The negative variation in the price of bulk wine, however, means that the trend in the 12-month accumulated percentage is negative for price and the levels of price per month are lower than those in prior years.

Bottled wine presents a percentage variation of 28.4% in volume (198,000,000 liters) and 34.9% in value (US$585,000,000). The 12-month accumulated figures are 19.9% (331,000,000 liters) and 26.3% ($US976,000,000). The average price is $US2.95/liter, which is 5.4% higher than the same period a year ago.

Although a deceleration of growth of bulk wine is observed in July (56.7% in volume and 27.4% in value), there has been growth to 112% in volume and 54% in value, for a total of 150,000,000 liters and US$78,000,000. The accumulated 12-month figure increased by 95% in volume and 35.2% in value, for a total of 243,000,000 liters and US$127,000,000. The average price is US$0.52/liter, 31% lower than the same period a year ago.

Bottled wine presents positive rates in volume, value, and price in the different destination markets. The United Kingdom, the primary market for exports of bottled wine presented an increase of 35% in volume and 48% in value. Exports reached 5,300,000 cases and US$116,000,000. The accumulated 12-month figure is 8,300,000 cases and US$184,000,000, 19.8% and 29.1% higher than the same period a year ago. The average price rose 7.7% to US$22.02/case.

The United States presented an increase of 12.7% in volume (3,600,000 cases) and 22.7% in value (US$99,000,000). The accumulated 12-month figure increased by 6.3% in volume (6,200,000 cases) and 15.3% in value US$167,000,000.

Finally, in the past year Canada presented an increase of 25.7% in volume (912 cases) and 31.1% in value (US$32,000,000). The accumulated 12-month figure presented a positive variation of 20% in volume (1,600,000 cases) and 26.5% in value (US$56,000,000).

“Although the positive trend in volume, value, and price continues, the low exchange rate has a significant effect on the sector’s profitability. This makes it essential to continue the public and private efforts to maintain high growth rates with a focus on wines with greater added value,” comments Ricardo Letelier, General Manager of Wines of Chile.