| (CRI-Shanghai, )Chinese wine industry has entered | | | | (blending of foreign and domestic wine, Chinese |
| the high-speed growth stage in recent years. | | | | domestic brand). Presently, the sales of import |
| Though the international financial crisis broke out in | | | | bottled wine account for over 5% in Chinese wine |
| 2008, it did not place severe influence on Chinese | | | | market, which is mainly provided in high-end |
| wine industry. In 2008, Chinese wine production | | | | markets such as star hotels and high-end clubs. In |
| totaled 698,300 kiloliters, 5% increase over 2007. | | | | China, import wine is mainly distributed by wholly |
| In 2009, Chinese wine production amounted to | | | | foreign-funded or joint venture sales companies |
| 960,000 kiloliters, rising by 37.48% YOY. | | | | and domestic small traders or distributors. Plus the |
| Wine belongs to the fast moving consumer goods. | | | | import base wine blended and filled by domestic |
| The competition on Chinese wine market | | | | wine enterprises and labeled with domestic brand, |
| concentrates on the market capacity and | | | | the import wine takes up over 15% shares on |
| channels instead of product function, attribute and | | | | Chinese wine market. |
| technology. Channels have become the key | | | | With superior advantages in raw material quality |
| successful factor for competition. In China, the | | | | and cultural content, import wine has dominated |
| consumption channels for wine mainly include two | | | | Chinese high-end wine market. Import wine brands |
| categories – restaurants & hotels; retail | | | | on Chinese market are mainly from France, Italy, |
| channels such as shops and supermarkets. | | | | Spain, Portugal, Germany, USA, Canada, Chile, |
| According to the statistics of the wine industry, | | | | Argentina and Australia, etc. The import wine |
| the restaurants and hotels account for over 50% | | | | volumes from France, Australia, Chile, USA, Italy |
| shares in Chinese wine market while retail channels | | | | and Spain, etc rank among the Top in China. |
| occupy less than 50%. Among those retail | | | | Chinese wine market is mainly occupied by |
| channels, supermarkets and general merchandise | | | | medium-end and low-end domestic wines. Import |
| stores take up over 50% while the rest are | | | | wines impact home-made wines in price, quality |
| shared by convenience stores, exclusive stores | | | | and variety as well as encourage the |
| and independent food stores, etc. | | | | improvement in the overall consumption level and |
| The concentration in Chinese wine industry is | | | | volume of Chinese wine market. |
| much higher than that in the beer and liquor | | | | In 2009, Chinese wine market was mainly |
| industries. The sales volume of ChangYu, Great | | | | dominated by the full grape juice wine. The dry |
| Wall and Dynasty has occupied over 40% on | | | | and semi-dry wines accounted for over 50% in |
| Chinese wine market. | | | | the market. Among dry wines, dry red wines |
| China enjoys the highest wine consumption | | | | occupied 80% while the rest 20% were taken up |
| growth rate in the world. Since the 21st century, | | | | by dry white wines. Chinese wine product |
| the wine consumption in those traditional wine | | | | composition is gradually becoming rational. |
| consumption countries does not see obvious | | | | Chinese grape wine enterprises represented by |
| increase while Chinese wine market achieves | | | | ChangYu, Dynasty and Great Wall have become |
| prominent growth in the wine sales volume. With | | | | the leaders in their own regional markets. |
| the improvement of the living standard, more | | | | ChangYu occupies an ascendant position in |
| consumers in China will choose import wine, | | | | Shandong, Guangdong; Great Wall leads the wine |
| attracting the entry of many international wine | | | | market in North China; Dynasty has realized the |
| enterprises into Chinese market. | | | | high market share in Shanghai. |
| In 2009, Chinese wine import volume and value | | | | Many regional wine brands in China also enjoy |
| amounted to 171,231,332 liters and USD | | | | high-speed development, including Weilong and |
| 441,697,229, increasing by 4.93% YOY and | | | | Harvest in Central and South China, Suntime and |
| 22.91% YOY respectively. In 2009, Chinese | | | | Yunnan Red in West China and Tonghua dry red |
| import volume and value of bottled wine (no | | | | wine in Northeast China. |
| more than 2 liters each) reached 91,025 kiloliters | | | | Chinese wine price is on the upward trend |
| and USD 377.11 million, rising by 58.3% YOY and | | | | gennerally. With the popularization of the wine |
| 36.7% YOY separately. In the previous four | | | | culture and the improvement in the consumption |
| months of 2010, Chinese import volume and value | | | | concept and capacity, the prices of mainstream |
| of bottled wine came up to 41,809.10 kiloliters and | | | | wines in China have been raised from 20-40 CNY |
| USD 177.51 million, growing by 76.5% YOY and | | | | bottle (750ml) to 30-60 CNY/bottle (750ml) by |
| 91.1% YOY respectively. | | | | 2010. |
| Import wine in Chinese market mainly includes the | | | | With over years' market cultivation, the healthy |
| import bottled wine with original packing, the | | | | and fashionable wine drinking culture has gradually |
| foreign bottled wine filled in China (foreign wine, | | | | been accepted by Chinese consumers. The |
| foreign brand and filled in China) and the import | | | | consumption demand for wine in China increases |
| base wine blended and filled by domestic wine | | | | continuously. |
| enterprises and labeled with domestic brand | | | | |