Champagne exports overtake domestic consumption in 2018

Estimated figures for total shipments during 2018 show that more Champagne was consumed in foreign markets than France for the first time in over 50 years.

The two presidents of the Comité Champagne, Maxime Toubart and Jean-Marie Barillère announced last week that declining shipments in mature European markets – especially France – and growth in countries such as Australia, US and Japan, had affected the balance of global Champagne consumption.

Most notably, it had tipped the scales in favour of exports, with, from this year, more Champagne shipped to countries outside the domestic market than were sent to the trade in France.

Because, according to Barillère, France had consumed more Champagne than the rest of the world combined since the middle of the last century, this recent development was a major milestone.

“Exports have overtaken France for the first time,” he said, before adding, “Well, since the early part of last century – when Champagne was mostly exported, and not consumed very widely in France,” he stated.

“It was in the 1920s that the French market for Champagne developed, and grew and grew, and from the start of the 60s France became the largest market in the world for Champagne,” he continued.

This prompted Toubart to add, “So, it is the first time in the modern history of Champagne that exports have been bigger than France.”

Domestic sales for Champagne have also been on an almost steady decline since a peak in 2007, when France consumed as much as 188m bottles of the fizz, compared to 150m by the rest of the world. Driving the growth in exports for Champagne have been markets outside Europe, in particular, the US, Japan and Australia, although increasing sales in a range of smaller emerging markets have also contributed.

Indeed, it is an evolution that proves the increasingly global nature of Champagne consumption, making, as reported last year, Champagne sales “more balanced” than ever before, with 30 markets now consuming over 0.5m bottles annually.

Looking ahead, Barillère expects the spread of Champagne consumption to become even more evenly split between the major areas of the world.

“We saw last year that exports of Champagne to Europe were overtaken by those to ‘the rest of the world’, and now we see that total exports are now bigger than the French market,” he began.

“If this trend continues, then in 10-20 year’s Champagne will be one-third France, one-third Europe, and one-third the rest of the world, or it could be higher], depending on where there is wealth development,” he added.

Toubart said that markets outside Europe were growing because the houses had redirected their marketing investments from France to US and Asian markets.

“The French market is decreasing, and so Champagne houses have invested a lot of money in new countries,” he commented.

Barillère explained, “The maisons have focused their marketing activities on countries where there is growth in GDP, and population development, and where the level of wine consumption is growing – it’s why, for example, we have invested in the US.”

The French market for Champagne has been declining for two main reasons.

Firstly, the sales of grower Champagnes direct to consumers in France has diminished, and secondly, the number of promotions on entry-level Champagnes in French supermarkets have fallen, in line with a reputed fatigue among domestic consumers for the retail technique.

While Champagne is seeing shipments decline for inexpensive Champagne in mature markets, the premium branded sector is doing well, both in Europe, but, as noted above, particularly in the US, Japan and Australia.

As a result, Barillère said that turnover for Champagne in 2018 was “stable”, and may even have increased to a level slightly above last year, which was a new record for Champagne.

In other words, the region may have lost more than 5m bottles in shipments for 2018, but the past year could represent the largest ever turnover for Champagne, with the higher revenue accounted for by sales of more branded bottles, and an increased demand for pricier cuvées, especially from consumers in countries outside Europe.

Source: Drinks Business

Pairing Champagne with Top Movies for 2010 [83rd Annual Academy Awards]

The Oscars are synonymous with class, beauty and celebration, which is why Champagne is the drink of this month’s Hollywood parties. As you pick your favorite to win Best Picture, remember to choose just as wisely when selecting your wine. Champagne only comes from Champagne, France.

In anticipation of the 83rd Annual Academy Awards show on February 27, the Champagne Bureau looks at the past year’s best movies and suggests the best Champagne’s to toast them with.

Black Swan (5 nominations): Natalie Portman plays a shy but fanatically devoted ballerina who loses herself in the lead role of Tchaikovsky’s “Swan Lake.” A full-bodied Blanc de Noir is the perfect complement as this film’s combination of music, dancing and stunning cinematography updates a famous ballet for the modern big screen.

The Fighter (7 nominations): They may call boxing the ‘sweet science’, but this gritty film is best enjoyed with a dry Brut Champagne. Enjoy it with hearty foods like steak or a hamburger, and with good companions, as you watch Mark Wahlberg and Amy Adams star in this true story of a boxer’s hard-scrabble fight for glory.

The Social Network (8 nominations): Whether watching the awards at a party or just with a few close friends, a light Blanc de Blanc is perfect for any social occasion. This Chardonnay-only wine will go down smooth as you marvel at this film about one of our generation’s greatest innovators.

Inception (8 nominations): Follow Leonardo DiCaprio’s mind-blowing journey into the human mind through dream invasion. This thriller is rich in mystery and layers of meaning, so toast to it with a non-vintage Champagne. The subtle mix of grapes from several harvests pairs well with Inception’s complex plotline (and with a bag of popcorn!).

The King’s Speech (12 nominations): There’s something for everyone in this true story of an English King’s struggle to overcome his lifelong stammer and inspire his people. It’s a moving tale of friendship, loyalty and courage, all set against the backdrop of World War II. It’s hard to imagine a better fit for a vintage Champagne than a movie about European Royalty.

The glamour of the red carpet can’t be duplicated, and neither can the uniqueness of true Champagne.

Comité Interprofessionnel du Vin de Champagne (CIVC)

GLOBAL – Champagne sales rise in 2010

Global Champagne sales rebounded in 2010, but demand failed to surpass the levels of 2008, according to trade body Comité Interprofessionnel des Vins de Champagne (CIVC).

Champagne sales rose by 9% in volume to 319.5m bottles, the CIVC said today (9 February). The figure confirms a rebound in demand for the category, following a sharp drop in demand at the peak of the global financial crisis.

Global sales by value increased by 8% to EUR4bn.

The biggest Champagne houses look to have led the recovery. Champagne group Lanson-BCC said today that the Champagne houses, rather than individual producers, saw collective export volumes increase by 20% in 2010.

However, industry volumes remain below those of 2008, when volumes reached 322.5m bottles. The 2008 figure, too, represented a 5% drop on 2007 volumes.

In contrast to the excess supply of Champagne in many markets during the financial crisis, the industry could face shortages in 2011. Both Vranken-Pommery Monopole and Moet Hennessy have warned in the last couple of weeks that supplies will be tight if the sales momentum continues.

Their comments will likely put pressure on the CIVC to relax its cap on grape harvests, put in place in 2009 in order to bring supply into balance with demand.

Just Drinks

Recent Victory for Comité Interprofession du Vin de Champagne (CIVC) against Andrélon’s ‘Champagne’ Shampoo

Victory for the Comité Interprofession du Vin de Champagne (CIVC) last Friday in summary proceedings before the Presiding Judge of the District Court The Hague (P.H. Blok) against Unilever Nederland B.V., producer of Andrélon’s 70th anniversary ‘Champagne shampoo’. Some of the bottles were ‘dressed’ with a ‘collar’ bearing the signs ‘Champagne’, ‘70’ and the pay-off ‘Omdat we jarig zijn’(‘Because it’s our birthday’), depicted against a ‘sparkling’ background. Unilever accompanied the introduction of the shampoo with a commercial showing a garden party at which characters from previous Andrélon commercials are toasting to Andrélon with a glass of champagne. At the end of the commercial the shampoo bottle is shown with the text ‘Champagne Shampoo voor een feestelijke glans’ (champagne shampoo for a festive shine). Furthermore Unilever created an advertisement in which a bottle of shampoo is placed in a champagne cooler filled with ice with the accompanying text ‘Elke dag champagne’(each day champagne). After CIVC had summoned Unilever to cease and desist the use of Champagne, Unilever removed the wording ‘Champagne Shampoo’ from the text at the end of the commercial and rephrased the wording of the advertisement text ‘Elke dag champagne’ into ‘Elke dag feest’ (each day a party).

The Presiding Judge gives short shrift to the use of Champagne by Unilever (Unilever apparently did not resist the alleged infringement itself). Unilever is ordered to refrain immediately from the use of ( the protected geographical indication) Champagne and prohibited to market Andrélon Champagne shampoo. However the Presiding Judge also considers that not all use of Champagne is forbidden, but that consideration is not elaborated any further.

No mercy is either shown towards Unilever with regard to CICV’s claims for an injunction against the changed commercial and for a recall of all Champagne bottles located at retailers. The Presiding Judge holds that CICV has rightly argued that in certain circumstances a defendant who infringed a protected geographical indication is under an obligation to take appropriate measures to discontinue the wrongful situation created by himself. Accordingly the Presiding Judge rules that Unilever refrains from the promotion of the Champagne shampoo and to recall the remaining shampoo bottles available at retailers.

Parties to the proceedings discussed the issue of full procedural cost compensation. Unilever indicated that geographical indications might not qualify as intellectual property rights for which the full procedural cost compensation is applicable. According to Unilever geographical indications should be regarded as rights sui generis. The Presiding Judge disagreed and decided that according to article 2 par. 2 and article 22 et seq TRIPs agreement geographical indications are intellectual property rights. Article 2 par. 2 of the EU Enforcement Directive should be read accordingly, because the EU are bound by the Trips agreement. The Presiding Judge ordered Unilever to pay to CICV € 25.000 for procedural costs.

Champagne Harvest 2010

September 13th, 2010 the Champagne Harvest has begun.

Sonia Smith (Champagne Bureau Director) has stated that “Due to a frost that we had earlier in 2010, the development of the grapes was slightly delayed this year,” and that the “Harvests are two to four days behind last year, except one village which began on September 10th. Yet the unseasonably warm and sunny weather in July allowed the grapes to mature quickly. All in all, it is looking to be a promising harvest this year…”

The Comité Interprofessionnel du Vin de Champagne (CIVC) has set the 2010 harvest limit at 10,500 kilos of grapes per hectare, slightly higher than the 2009 limit of 9,700 kilos per hectare. “Since yields are fixed at 10,500 kilos per hectare, and vines are producing 14,000 kilos on average, we will have scrupulous selections to ensure a high quality vintage,” said Daniel Lorson, spokesman for the CIVC.