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Home / Hawkes Bay Today

Chinese buy more Bay wines - white and red

By Josh Martin
Hawkes Bay Today·
30 Jul, 2012 08:10 PM3 mins to read

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Upmarket restaurant patrons in Beijing and Shanghai have been quaffing Hawke's Bay sauvignon blanc and chardonnay wines in growing numbers; a trend that looks set to continue.

Simon Nash, export manager at Mission Estate Wines, said although Chinese consumers had traditionally preferred red wine there was no doubt white wines would grow in market share.

"Sauvignon blancs and chardonnays are beginning to be fully appreciated," Mr Nash said.

A Wine Intelligence report released in April recorded continued growth in white varietal exports to China, up 50 per cent from 2006.

Marketing manager at Elephant Hill Wines, Vince Lamat, said red and white varieties were experiencing growth in China.

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"We initially focused on traditional reds, but we've seen a huge increase in interest in whites," Mr Lamat said.

According to the report, Chinese consumers still overwhelmingly choose the Bordeaux-style reds which Hawke's Bay was famous for, dominating the market with an 85 per cent share.

Mr Lamat said Elephant Hill's exports to China reflected exactly the same preference for red, but he believed whites had room to grow.

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The Economic Development Ministry confirmed wine exports to China were worth $11 million in 2011, only 1 per cent of all New Zealand wine sent overseas.

Mr Nash said China hadn't been a traditional market for Mission Estate Wines .

"But it only needs a tiny percentage point of growth to produce an enormous effect," he said.

Although he wouldn't divulge the volumes, Mr Nash said his company exported to China and numbers were only moving in one direction - up.

"There's plenty of room to grow the whole pie collectively, without red or white missing out on a piece," Mr Nash said.

New Zealand's free trade agreement was vital in accessing the Chinese market, but Mr Nash said Kiwis often forgot the importance of Chinese immigrants, businesspeople and students with networks in their homeland.

"They facilitate a lot of business and people underestimate those personal relationships," he said.

Mission Estate uses Hawke's Bay and national Chinese business networks to help facilitate relationships between the company and potential Chinese partners.

"Chinese parties who have a New Zealand connection, whether it be residency, a business here or if their kids were educated here, have an affinity to New Zealand wines," Mr Nash said.

Chinese feelings toward New Zealand were important when regional winemakers charged a premium for quality wine.

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Mr Lamat said the rise in white wine consumption could be down to female consumers and the company's educational marketing strategy.

Elephant Hill's strategy in the Chinese market was relationship-based and education-focused and included label translation.

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