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Bourgogne has what it takes to remain a market leader them!

26/03/2024

Bourgogne has finally been able to replenish its stocks with a second generous harvest in 2023. Periodic shortages of wine are one of the challenges affecting Bourgogne's development in its markets. The challenge now is to re-learn how to build up stocks for the coming years, while also seeking to renew our foothold in markets that are undergoing major changes, both in France and abroad.

• The available stock in Bourgogne, at the start of the 2023-2024 campaign, has been replenished by two generous harvests: wineries have an increase of 12% of available stock compared to the average of the last five years. Bourgogne has not seen a situation like this for over 20 years. This allows the industry to better anticipate potential future hazards and preserve its market share.

• One of the challenges is to revive Bourgogne's development in the markets, which has been limited in recent years by lower productivity and its many consequences.
• Bulk wine sales from estates are up compared to the same period in the previous campaign: +8% for the first six months of the 23-24 campaign compared to the first six months of the 22-23 campaign. Bulk wine accounts for 67.5% of total sales volumes (bulk + bottles), even though the pace of transactions is a bit slower than in the previous campaign.
• In terms of exports, the markets are facing a number of uncertainties linked to the geopolitical situation, such as the upcoming United States election, as well as the continuing trend towards increasingly occasional consumption. Bourgogne exports felt the effects of this in 2023, with an export volume down 6% compared to 2022 (87 million bottles). And while sales remained above one billion euros for the 4th consecutive year at 1.5 billion euros, that was down 0.3% compared to 2022.

Bourgogne is well aware of the many challenges it must confront: maintaining its production at a good level over the long term, preserving an economic model that enhances its value, and collectively harnessing all the resources at its disposal to consolidate its place in evolving consumption patterns.

Summury of the attached press release

• The Regional Market: Generous availability eases trade tensions 
• Exports: Market share to be reclaimed thanks to two beautiful vintages, amid a more competitive environment