October 2013 Champagne Investment Report
There’s a number of interesting facts related to Champagne investment right now.
The weather has made it hard for wine makers in France this year and it’s clear at the moment that the region of Champagne are especially under pressure to achieve their usual yields. Obviously as investors this is good news if they are all low on production this year then it means there will more demand for the older vintages in our portfolio.
Moet Hennessy commented in a press release last week that the Champagne consumption in Asia is growing very fast and also that Veuve Clicquot and Dom Perignon are attracting more drinkers in the U.S.
I was reading an interesting story two weeks ago. In a top night club in Mayfair in London two tables decided to go head to head on orders, spending over 60,000 Pounds each mainly drinking Krug, Dom Perignon and Cristal Champagne.
Champagne will never go out of fashion. At the end of the day Champagne is always around whenever anyone wealthy has something to celebrate.
Other markets that are experiencing growth are Rhone Valley wines. Many of the top end wines in the Rhone Valley are still very much undervalued when you compare them to the best wines in Bordeaux. There are not many Rhone Valley wines that fetch more than a few thousand Pounds a case, even the highest rated vintages.
My official advice to you is to buy Rhone Valley and Champagne and wait for Bordeaux prices to come back. Berry brothers, MD – Hugh Sturges said “Berry brothers are ready when Bordeaux comes back, which it will’. Such is Asia’s long-term potential, ‘the laws of supply and demand will out in the end’. Those were his words last week in a press conference to Decanter.
So you see, despite the worlds economies struggling and sentiment being low there are still people with something to celebrate and a reason to drink either an expensive fine wine or Champagne.
That’s the latest news on the wine market for you. Stay tuned for our next wine recommendation. Coming soon….