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Five competing New World wine-producing countries, Argentina, California, Chile, New Zealand and South Africa have formed a New World Wine Alliance and will take part jointly at Prowein next March – a world first for the wine industry.
The unusual step of competiting countries launching a unified marketing front is aimed at giving the alliance “increased momentum” in the marketplace, said the alliance.
The five members have continued to grow exports despite the global credit crisis and believe that by working together they stand a better chance of competing against EU countries, which are supported by subsidies for marketing initiatives.
An alliance spokesman said: “Although we remain competitors, we believe the potential exists to further advance the New World’s share of the global wine market by sharing best practice. We have already benefitted from each other enormously by exchanging viticultural and cellar research as well as innovations in packaging, marketing and logistics.”
The five generic marketing bodies representing the five New World alliance partners are leading the initiative and are optimistic about the initiative and believe their combined efforts in promoting the New World as a premium source of wines and as a network of innovation, will generate worldwide interest amongst media and trade at ProWein.
The New World Five have succeeded in building their wine trades on the back of aggressive branding, by demystifying wine and thus attracting new consumers; by playing up regional strengths and unique features; focusing on technical, packaging and marketing innovation while giving increasing accent to sustainable wine-growing and wine production.
Australia, which is reportedly now focusing more on the East, has not joined the alliance. Eight years ago a similar Alliance was formed but it included Australia at that time. The New World Five then were the U.S., Australia, New Zealand, South America, and South Africa.
There have been exploratory talks amongst New World producers for several years about establishing a stand-alone show targeted at the international wine trade. However the alliance said that with so many shows already in place, it decided it would be better to create a show within a show, using the well-established platform of ProWein.
 Held annually in Dusseldorf, ProWein had about 3,200 exhibitors in 2009 and also succeeded in attracting over 35,000 delegates from 50 countries, besides more than 1,000 journalists. At ProWein in March 2010, the five alliance partners will be grouped together in a single pavilion and will run seminars, lectures, presentations and workshops featuring high-level wine trade and academic specialists as well as prominent growers and wine makers under an umbrella theme of Down to Earth.
Issues they plan to cover include sustainable wine production, the management of scarce natural resources and managing climate change, cool-climate viticulture, organic wines, branding, icon wines, building on-trade consumption sales and the importance of unique grape varietals.
The spokesman added: “Although we remain competitors, we believe the potential exists to further advance the New World’s share of the global wine market by sharing best practice. We have already benefitted from each other enormously by exchanging viticultural and cellar research as well as innovations in packaging, marketing and logistics.”
Exports from this group continue to prosper despite the economic slowdown in the global wine market. Export data for 2008 shows that last year, Argentina exported 23,8 million 9-litre cases worth US$550m, representing an increase of 14% in volume and 28% in value on 2007. California exported 55 million cases worth over US$1billion, an increase of 8% in volume and 6% in value, and Chile exported 65,4 million cases worth US$1,4billion, an increase of 10% in value but a 3% decrease in volume. New Zealand exports rose 19% to 10,9 million cases, at a value of US$574m, representing an increase of 19%. South Africa’s exports rose 32% in volume to 45,2 million cases, worth US$778m, up 47% in value. |
