Loire Valley struggling with rising prices

Friday September 08 2017 by Vitisphere

- Photo credit : InterLoire

With 578,000 hectolitres of bulk wines under contract, 2016-2017 sales are down by 4% according to the Loire Valley marketing board InterLoire. This significant drop can be directly ascribed to the small 2016 harvest which was marked by frost, hail and mildew; volumes totalled 2.11 million hectolitres, a fall of 23% on 2015. Despite low availabilities, business remained brisk due to inventories though did not spiral out of control.

We expected the year to get off to an early start but in actual fact it turned out to be normal. Shippers did not rush to buy wines in December and waited until January”, commented Fanny Gillet, head of the economics department at InterLoire. She adds: “The small harvest in Muscadet is mostly responsible for the drop in bulk purchases in the Loire Valley”.

€138/hl for Muscadet

With 130,000 hl traded in 2016, Muscadet posted a drop of 40% of its transactions across the board, its inventories falling from 8 to 4 months. The regional appellation Muscadet accounted for 55,200 hl (-34%) and posted an average price of 138 euros per hectolitre, up 62%, whilst Muscadet Sèvre-et-Maine sur lie totalled 39,700 hl (-52%) with an average price of €163/hl (+28%). For Olivier Martin, spokesman for the Nantes Wine Federation, “We have reached a reasonable level of income and would like it to stay that way over time”. 

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