The London Wine Fair 2023 was a remarkable event that brought together wine professionals, enthusiasts, and industry leaders from around the world. The fair provided a platform for networking, thought-provoking panel discussions, and exciting tastings. It showcased the dynamism and innovation within the wine industry, offering a glimpse into the trends, challenges, and opportunities shaping the future of the wine world. In this article, we are delighted to share our highlights from the event.
WSTA Delivers Scathing Review of the UK Government's Failures in the Wine Industry
During his impactful opening speech at the event, Miles Beale, the Chief Executive of the Wine and Spirit Trade Association (WSTA), voiced his concerns regarding the UK government's failures in their handling of policies affecting the country's wine industry. His candid remarks shed light on the potential ramifications of recent developments, eliciting a sense of urgency within the industry.
One of the primary issues addressed by Beale was the impending increase in excise duty set to take effect on August 1st 2023. This announcement has sparked widespread concern among industry professionals. Of particular significance is the planned 20% hike in duty specifically targeting still wines. Consequently, producers are likely to bear the brunt of an estimated £1 per bottle increase, posing challenges in passing on the additional cost to consumers. This decision appears contradictory to the government's stated objective of reducing inflation, as highlighted by Beale during his speech.
Moreover, Beale emphasized the disproportionate burden placed on wines and spirits compared to other alcoholic beverages such as beer and cider. This discrepancy in duty rates has the potential to create distortions within the alcohol duty framework, ultimately affecting the competitiveness and profitability of the wine industry. Such disparities raise valid questions about fairness and equity within the overall taxation system.
The implications of these policy developments extend beyond immediate financial concerns. They pose a significant threat to the long-term sustainability and growth of UK wine businesses. The increased costs associated with excise duty can erode profit margins, impede investment opportunities, and hinder the industry's ability to compete in both domestic and international markets. The consequences could be felt by vineyards, wineries, distributors, and retailers alike, leading to potential job losses and reduced economic contributions.
In response to these challenges, it becomes imperative for industry stakeholders to engage in proactive dialogue and advocacy. Collaboration and collective action will be instrumental in addressing these concerns and fostering a supportive environment for the UK wine industry. By actively voicing their perspectives and working closely with relevant government bodies and policymakers, industry players can contribute to shaping policies that enable growth, innovation, and the continued success of UK wine businesses.
The opening speech by Miles Beale served as a rallying call to the UK wine industry, urging stakeholders to unite and champion their collective interests. It highlighted the need for ongoing discussions, strategic partnerships, and focused efforts to ensure that the concerns of the industry are heard and considered in policy decisions. By standing together, the UK wine industry can strive for a more favourable and sustainable future, ensuring its continued contribution to the nation's cultural heritage, economic prosperity, and international reputation as a premier wine-producing region.
Challenging Traditional Methods of Sparkling Winemaking Panel and Tasting
We had the privilege of participating in an engaging international panel discussion centred around challenger producers in the sparkling wine category. This dynamic conversation explored the innovative approaches employed by Hattingley Valley in England, Gramona in Cava, and Contratto in Piedmont, as they challenge traditional methods of sparkling winemaking and create exceptional, award-winning wines with distinctive regional characteristics.
Representing their respective regions, three highly accomplished winemakers shared their insights and expertise on the panel. Luca Cigliuti, born and raised in Piedmont, fulfilled his lifelong passion for wine when he joined La Spinetta and Contratto in 2010 as the Export Manager for Asia and South America. His deep knowledge and experience have contributed to Contratto's innovative practices and remarkable wines.
Rob MacCulloch, a seasoned veteran with over two decades of experience in the wine industry, returned to his native county of Hampshire in 2022, assuming the prestigious role of Head Winemaker at Hattingley. With an illustrious career spanning across five continents and encompassing a myriad of winemaking harvests, Rob has cultivated an exceptional level of expertise in crafting sparkling, white, rosé, and red wines in a diverse range of climates, both cool and warm. Prior to joining Hattingley, Rob served as the client winemaker for Hawke's Bay Wine Company in New Zealand, where he honed his skills as one of the few professionals well-versed in both wine production and wine commerce. His comprehensive knowledge extends from vineyard management to the meticulous process of dispatch, gained through working with small family wineries and large-scale, export-oriented operations worldwide. From the vineyards of Margaret River in Australia to the Mosel Valley in Germany, Rob's globe-trotting winemaking journey has enriched his understanding of every facet of the industry.
Leonard Gramona, an accomplished individual with a rich heritage in the wine industry, brings a diverse background to his role as a representative of the sixth generation of his family's esteemed wine and sparkling wine producers in Penedès. Trained initially in engineering and having worked as a corporate advisor, Leonard made a pivotal decision to follow in his father's footsteps and join the family business.
This panel discussion shed light on how these winemakers are pushing the boundaries of sparkling wine production. Their dedication to innovative techniques, such as refined aging methods, precise dosage adjustments, terroir expression, and even alternative closures, has resulted in the creation of quality sparkling wines that exude unique character, reflecting the essence of their respective regions.
English Wine: Building the Brand
The nascent development of English still wines, characterized by the need for more confidence and market recognition, provided the backdrop for an esteemed panel of industry experts to take centre stage. Among them were Guy Woodward, renowned former editor of Decanter and Club Oenologique magazines, Robin Hutson OBE, Chairman of the Pig Hotel Group, Henry Jeffreys, author of "Vines in a Cold Climate", Anne Jones, Drinks Experience Manager at Waitrose, and Ruth Spivey, a respected consultant.
Recent data reveals a promising trajectory for the sector. Sales of English wine have surged by an impressive 70% over the past two years, showcasing growing consumer interest and demand. In line with this growth, the hectarage under vine in England has quadrupled since the turn of the millennium, with a doubling in the last eight years. This expansion emphasizes the importance of establishing effective routes-to-market for UK wine producers, ensuring their products reach a wide audience of wine enthusiasts.
Notably, even renowned retailers like Waitrose have observed a significant trend among their customers, who are now purchasing Champagne-method wines three times a year. Furthermore, specific establishments, such as the Pig Hotel, have experienced notable success with English wines. The hotel alone sells 40,000 bottles annually, with 30,000 being sparkling wines and the remaining 10,000 consisting of still wines. This success story underscores the potential for English wines to establish a strong presence in both domestic and international markets.
During the discussion on industry leaders, the panel shed light on the rise of prominent individuals in the wine sector, coined as the 'branded gilets' and 'city boys.' This no doubt refers to the likes of Mark Driver of Rathfinny Estate, Ian Kellet of Hambledon Vineyard, and Nicholas Coates of Coates & Seeley. With their corporate expertise ranging from hedge-fund management to investment banking, these trailblazers have played a pivotal role in driving commercial success within the UK wine industry.
During the discussion, the significance of 'cultural touchpoints' in the UK wine consumer journey was emphasized. The panel suggested that understanding and effectively communicating the story and quality behind each wine becomes crucial in capturing consumer interest and loyalty. This can be challenging in the UK, as the country lacks the long-standing winemaking legacy found in other established regions.
Retail trends also reveal interesting patterns among consumers. While people may be reducing their frequency of dining out, they are willing to spend more on quality experiences. This indicates an opportunity for English wines to position themselves as a premium, high-quality choice in the market.
Sustainability has become a paramount consideration in today's consumer landscape. Building sustainability into the production process and brand ethos is no longer optional, but essential. However, effectively communicating these efforts to consumers remains a challenge that the industry must tackle.
The discussion highlighted both the challenges and opportunities facing the English wine industry. As the sector continues to evolve and gain momentum, addressing diversification, brand-building, consumer engagement, and sustainability will be crucial factors in maximizing profitability and solidifying England's position as a top-tier wine-producing region.
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