The giant awakes: Indian wine consumers move to South African wines

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The second most populated country in the world, India, is said to become one of the giants in the intentional wine market. With a population of more than 1 billion people, this market is attracting attention from all the major wine-producing countries.

South Africa is a relatively small player in the international wine market and is only the ninth biggest producer of wine. But South Africa is making inroads into the Indian market according to Wines of  South Africa (WOSA).

In a recent article in The Times , WOSA indicated that India’s growing middle class is the key  potential market. The consumer group consists of about 1.5 million wine drinking Indians.

Last year, South Africa exported about 700000 litres of wine to India, said   WOSA spokesperson, Andre Morgenthal. Morgenthal added that although the export quantities are increasing, South Africa is not well represented in India compared to other international markets.

Mark Lester, the business development manager of the company of wine peopleTM, said this market presents a lot of challenges.

Lester said: “Realistically,  the South African wine category has a great deal of work to do in this market, despite the positive statistics presented in recent years relating to growth of wine or the sheer potential size of this untapped market. The South African category is miniscule compared to the more established wine producing nations such as France or Italy, whom have truly made in-roads into this market by supporting their generic marketing bodies in a big way, not only to promote their wine category, but also to introduce wine appreciation to a consumer who is predominantly new to the fruit of the vine.”

Lester added that further market barriers such as the ever changing customs duty on wine, especially in noticeable wine consuming states, further poses a challenge to those wishing to import their wines. In essence therefore, one must not ignore the potential of this market, however one must also not underestimate what is required to succeed here. Shared common threads such as our historical colonial past, our cultural links to the sub-continent and relationships forged by co-hosting a tournament such as the IPL, should however give us the inside lane to what incredible India has to offer.

Source: thetimes.co.za

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