BIZCHINA / Overseas Investment
China targeted in sparkling push
(Shanghai Daily)
Updated: 2006-12-04 16:20
A German company is trying to tempt Chinese drinkers with sparkling wine.
Sektkellerei Henkell & Co sees China as a huge market, but analysts say
it may take a while for consumers here to acquire the taste.
Gourmedis (China) Trading Co Ltd, an importer of premium food, signed an
exclusive distribution contract for the China market with Henkell during
the 10th International Exhibition for Food, Drink, Hospitality,
Foodservice, Bakery and Retail Industry in Shanghai over the weekend.
"In China, consumption of sparkling wine is only one drop out of a bottle
but considering the size and population, future market potential is
huge," said Henkell export director Klaus-Jurgen Kurten.
Japan is the largest market in Asia for Henkell, but Gourmedis general
manager Herve Streifer expects China to take over within five years.
The Chinese market for sparkling wine is tiny and the total wine market
much smaller than beer or liquor due to traditional drinking habits, said
Fu Su, an analyst for international brand products from Xiangcai
Securities. "They need to think more about targeting customers."
According to Wine China Website, citing a Euromonitor international
report, sparkling wine is expected to be the frontrunner in the industry
by 2010. Production of sparkling wine is forecast to grow a minimum 13
percent from 2005 to 2010, with a market value of US$33.7 billion by 2010.
(For more biz stories, please visit Industry Updates)
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