Since 1995, global wine consumption has remained above 22 billion litres per year, with some swings; around 2006 and 2007, that peak peaked at 25 billion, to stabilise at 24,500/700 in the last time. Within this scheme, Argentina is in the group of countries that contribute a high volume of consumption, equivalent to or greater than 1 billion per year; we are joined by the United States, France, Italy, Germany, Spain, the United Kingdom, China and Russia. In turn, the category is unfolded between countries with a declining consumption trend, usually large producers (our case and that of European countries), and those experiencing an increase, along with increasing imports. Thus, the Argentine Wine Observatory points out that, in 2017, our country held about 8.9 million hectolitres drunk in 365 days, achieving the 8th place in the international ranking and coinciding in figure with Russia, ranked 9th. A year later, in 2018, this order was reversed: Argentina moved to ninth place, with 8.4 million hectolitres (that is, 500 million liters less) per year, while Spain was eighth (with 10.6 million hectolitres) and Russia was ranked seventh.
While Argentines consume less, the trend indicates that non-producing countries are gaining prominence: Russia’s consumption volume increased by more than 30% in just one year, and China rose from 17.9 million hectolitres in 2017 to 20.6 in 2018.” China is by far the most dynamic market among major import markets,” explains the Observatory’s report. “The dynamics and growth of economic activity have been one of the reasons why the demand for wines has grown.” And at home? How do you explain the 5% drop in consumption? “The level of economic activity appears as a determinant of wine consumption; the price of beer, as the main substitute for a major wine price segment; and the variable inflation that affects not only purchasing capacity but also distorts relative prices. These three variables explain by 95% the behavior of wine consumption in Argentina”, concludes the analysis. In this note: