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Top British importers and merchants unite to call for better prices from Bordeaux

Published:  23 January, 2015

Some of the biggest wine importers, distributors, brokers and retailers in the country, including Majestic, Berry Bros & Rudd and Farr Vintners, have written to Bordeaux producers to demand changes in pricing of wines being offered to the UK.

Farr Vintners, Berry Bros & Rudd and Majestic are calling on Bordeaux for better trading termsLeading players such as Farr Vintners, Berry Bros & Rudd and Majestic are calling on Bordeaux for better trading termsSource: LaithwaitesThe open letter calls for more realistic and market approach to help Bordeaux regain confidence of customers in the UK

Some of the biggest wine importers, distributors, brokers and retailers in the country, including Majestic, Berry Bros & Rudd and Farr Vintners, have written to Bordeaux producers to demand changes in pricing of wines being offered to the UK.

Such is the frustration amongst leading importers and merchants of Bordeaux wine that they have come together to sign an open letter to all their contacts in the region calling for better support and a more realistic appreciation of the wine market in the UK for Bordeaux.

The companies that have drafted and signed the letter include: Berry Bros & Rudd, Farr Vintners, Majestic, Armit Wines, Bordeaux Index, Corney & Barrow, Fine & Rare Wines and Justerini & Brooks.

In the letter they state: "As a group of merchants who are long term supporters of the great wines of Bordeaux, and who want to see them continue to thrive, we are very concerned about the current pricing levels in the Bordeaux market.

"The prospect of another poor en-primeur campaign this year could do real damage to confidence in wine futures and to the goodwill of consumers towards Bordeaux in particular. So we urge you to seek a practical solution."

The British merchants and importers go on to say "the market has for some time now needed a correction to return pricing levels to those of the 2008 vintage".

They add: "The heady days of 2010 and 2011, when the Far East was booming, are now long gone; yet we fear there may be a reluctance in Bordeaux to recognise this and the reality of the current financial climate.

"The 2009 and 2010 vintages were sold at astonishingly high prices. Although there were thankfully willing buyers for the 2009s at the time, the market had already started to wane when the 2010s were being sold at even higher prices.

"The subsequent slow-down in the global market has had a substantial effect on the prices of young Bordeaux wines. Prices of the top 2009s and 2010s have slumped to such an extent that consumers are currently facing significant losses on their original purchases."

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The letter goes on to say the "problem has been compounded by the high release prices of the subsequent weaker vintages (2011, 2012 and 2013)".

It explains that "many private customers in the UK (and indeed further afield) have now been dissuaded from buying wines en-primeur as a result: they are either not buying at all or looking to other regions of the world instead".

The importers believe Bordeaux is in danger of breaking the trust of customers when it comes to buying en primeur and the whole process of them agreeing "to advance their money up-front to the producer in exchange for a pre-release price".

It states: "The price should represent value for money in that the wine will not be available at a later date for a lesser amount. This has patently not been the case with the last four (arguably five) vintages and consumers will not return to the Bordeaux market until this situation is addressed. "Moreover, consumers are fully aware that châteaux, négociants and merchants alike are holding large volumes of unsold 2011/12/13 that will have to be released to the market before too long."

It adds: "We remain optimistic that the trend can be reversed. Each year's en-primeur campaign is an opportunity for Bordeaux to show-case its new vintage to the world. And we all know what exquisite vintages the châteaux can produce. Bordeaux has a great opportunity to win people back this spring with a return to more sensible pricing levels that better reflect sentiment in the market."

The letter concludes by stating all the signatories are  

"sincere and committed supporters of Bordeaux who want to see the market prosper".

"We want to be partners in protecting en-primeur for future generations. We want to get the market excited again about the new vintage and promote it to our customers; but we can only do this wholeheartedly when we believe that quality and prices are fairly aligned.

"Please help us to help you make that happen."

Other importers and brokers of Bordeaux wine are also encouraged to send the letter to their contacts in the region.

Large Independent Merchant of the Year: Berry Bros & Rudd, Roberson Wine picked up the Small Independent Merchant award

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