by Wine Owners
Posted on 2016-03-22
Undoubtedly, the market potential for wine producers and trading platforms is set to growth, the number of wealthy households in China expected to expand at an annual rate of around 16% for the next 5-7 years. Moreover, there has been high increases in Chinese internet penetration with an increase of 31 million new Internet users in 2015 (reaching a total of 649 million). Such a catalysis, together with general perception of foreign brands being of superior quality (i.e. Burgundy, Bordeaux markets) has hence led to strong import dependence of the Chinese, Japanese and Korean markets, with consumers importing as much as 96-100% of their wines.
However, wine producers must recognise that expansion into Asia, specifically China would face several restrictions with Xi JingPing's government-initiated austerity drive and anti-corruption drive hampering the premium wine market for gifting and banqueting. Hence, firm compliance with central authorities are imperative for the business to thrive. Furthermore, with China's economy growing at a rapid rate of around 6-7% (2016 predictions), China's economy has become multi-dimensional, facing transition challenges as the structure adapts to various economic and market reforms implemented by the central authorities.
by Wine Owners
Posted on 2012-06-26
The Chinese Ministry of Commerce recently issued a Standards document designed to legislate more effectively for the distribution & retail of wine.
Problems the document aims to address include; selling counterfeit product, harming the interests or health of consumers, false hype, misleading the consumer, lack of good faith & excess consumption.
'All levels of government and related departments attach great importance to this issue, have therefore issued a series of laws and regulations on alcohol production and management policies and systems, technical standards..'
Specific goals are:
- Develop distribution integrity of the alcohol industry, to promote its orderly growth;
- Equal protection of producers, operators and consumers' legitimate rights and interests - promote the rational consumption of alcoholic products. Advocate a culture of civilised drinking;
- Prevention and fight against fake goods, strengthen self-regulation and introduce provenance and tracking systems. Protect the legitimate rights and interests of consumers, to ensure that in the market to buy genuine wine;
- Promotion of alcoholic products, intellectual property and brand protection
Statistics show that China’s alcoholic drinks totaled 710.3 million hl in 2011 with output value of RMB 669.9 billion yuan and sales value of 648.9 billion yuan.
