Hospices result 'better than anticipated'
November 17, 2008
The Castel Group, France's largest wine producer, has doubled its wine sales in China.
Active in China since 1998, Castel saw its sales volume reach 5.5m bottles in 2008, double that of 2007. The company expects a further rise of 18%, or 6.5m bottles, in 2009.
'The results have Yesterday's auction at the Hospices de Beaune took over €3m – less than last year but with a reduced number of barrels for sale.
The 450 barrels of red wine and 94 barrels of white wine auctioned by Christie's in a packed hall at the Hotel-Dieu in Beaune went for a total of €3,024,676.
The Special President's Barrel benefiting two charitable organizations sold for
€50,000.
Because of a hugely reduced harvest in 2008 the number of barrels was 10% down on last year – the lowest number sold for 21 years. In 2007 there were 607 barrels sold, compared to 680 in 2006 and 789 in 2007.
There was enthusiastic bidding for the new Cuvée offered this year, Pommard-Epenots Premier Cru, Cuvée Dom Goblet, which sold for the highest average price of any Pommard in the auction: €5.750 per barrel.
In total there were 31 Cuvées of red wine, and 12 of white.
Anthony Hanson MW, Christie's senior consultant, said, 'At a time of economic uncertainty and after a summer which saw grape production cut by
half for some of the best appellations of the in the end the results are better than we dared to anticipate.'
shown a sharp progression over the past two years, but it's a result of 10 years' hard work,' Castel's marketing director, Franck Crouzet, told decanter.com.
Sales have risen across the entire range, but brands Baron de Lestac (Bordeaux) and Roche Mazet (Languedoc) have been particularly successful. The varietal wines from the Languedoc have also found a large market.
'We are also well placed to continue our success even if the financial crisis affects China next year,' Creuzet said.
'The general progression from hard alcohol to wine consumption in China seems certain to continue.'
Castel – owner of the Nicolas chain of wine shops and until recently, Oddbins - has a wine estate in China called Chateau Changyu Castel, and a bottling centre in partnership with Changyu, the country's biggest wine company in the country.
The French company also has a permanent office in Shanghai with four full-time staff.