China is one of the most important strategic markets for Georgian wine and is among the top five exporting countries. Since 2013, a marketing campaign has been conducted on the Chinese market to increase awareness and export of our alcoholic beverage. According to the National Wine Agency, 1.12 million liters of Georgian wine were exported from Georgia to China in January-April this year that is 78% more than in the same period of last year.
What makes the Chinese market attractive to Georgian wine producers and what are our prospects for gaining a foothold here? Commersant discussed this with CEO at Askaneli Brothers.
“We can definitely get a foothold Georgian companies have been operating for many years and occupying their niche. They are creating a sales structure with local Chinese sales agents and are working on stable relationships with networks. We sell several million bottles. China has always been among our top five export markets. Over the past few years, sales have not fallen below 3-4 million bottles. We even reached 5-6 million. “The Chinese market is shrinking, the market is experiencing difficulties but this year growth is recorded, and I hope that the country will again increase sales of Georgian wine on the Chinese market,” says Irakli Uglava.
Director at Askaneli Brothers notes that wine consumption in the Chinese market is declining. This trend has been observed since 2019. Irakli Uglava notes that wine consumption in China has declined by about 37%, although the share of Georgian wine in the market is growing.
"Wine consumption in the Chinese market is declining." The overall decline in the Chinese market is around 37%. It seems that the population is switching to other types of drinks. I can't say what influences this, but the Georgian wine share in the total consumption is rising.
I consider the Chinese market to be very promising for both Georgian companies, including our one," says Irakli Uglava.
The company’s imports to the Chinese market soared 5 times in the first 4 months of this year compared with the same period of last year. In the Chinese market, red and semi-sweet wines are most in-demand.
"In the first 4 months, the country's economy grew by 78%. We are not a major player, although we see some growth in the Chinese market. ''- says Irakli Ugvala.
In the words of CEO at Askaneli Brothers, all categories of consumers are present in the Chinese market, including consumers of inexpensive products, as well as medium and high quality wines. Irakli Uglava claims that Georgian companies have different types of clients in the market.
