Malbec is the craze in the US, with good reason, but now the Brazilian market is rapidly gaining ground and looking to the south to provide wines for its booming restaurant and wine scene. In the news, in addition to all of the articles about US consumption, Brazil has become captivated with Malbec and Argentine wines. For example, just in the last week these articles have profiled the significant increase in exports as well as dollar value which can be attributed to several different trends including a strong real, an increasing middle class, and attention to lifestyle pursuits.
Strong Brazilian Economy
An article in Bloomberg.com notes that the rise in the Brazilian real is making the purchasing power easier for Brazilians to stock up on top Argentine wines. They also mention that the increase in popularity is due to a combination of economic factors, the quality to price ratio, Malbec led growth, and lifestyle choices.
“Exports to South America’s most-populous country rose 49 percent in the first five months of this year from a year earlier to a record $15.8 million, according to a July report from Caucasia Wine Thinking, a research company based in Mendoza, the center of Argentina’s wine region. Sales to the U.S., the biggest importer, rose 19 percent to $97 million over the same period.”
They also mention The Vines of Mendoza as a way to procure their own wine.
At Vines of Mendoza, a company that sells and manages vineyards for private buyers in the Uco Valley, staff are studying Portuguese, Brazil’s official language, after the number of Brazilians visiting its two tasting rooms rose three- fold from 2008, company president Michael Evans said. Five of the company’s 79 landowners are from Brazil, up from one a year ago, he said.
“It’s become our second most important market in just the last year,” Evans said via e-mail. “We are seeing a huge influx of Brazilians.”
Brazil is the 3rd Largest Market for Argentine Wines
Behind the US and Canada, Brazil is rapidly consuming and importing more and more Argentine wines.
An Article in Wine Sur states: ” As regards Brazil, the third market in importance, exports have increased 49.1% in value and 23.5% in volume.
Another article in Wine Sur notes that the trend “is closely related to the fact that “Brazilian consumers are becoming more sophisticated and enjoy pairing their food with good wines. They look for greater complexity, always appreciating the fruit.”
Private Vineyard Estates featured in the Brazilian Equivalent of the Wall Street Journal
The newspaper Jornal Valor of Sao Paulo featured The Vines of Mendoza’s Private Vineyard Estates yesterday appealing to wine enthusiasts, businessmen and investors. There is an increasing focus on the Argentine market for imports, investment, and lifestyle adventures. More and more wine enthusiasts are also hoping to make their vineyard dreams come to fruition. We have amongst our international set of owners, many Brazilians who visit frequently to check on their vineyards and wines. Over the last year we have seen increased interest from this market segment as owners would also like to increase the quality of Argentine Wines that are available in the Brazilian market.
