Organic will account for 9% of UK’s wine consumption by 2022
Organic wine will account for 9% of the UK’s total still wine consumption by 2022 - up from 5% currently - according to IWSR data.
Growth in the consumption of organic wine, which has been growing at 11% year-on-year for the last five years, is expected to decelerate slightly in the UK, due to a generally bad outlook for still wine overall. But the UK’s organic wine segment is expected to grow in value by 10.5% to reach £1.15billion by 2022.
Giles Gough, IWSR consultant, said: “Value will outpace volume growth. Volume growth is forecast to be slower but it will be at the still healthy compound annual growth rate (CAGR) of 9.4%. Organic wine commands a higher average bottle price of £10.21 compared to still wine’s average price of £7.38.”
The IWSR data was produced for SudVinBio, the marketing organisation for organic wines from the Occitanie region of France. SudVinBio also organises the annual Millesime Bio global organic wine fair, which was founded in 1993.
Philippe Gerard, a negociant at Biovidis, and a representative for SudVinBio, explained: “Occitanie is more than half of the wine producers in France and it is the number one organic wine region in France. At the Millesime Bio show 75% of the exhibitors are French and 25% come from other countries. We have 1,200 exhibitors and a waiting list of 150. It is probable that we will move the show in two or three years in order to give more space to wine producers, and also for other organic drinks.”
For 2019 the show will include a small number of organic drinks producers from beer and spirit sectors.
Gough at IWSR explained that organic wine consumption is growing globally, with the UK positioned as one of the top five growth markets.
He said: “In 2017 Germany had the biggest share of the global organic wine market with 23.9%, followed by France and then the UK.
“Traditionally we would classify the UK as a non-wine producing nation (because production levels are still low), and so we could say therefore that the UK is the leading non-wine producing country in terms of consuming organic wine.”
The data also showed that in 2017 the total global consumption of still organic wine was 56million cases, which was an increase of 14% year-on-year, accounting for 2.4% of all still wine globally. Back in 2012, in comparison, organic wine accounted for just 1.2% of all still wine consumption.
Old World wine nations still lead the way when it comes to organic wine production, with these countries accounting for 72% of sales of organic wine production in 2017.
Gough said: “The Old World over indexes in organic wine and the New World is lagging behind somewhat. Also, 60% of organic wine consumed in 2017 was red wine; red wine dominates organic and these wines command a significant premium of 40% over the prices of non-organic still wine.”