Bumper South African harvest sees wine exports to UK up 21%

By Gemma McKenna

Published: 13 January, 2014

South African wine exports hit new highs in 2013, with the UK holding on to the number one market spot and sales of more premium wines growing.

Total volumes exported globally in 2013 grew 26% in total on 2012, reaching 525.7 million litres.

The UK remained the largest market for South African exports, making up just over a fifth of total volumes exported during 2013. Exports to the UK rose 21% to 111.2 million litres. The second largest export market, Germany, also grew by almost a quarter, up 24% to 96.5 million litres.

Packaged wine exports to the UK grew by 31%, representing a move away from entry-level bulk wines.

Siobhan Thompson Siobhan ThompsonWInes of South Africa's chief executive Siobhan Thompson attributes the export rise to a bumper harvest

Wines of South Africa's chief executive Siobhan Thompson, attributed the dramatic rise in exports to the country's bumper harvest in 2013, which has allowed South Africa to fill the gap created by poor harvests in Europe. Growth into new markets and an improvement in the perceived quality and consistency of South African wines have also contributed to the success.

Thompson said: "It is encouraging that strong gains were achieved in the UK and Germany, our two biggest markets, where packaged wines in particular showed very healthy growth. Packaged wines to the UK were up 31% and Germany saw an increase of 17%. At the same time, exports also grew across an increasingly broad range of other markets.

"We see as significant the impressive growth in high potential markets, such as the US, where we are confident of achieving long term growth. Exports to the US increased by 37%, buoyed by improved distribution and ongoing positive media exposure."

White wine exports rose by almost 18% and red by 22%: Sauvignon Blanc, Cabernet Sauvignon, Shiraz, Pinotage and Merlot saw the largest increases in volume exported.

Jo Wehring, UK market manager for WOSA, said the rise in packaged wine was indicative of more premium wines being sold. "We've seen a pattern over the last few years of increasing value sales at higher prices, and we're expecting to see that continue."

She added that the change was also partly driven by a return to in-country bottling from some of the major players.

WOSA does not measure value sales itself, but Nielsen data relating to the UK market for last year will be available from next week.

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