All the wine worldâ€™s a stage and China keeps getting bigger roles. Some pressÂ coverage of that drama. Compiled by J. Boyce
Alizila, “news hub” for Alibaba Group, reports that the company is partnering with the Argentine government to promoteÂ agricultural goods, including wine, in China:
A new memorandum of understanding (MOU) between the two parties designates Alibabaâ€™s platforms as official channels for the sale of Argentinaâ€™s top agricultural products into China, while the Argentine government will offer both online and offline support to merchants looking to take advantage of the newly struck deal. There are also provisions aimed at increasing awareness of these products among Chinese consumers.
Alibaba Chairman Jack MaÂ just made his first visit Argentina and met President Mauricio Macri. The Asia Fruit website reports there have been related Argentine-Chinese meetings ahead of an upcoming visit by Macri:
Argentinaâ€™s agriculture minister Ricardo Buryaile has embarked on a tour of China to lay the groundwork for bilateral trade talks due to take place during the official visit by President Mauricio Macri on 14-18 May.
During a meeting with Li Yuanping of the Administration of Quality Supervision, Inspection and Quarantine (AQSIQ), it was agreed that the protocol paving the way for imports of Argentine table grapes would be signed during the presidential visit.
Argentina was the ninth-biggest source of bottled wine in China in 2016, with 7.5 million bottles reported at Customs in 2016, up 12 percent on 2015, although that trailed the industry average. Also of note, about forty wineries participated in World Malbec Day, dedicated to the grape most associated with Argentina, in Shanghai a few weeks ago, according to Global Times.
Meanwhile, AustralianÂ winery Seppeltsfield is teaming up with Minquan Jiuding Wine Company on “the most significant retail, tourism and storage outpost ever developed for an Australian wine business in China”, according to the Barossa Herald:
Chateau Seppeltsfield Minquanâ€“which officially opens in Henan Province, Eastern-Central China, on Saturday, May 13â€“will continue to be the home of Minquan Jiuding Wine Company Ltd, whose most prominent wine brand, â€˜1958â€™, will be promoted concurrently with Seppeltsfield. The joint venture relationship will provide Seppeltsfield with storage and bottling facilities in mainland China, while also enabling the sale of premium South Australian wine to Minquan Jiuding for co-brand partnerships.
South Australia media outlet The Advertiser reports that Seppeltsfield has taken a 37 percent share in Minquan.Â It quotes Seppeltsfield majority owner Warren Randall as saying his wines will be sold at the chateau and that bulk Australian wine will also be sentÂ for bottling as a joint brand and for Minquan-only brands. He is also quoted as saying that the projectÂ “will be our platform to attract Chinese tourists to Seppeltsfield and the Barossa.â€
Australian Vintage announced this morning it had today signed an agreement with Vintage China Fund L.P.â€”a new partnership established by the founders of Chinaâ€™s largest online wine retailer, YesMyWine.
The deal provides for the placement of 15 per cent of Australian Vintageâ€™s existing capital to Vintage China Fund at a share price of 46.01 cents and will raise $16.5 million in capital.
The agreement will see Australian Vintage enter into an exclusive distribution agreement with Vintage China Fund, covering the supply of specific products (excluding the McGuigan Brand) into China, which will complement the companyâ€™s existing distribution agreement with Chinaâ€™s largest food processing, manufacturer and trader, COFCO.
Australian Vintage handles theÂ brands McGuigan, Miranda, Passion Pop, Nepenthe and Tempus Two. It signed a strategic deal in 2014 with COFCO Wine & Spirits,Â a company with its own locally produced brands, including Greatwall.
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