When it comes to trends for wine in 2012, the majority of experts agree that natural wine producers will be making a larger place for themselves, but prices will be rising in the industry as a whole.
In these difficult economic times, a glass of wine has been a relatively inexpensive luxury that many people have allowed themselves to enjoy. However, this year will likely face struggles even in that area, as the price of this treat are on the rise. In the United Kingdom, this is primarily because of the Duty Escalator. This refers to the 2 percent above-inflation increase that occurs on the annual duty of wine, which will be held in place until 2015.
As a flat tax, duty is among those expenses that weighs most heavily on those individuals who have the smallest amount of spending money. Suppliers are therefore left with two choices from which to set their prices: either lower the quality of their product and absorb the cost, or maintain the price and put themselves at risk of losing their supermarket contracts.
That said, the entire market will be feeling the pinch of these increases in duty. This, combined with the unfavorable exchange rates have added an even greater struggle for wine producers. Many have been forced to either take a step back, or step out entirely.
The one area where this is not the case is in the Swartland region, which is now producing very high quality dry, rich wines and is now drawing the attention of the world. This remote little portion of South Africa Is becoming known as a hidden gem for its Rhône-inspired red and white wines. Furthermore, there are an increasing number of natural wines – including vineyards using biodynamic wine and organic techniques.