HOME | THE CONCEPT |JOB CAREERS |   
  SEARCH
 
LES YEUX
History
Objectives
Vineyards
The Team
Argentina
Mendoza
Wine Glossary
Wine Regions
The Wines
Activities and Press Review
Links
THE CONCEPT
THE GLOBAL CONTEXT OF ARGENTINE WINE PRODUCTION
  Planted Area

Argentina has 210,639 hectares of vineyards (1996), or 2.70% of the world’s vineyard area. Between 1982 and 1992, an important decrease of close to 115,650 hectares occurred in vineyard surface area. This is a significant figure in that it represents approximately 36% of the previously existing area. This eradication permitted the elimination of abandoned and decrepit vineyards as well as those that were planted with varieties of low enological value and large production per hectare. As of 1992 a slight recuperation was seen, vineyards were planted with varieties of higher enological quality and other existing vineyards were worked over.

After its reduction in surface area Argentina occupies today the fifth place worldwide for its production of grapes. The harvest of that year had an exceptional yield, producing in the period 1995 – 1997 between 2.0 and 2.5 billion kilograms. In terms of elaboration of wines Argentina is the fourth largest producer in the world after France, Spain and Italy. Argentina is thus a large volume producer of wine available to the world market.

Consumption

With respect to consumption Argentina is the sixth largest consumer in the world. However, a similar change has occurred in Argentina as has occurred in other countries that are traditional producers. The structure of wine consumption is being modified, influenced by changes in consumer habits and anti-alcohol campaigns. Faced with the general fall in consumption of wines, an increasing tendency should be noted in the demand for sparkling wines and wines of superior quality. The contraction of the internal market due to a reduction in consumption as well as the globalization process has oriented many companies towards the exportation of their products. The growing tendency of external sales has positioned Argentina among the largest wine exporting countries. It should be noted that the volume exported in 1995 was influenced by the scarceness of production in Spain caused by a bad harvest, the result of frosts and droughts.

Mercosur

The “Mercado Común del Sur” or “Mercosur” has obligated its member countries to pool forces to restructure the businesses in the wine industry. After intense meetings, a regulatory framework for member countries was defined in which a regimen of the definition of products, practices and enological products admitted has been attempted to be established. Presently, work is in progress to establish common procedures of control of genuineness yet with the premise of respecting the characteristics and identity of the wines that are produced in each region. Forces have been centralized so that the four member countries Argentina, Brazil, Paraguay and Uruguay internalize the Vitivinicultural Standard of Mercosur. Today’s agreement refers to the interchange and circulation of bottled products, but this restriction, for the moment, does not include non-member countries or associated countries, as is the case of Chile. Chile, a non-member of Mercosur, but with whom an Agreement of Free Commerce has been signed, persists as the principle competitor in the southern cone of America. Chile is now the 10th largest exporter of wine worldwide.

Argentina is the country with the largest surface area of vineyards, production of grapes, elaboration of wines and consumption per capita of the Mercosur, which has put it in a relative advantageous position if tariff barriers disappear. Argentina has increased wine exports to the rest of the Mercosur countries 62% during the period 1993 to 1995, and 49.64% if data from 1995 and 1996 are compared (according to the 1996 Authorized for Exportation guide).

Through publicity campaigns, Brazil has obtained an increase in its annual per capita wine consumption to approximately 2.5 liters per person per year and as such constitutes a promising market. The country is the principle buyer of Argentine fine wines.

Uruguay is trying to implement a large transformation in its productive structures. It is initiating an important vineyard conversion to Vitis vinifera varieties and allocating funds for the investment in technology. This strategy is based on the production of wines of recognized characteristics and quality. With an annual per capita consumption of 32 liters it has been the second largest buyer of Argentine wines from 1995 to 1998.

Vitivinicultural activity is relatively new in Paraguay. The country has a planted area of approximately 2,200 hectares and a per capita consumption that varies between 2 and 3 liters. It is the principle purchaser of Argentine table wines in Mercosur (70.16% of sales).
 

HOME | LOGISTICS | COMMERCIAL DEPARTMENT | ADMINISTRATION

©LES YEUX WINES - San Martin 7564 (M5505FOP) - Lujan de Cuyo - Mendoza - Argentina
 info@lesyeuxwines.com - www.lesyeuxwines.com Tel: +54 261 4201776 (Int:133) Fax: +54 261 4201776 (Int:104)