TNBiz (TNBiz)
Commodities  |  October 11, 2010 03:30:05

E15: Poor harvest expensive wine


PRAGUE (MEDIAFAX) - Wine from this year's harvest, probably due to the significant increase in purchase prices of grapes expensive. According to a Monday release of E15.

While winemakers last year paid per kilogram of grapes according to the Czech Statistical Office on average 11 crowns, and this year is 1820 crowns. This is significantly lower yields, but also an increase in electricity prices.

"The higher purchase price is clearly reflected in the prices of bottled wine," said director E15 Wine Cellars Valtice Marek Stastny. In particular, it shows in his quality of wines whose price ranges from 50 to 100 crowns, which occurs in the largest percentage increase. Quality wines are sold because according to him today with minimal margins."Price increase of five pounds of grapes crowns are reflected in the price of wine by seven to eight," he added.

According to director Paul Templar cellars Čejkovice pastor is too early to raise the prices of finished bottled wine talking. Price at which the company will sell its wine to shops, determined after the harvest and evaluation of all costs. "We can but assume that our supply price may increase," said Pastorek. The final price for customers in addition determine, according to him dealers. No template according to the single pastor there is no margin, profit margins, according to him is in the tens to several hundred percent of the purchase price. If the price of wine increases, it is important to realize that it is not only a consequence of lower grape harvest. "Personally I am more concerned about rising electricity prices due to ill-considered decision in the case of photovoltaic power plants," said Pastorek.

Secretary of the Union of Vintners Půček Martin says that the competition on the EU market is huge and southern states, where the wine to the Czech Republic mostly imported, have an average harvest. According to him, it probably will not allow a similar increase in wine prices, which followed the price of grapes. "It is already clear, however, now that wine is on the rise because business without profit does not make sense in any industry," he said. Although in recent years increasingly importing grapes from Hungary and Slovakia, foreign market probably will not save the domestic wine. Lack of experience grapes winemakers in neighboring Central European countries who grow similar varieties as in the Czech Republic. "Therefore it will be difficult to bring the lack of wine at an affordable price, while maintaining the existing plant variety in the range of business network," said chief Valtice wine cellars.

Libor Popel,

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