MERCOSUR: Grape Wine Spirits Market 2024

Grape Wine Spirits Market Size in MERCOSUR

In 2022, the MERCOSUR grape wine spirits market increased by 4% to $X for the first time since 2018, thus ending a three-year declining trend. Overall, consumption, however, recorded a perceptible reduction. The pace of growth was the most pronounced in 2017 with an increase of 6% against the previous year. Over the period under review, the market attained the maximum level at $X in 2013; however, from 2014 to 2022, consumption failed to regain momentum.

Grape Wine Spirits Production in MERCOSUR

In value terms, grape wine spirits production reduced modestly to $X in 2022 estimated in export price. In general, production, however, showed a noticeable slump. The most prominent rate of growth was recorded in 2017 with an increase of 12%. Over the period under review, production reached the maximum level at $X in 2013; however, from 2014 to 2022, production stood at a somewhat lower figure.

Grape Wine Spirits Exports

Exports in MERCOSUR

After two years of growth, overseas shipments of spirits obtained from distilled grape wine or grape marc decreased by -20.4% to X litres in 2022. Total exports indicated a modest expansion from 2012 to 2022: its volume increased at an average annual rate of +1.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +59.2% against 2019 indices. The pace of growth appeared the most rapid in 2021 with an increase of 62% against the previous year. As a result, the exports attained the peak of X litres, and then reduced markedly in the following year.

In value terms, grape wine spirits exports dropped notably to $X in 2022. Overall, exports showed a noticeable shrinkage. The pace of growth was the most pronounced in 2021 with an increase of 77%. Over the period under review, the exports reached the peak figure at $X in 2013; however, from 2014 to 2022, the exports failed to regain momentum.

Exports by Country

In 2022, Argentina (X litres) represented the key exporter of spirits obtained from distilled grape wine or grape marc, generating 54% of total exports. It was distantly followed by Peru (X litres) and Chile (X litres), together constituting a 46% share of total exports.

From 2012 to 2022, average annual rates of growth with regard to grape wine spirits exports from Argentina stood at +2.4%. At the same time, Peru (+4.8%) displayed positive paces of growth. Moreover, Peru emerged as the fastest-growing exporter exported in MERCOSUR, with a CAGR of +4.8% from 2012-2022. By contrast, Chile (-1.4%) illustrated a downward trend over the same period. While the share of Peru (+6.8 p.p.) and Argentina (+4.1 p.p.) increased significantly in terms of the total exports from 2012-2022, the share of Chile (-7.1 p.p.) displayed negative dynamics.

In value terms, the largest grape wine spirits supplying countries in MERCOSUR were Peru ($X), Argentina ($X) and Chile ($X), with a combined 100% share of total exports.

Peru, with a CAGR of +3.8%, recorded the highest rates of growth with regard to the value of exports, among the main exporting countries over the period under review, while shipments for the other leaders experienced mixed trends in the exports figures.

Export Prices by Country

The export price in MERCOSUR stood at $X per litre in 2022, picking up by 5.5% against the previous year. In general, the export price, however, saw a noticeable contraction. The pace of growth was the most pronounced in 2019 when the export price increased by 19%. The level of export peaked at $X per litre in 2012; however, from 2013 to 2022, the export prices failed to regain momentum.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Chile ($X per litre), while Argentina ($X per litre) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Peru (-1.0%), while the other leaders experienced a decline in the export price figures.

Grape Wine Spirits Imports

Imports in MERCOSUR

In 2022, purchases abroad of spirits obtained from distilled grape wine or grape marc increased by 66% to X litres, rising for the second year in a row after two years of decline. Overall, imports enjoyed noticeable growth. The growth pace was the most rapid in 2021 with an increase of 102%. Over the period under review, imports reached the maximum in 2022 and are expected to retain growth in the immediate term.

In value terms, grape wine spirits imports surged to $X in 2022. In general, imports recorded a measured expansion. The pace of growth was the most pronounced in 2021 with an increase of 116% against the previous year. Over the period under review, imports reached the peak figure in 2022 and are expected to retain growth in years to come.

Imports by Country

Chile was the major importer of spirits obtained from distilled grape wine or grape marc in MERCOSUR, with the volume of imports finishing at X litres, which was approx. 73% of total imports in 2022. Argentina (X litres) ranks second in terms of the total imports with a 13% share, followed by Brazil (4.6%). The following importers - Colombia (X litres) and Ecuador (X litres) - each finished at a 4.1% share of total imports.

Chile was also the fastest-growing in terms of the spirits obtained from distilled grape wine or grape marc imports, with a CAGR of +24.7% from 2012 to 2022. At the same time, Argentina (+5.0%) displayed positive paces of growth. Brazil experienced a relatively flat trend pattern. By contrast, Ecuador (-1.9%) and Colombia (-4.4%) illustrated a downward trend over the same period. While the share of Chile (+63 p.p.) and Argentina (+2.6 p.p.) increased significantly in terms of the total imports from 2012-2022, the share of Brazil (-2 p.p.) and Colombia (-2.5 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Chile ($X) constitutes the largest market for imported spirits obtained from distilled grape wine or grape marc in MERCOSUR, comprising 67% of total imports. The second position in the ranking was taken by Argentina ($X), with a 14% share of total imports. It was followed by Brazil, with a 4.9% share.

From 2012 to 2022, the average annual rate of growth in terms of value in Chile totaled +19.6%. In the other countries, the average annual rates were as follows: Argentina (+7.2% per year) and Brazil (-2.2% per year).

Import Prices by Country

The import price in MERCOSUR stood at $X per litre in 2022, waning by -10.6% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +1.2%. The pace of growth appeared the most rapid in 2015 when the import price increased by 19%. The level of import peaked at $X per litre in 2019; however, from 2020 to 2022, import prices remained at a lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Colombia ($X per litre), while Chile ($X per litre) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Colombia (+6.9%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform