10th WBWE - Conferences: The opening speech was given by Pau Roca, Secretary-General of the Spanish Wine Federation (FEV) and candidate for the OIV Director General; he talked about the "Global situation of the wine sector". In 2019, the WBWE celebrates 11 years attracting the entire international wine industry to Amsterdam with the very same objective: TO DO BUSINESS.

1. Global situation
of the
wine sector
Amsterdam, Nov 26th, 2018
1In collaboration with the
Pau Roca
Spanish Wine Federation
Secretary General
Amsterdam Nov 26, 2018

2. Amsterdam Nov 26, 2018 2
Key trends in the wine world
1.Relative equilibrium between
supply and demand
2.Increased globalisation
3.New consumers  geographical
shift of trade flow
4.Risk of Bi-polarisation. Role of OIV

3. Amsterdam Nov 26, 2018 3
Equilibrium? Difference between supply and demand
of wine (must, alcohol, etc) seems to be decreasing
51,5
41,3
34,0
53,6 54,7
38,2
27,0 26,6
59,8
41,1
38,0
18,0 19,0
30,0
23,4 24,2
14,0
47,1
29,5
33,7
31,0
3,5
273
266 262
281 280
266
257
264
297
278 283
268 269 272
264 267
258
290
270
275 273
247
282
222 225 228 227 226 228 230
237 237 237
245
250 250
242 241 243 244 243 240 241 242 243
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
World wine production & consumption
Source: Data from GTA / OeMv
Diferencia
Producción mundial de vino
Consumo mundial de vino In 2017-18 minimum historic difference between
production and estimated consumption.
However, much larger production expected for 2018

4. 2,27 2,30
2,12 2,19 2,13 2,14 2,17 2,20 2,29
2,08
2,23 2,32
2,52 2,61 2,54
2,75 2,85 2,90 2,94
13.767 14.166
14.964 15.259 15.775
16.393
17.750
19.924 20.042
17.953
20.950
23.345
25.413 25.942 25.929
28.482
29.112
31.011 31.467
6.066 6.157
7.061 6.958 7.413 7.643 8.197
9.048 8.749 8.614
9.386
10.069 10.094 9.933 10.206 10.364 10.233 10.706 10.709
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 YoY Jun
18
World wine exports in Euros and Litres
Source: Data from GTA / OeMv
€/l
Mill €
Mill l.
World wine exports are growing, particularly after 2010,
even in volume this year (despite lower production).
2.8%
1.7%
4.5%
Amsterdam Nov 26, 2018 4
Increase globalization

5. Considering Algeria in the XIX century as part of France, “the share of global wine production that was exported
was no higher at the end of the first globalization wave [WWI] – nor indeed in 1960 – than it was in 1860, at
around 5 percent. By contrast, exports as a share of global wine production grew from 5 percent to 15 percent
between 1960 and 1990, and then to 40 percent by 2012”
240
226 222 225 228 226 226 228 230
237 239 238
244
255 251
243 242 244 244 243 240 241 242 243
44
52 55
61 65 64 60 65 68 72 77 79
84
90 90 88
94
101 101 99 102 104 102 107
18,2%
22,9%
24,6%
26,9%
28,5%
28,4%
26,7%
28,6%
29,5%
30,5%
32,1%
33,2%
34,6%
35,1%
35,8%
36,2%
38,8%
41,3%
41,4%
40,9%
42,5%
43,0%
42,3%
44,0%
0
50
100
150
200
250
300
86-90 91-95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16p 17e
World wine consumption World wine exports % export/ cons.
Amsterdam Nov 26, 2018 5
Increase globalization
Wine trade is a large part of total wine consumption. See
book by Anderson & Pinilla, recently awarded by OIV prize

6. Amsterdam Nov 26, 2018 6
Increase globalization
Actually, in historical
perspective, globalization of
wine (new consumers) is a
quite recent phenomenon.
With Spain
exporting heavily
to France during
Phylloxera
Italy taking
the lead in
the 1970s
Quickly
followed
by France
And again
Spain

7. Top world Exporters -
VALUE
0
1
2
3
4
5
6
7
8
9
10
Billion€
France
Italy
Spain
Chile
Australia
USA
Germany
New Zealand
Portugal
Argentina
South África
Others
In more recent years, world exports are growing for
almost all top producers
Amsterdam Nov 26, 2018 7
Increase globalization

8. Other world Exporters -
VALUE
0,0
0,1
0,2
0,3
0,4
0,5
0,6
0,7
0,8
Billion€
United Kingdom
Hong Kong
Singapur
Netherlands
Latvia
Lithuania
… even for non-producers: some countries act as large distributors to the world (UK),
Japan (Singapore), China and Asia (HK) or Russia (Lithuania and Latvia)
Distribution is key,
particularly for producers
Amsterdam Nov 26, 2018 8
Increase globalization

9. Olite, 22 nov 18 9
New consumers – evolution 2016-17
Who imports?
Wine consumption
is changing in the
world, moving from
the “old Europe” to
North América,
Eastern Europe and
Asia
North America
7,121 mill €
23.5% of total
Chg. 16-17:
4.3%
EU
12,759 mill €
42.1% of total
Chg. 16-17:
3.1%
Other Europe
2.651mill €
8.8% of total
Chg. 16-17:
15.2%
Asia
6.324 mill €
20.9% of
total
Chg. 16-17:
7.6%
Latin
América
505 mill €
2.0% of total
Chg. 16-17:
26.4%
Africa
136 mill €
0.5% of
total
Chg. 16-17:
5.4%
Pacific
681 mill €
2.2% of
total
Chg. 16-17:
7.3%
With very interesting opportunities
in the Southern Hemisphere

10. 21,0%
2,1%
2,9%
3,0%
3,1%
3,4%
3,8%
4,4%
4,7%
5,4%
8,5%
8,5%
11,9%
16,7%
5,8
0,1
1,3
-0,4
-2,2
-1,4
-0,4
3,9
-1,7
0,8
-5,6
8,3
-8,1
-1,1
resto
Suecia
Rusia
Francia
Bélgica
Suiza
Holanda
Hong Kong
Japón
Canadá
Alemania
China
UK
EEUU
Share 18
PP 00-18
Top world importersNew wine consumers
Amsterdam Nov 26, 2018 10
MARKET SHARE:
In 17 years, world wine imports
(consumption?) move away from
Europe.
The market is less concentrated,
with 11 countries accounting now
for 79% of total world imports (vis
a vis 85% in 2000), but:
• Market share grows in China,
HK, and to a lesser extend in
Canada, Russia and Sweden.
• While it declines in other
European as in Japan

11. New wine consumers
Olite, 22 nov 18 11
Actually, we are changing our geographical perspective.
From this…

12. New wine consumers
… to this:
Olite, 22 nov 18 12

13. Is there a bipolar situation?
Candidate’s statement in the OIV Gral. Assembly , Punta del Este - Uruguay, 23rd Nov. 2018
• One issue that concerns me is that the current situation might be exploited to
convey the idea of a confrontation between wine-growing models, or between
different blocs.
• It is my intention to serve all the Member States; it is the mission of the Director to
seek harmony and the highest possible degree of consensus, precisely in the
interest of the vine and wine sector, over the world.
• If there are different affinity groups, above all in the area of trade agreements
between groups of wine-producing countries, the OIV cannot stand on the
sidelines; on the contrary, it must find the best way of creating a single global
space, including all Member countries, and seeking to encompass those countries
that are not currently our partners. We aspire to increase the capacities and
credibility of the OIV. Specifically, I consider that following the European Union’s
entry as Observer, we must look to the World Wine Trade Group, which includes
countries that are already members of the OIV, which would be a great
opportunity for collaboration within the industry and for global balance
Amsterdam Nov 26, 2018 13

14. Amsterdam Nov 26, 2018 14
Some conclusions
1. Since world trade of wine is changing  following the
trends / understanding the consumer.
2. Rules can be a burden for free trade. It is necessary to
find the best way so as they do not create barriers.
Free-trade/ access – responsibility – playing with the
same trade rules to ensure competition.
3. Purpose : to prevent/overcome any division of the
global market

15. Global situation
of the
wine sector
Amsterdam, Nov 26th, 2018
15
In collaboration with the
Pau Roca
Spanish Wine Federation
Secretary General
Amsterdam Nov 26, 2018