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News
Positive figures at last for South Africa
Latest Nielsen data showed some much-needed positive news for South Africa’s UK performance as the country recorded a 25% value increase in sales of wines priced above £5 during the last 12 months.
The figures (MAT to 30.06.12) also showed a strong performance for South Africa in the £7 and above category, where sales grew by 34% against a total market uplift of 24%.
In contrast to this growth above £5, the country’s representation at lower pricessaw a marked decline, with a 54% decrease in sales below £3.
Overall however, this performance contributed to a 5% increase in South Africa’s average price, while its market share has remained stable.
The news comes as welcome relief after 2011, which saw South Africa’s UK off-trade sales volumes fall by more than 20%, with an accompanying 12.5% value decline.
However, with UK exports up by 16% for the first half of 2012, South Africa is confident of a return to positive growth by the end of the year
“These figures clearly indicate that South Africa is becoming better known for its quality wines in the UK,” commented Jo Wehring, UK market manager for Wines of South Africa.
“South Africa is well placed to produce exciting, premium wines that still deliver excellent value. That the UK market is discovering this is a very positive trend.”