Burgundy - Côte d'Or, Côte Challoinnaise & Maconnais - Wine business

12 important questions on Burgundy - Côte d'Or, Côte Challoinnaise & Maconnais - Wine business

What types of organisations (5) are trading in Burgundy's wine business?

  • Growers
  • Domaines
  • Négociants
  • Micro-négociants (small)
  • Co-operatives
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What are 'growers' in wine business terms in Burgundy

Growers:
  • have vineyard holdings
  • sell their grapes/unfinished wines to négociants
  • several thousands, with holdings divided in villages
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What are 'domaines' in wine business terms in Burgundy

  • Make wine from own vineyards and sell them under own domaine label
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What are négociants and micro-négociants in wine business in Burgundy

Négociants:
  • Large businesses
  • buy grapes/wines
  • finish them
  • bottle them
  • sell them under their own name

Micro-négociants:
  • smaller businesses
  • buy grapes from very good to top quality vineyards
  • make the wines
  • sell them under their own name
  • (e.g. Benjamin Leroux)
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What makes it difficult to recognise the right quality of Burgundy wines

  • Multiple producers with very similar names (due to inheritance laws)
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Are co-operatives important in wine business in Burgundy?

  • Less important in Côte d'Or
  • more important in
    • Chablis (La Chablisienne)
    • the Mâconnais (e.g. Cave de Lugny)
    • lesser in Côte Chalonnaise
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What are the most important markets for Burgundy wines

  • France 50%
  • EU 25%
  • outside EU 25%


  • Largest export countries by value:
    • USA
    • UK
    • Japan
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Important drivers of price of Burgundy wines

  • Name of domaine
  • name of appellation
  • name of single vineyard


e.g.: Very well regarded domaines may fetch higher prices for their village wines than premiers crus from the same village by different, lesser-known producers.
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One factor has led to rise in quality in Burgundy wines, which is this?

Young winemakers that are:
  • better trained technical
  • travelled more
  • made wine more widely
  • open minded
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Difference in styles Volnay - Pommard

  • Volnay:
    • elegance
    • intensely perfumed
  • Pommard:
    • robust
    • tannic
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What caused increase in prices of Burgundy wines since mid-2000s

  • High land prices in Burgundy
  • increasing worldwide demand of
  • relatively small production
  • dramatic difference in volumes (weather hazards)
  • (prices rose by 200% between 2003-2016)
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Where are Burgundy wines sold, which route to market is used?

  • Sold En Primeur
  • specialist shops
  • fine dining
  • supermarkets
  • cellar-door
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