In Russia recorded a sharp rise in prices on wine

The growth of prices for some categories of wine in the first quarter of the year ranged from 10% to 15%. This was stated by the President of the Union of winegrowers and winemakers Leonid Popovich, reports TASS.

“I can see in fact from 10 to 15% growth in the first quarter. I was surprised thought it would be by the end of the semester, but already in the first quarter in many categories wine this has been achieved,” said Popovich. The head of the Association of winemakers expressed the hope that by the end of 2016 the price of wine will be able to keep at 15% growth due to the decline in inflation.

In late January, Popovich warned about the rise in price of Russian wines at 15-20% this year. Then one of the factors for this growth he called the increased cost of imported components that are used by manufacturers, including fluctuations in the exchange rate. However, he suggested that the rise will be smoothly throughout the year.

Popovich explained that planting material for vineyards plan to purchase in France, Italy and Slovakia. The cost of one seedling is €1,5–2, at the level of 2015. The price for growers is increasing due to the weakening of the ruble. “The cost of seedlings will increase proportionally. How the dollar will rise in price, so for our growers will increase the cost of seedlings”, — he explained.

The head of the Union of winemakers also told that the Russian producers plan to increase production by 3-5% compared with last year. While Popovich has noticed that this would be difficult, as the area of vineyards will remain at the level of 2015. Higher rates winemakers hope to achieve by existing production technologies.

According to the Association, last year the Russian wine-makers produced about 70 million liters of wine. Since 2013 there is an annual increase wine sales by about 7%. By 2019 it should reach 1.8 billion L.