Snapshot & Commentary

why are bottles sold for less than 2 euros?

why are bottles sold for less than 2 euros?

Winegrowers are angry faced with the drop in the prices of their bottles on the shelves. “The real problem is the traders who collect these wine growers who tell us: ‘Help us to generate volume because our vats are full’”justified Michel Biero, vice-president of Lidl France, on the set of C L’Hebdo. French vineyards in fact have stocks of wine which are not selling, due to falling consumption. Result: the bottles are sold off to traders and mass consumers. But a bottle sold at 1.99 euros barely costs 60 cents for the producer.

We tried to contact several merchants in the Bordeaux region used to buying wine that sells for less than 2 euros, without success. According to Jean-Marie Cardebat, professor of economics at the University of Bordeaux and specialist in the wine industry, “mass distribution and purchasing centers behave extremely aggressively. (…) They are digging their own grave because they are getting the consumer used to bottles priced at less than 2 euros”.

Contacted, Lidl highlights the difficulties in the wine world and calls on the public authorities to help them, while specifying that the prices they apply on wine are far from being the lowest in mass distribution.

Studies:

Intervin

OIV

France Agrimer

Press articles:

The World

France Blue

The Dauphine

Vitisphere

Researchers:

Jean-Marie Cardebat: Professor of economics at the University of Bordeaux and affiliated professor at INSEEC Grande Ecole

Specialist in wine economics and the wine industry

University

Jean-Marie Cardebat – linkedin

Cairn

Fabrice Chaudier: Consultant in trade and marketing of wine markets

Site

Linkedin

Other sources:

Farmers:

Bastien Mercier: winegrower in Gironde, member of the Viti 33 collective

Rémi Dumas: winegrower, president of the Young Farmers of Hérault

Benoit Lurie: winegrower in Vaucluse

Non-exhaustive list

Watch the full report in the video above

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