£6.99 for a Kiwi Pinot Noir? Surely it can’t be done? Or, at least it can’t be done if anyone’s trying to make a living?
Yet, if you head down to your local Oddbins this week, you’ll find the 2009 Stratum Pinot Noir from Sherborne Estate in Waipara down from £10.99 to less than seven English pounds.
Back in January at New Zealand conference Pinot Noir 2010, producers argued that their Pinot Noir could not be made and sold for under a crisp tenner – unless you wanted to go out of business. You might see some of the bigger Kiwi companies like Villa Maria selling their entry level Pinot Noir at a relative snip but that’s because they’ve secured a deal from their UK distributor to take a specified amount of their higher priced wines.
John Ferris, director of sales and marketing at Villa Maria Estate, said, ‘It is a very low margin for us but if you can strike a deal on selling quantities of your upper ranges in return for cheap prices there’s huge opportunities in the sub £10 category. But it’s essential to keep your cost-of-goods down”
Many other premium producers have said sub £10 Pinot Noir is not viable for most New Zealand wineries, and they should be concentrating on the on-trade and independent sector. Yet the average price for a bottle of New Zealand Pinot Noir in the UK is just under the £9-mark. Or, you can go down to Oddbins and buy a bottle for £6.99. However, things are still comparatively buoyant for New Zealand – the average price for a bottle of Chilean Pinot is around the £6-marker.
