Wine Sectors in Italy and Around the World
International Market
There are numerous companies in Italy that work in the production of wine and, even more within the international market. It would be remiss not to mention historical wine producers such as Italy and France, however, numerous other market players are forcefully emerging throughout the global marketplace. Some quite evident examples include Californian wines or in recent years Chinese and Chilean wines. The growth of the latter two have influenced a trend for strong reductions in the selling prices of wine, generated by the low cost of labour and production, moving towards economies of scale and volume.
It‘s clear to see that what happens in the international market sphere has repercussions with wide-ranging effects. Therefore, in the national sphere, specifically in Italy, where the cost of labour is quite high, production methods are changing. The wine market is reducing the quantities of wine produced at the expense of raising the price of wine.
There are essentially three types of companies that operate within the wine market:
Wine Farms: Companies which cultivate and collect grapes for the sole purpose of selling them without making them undergo any processing or transformation, generally speaking, their buyers tend to be wineries.
Wineries: Companies which through processing, transform grapes into wine, the raw materials of which are generally purchased from wine farms. These tend to be mainly large-scale companies.
Wine Farm & Winery: This type of company is concerned with the entire life cycle of grapes, from cultivation to bottling without any intermediaries involved. This particular type of production provides the final product with a higher perceived value.
Wine Farms & Winery:
The Wine Farms & Winery combination may, within the international sphere, be able to best adapt, as their production, although by now very industrialized, remains quite controlled. A control which mainly derives from being able to manage the entire production chain and its also possible to find amazing wine in such establishments.
