Back in 2020 when the pandemic shook the world and impacted the international trade of various products, the global exports of one were barely affected — the international wine trade. While some might argue that the total monetary value of wine exports did indeed drop due to the reduction in average prices, there is no denying that the billions’ worth of global sales for wine exports in the years that followed demonstrates a rapid recovery.
And beyond the big exporters of wine — namely, France, Italy, Spain, Chile, and Australia — New Zealand (NZ) winegrowers have also witnessed continued growth in value terms. As a matter of fact, towards the end of September 2022, New Zealand Winegrowers reported that the country’s wine export value reached over two billion — a 6% increase from 2021.
With their distinctive flavours of wine grape varieties, quality and promise of sustainability, wines made in New Zealand have increasingly resonated with consumers from all over the world, leading to an ever-growing demand for them. Despite issues such as increasing production costs, lack of skilled workers, strained supply chains, and inefficient management of market impacts, there seems to be no stopping New Zealand players in the wine industry from reaching their goal of increasing wine exports to the billions.
Challenges of shipping wine internationally
As much as the popularity of wine has spiked over time and New Zealand winegrowers remain optimistic about growing their wine exports, there are still a few downfalls in the form of wine shipping challenges. Already being a small country on its own, navigating these challenges can make or break businesses’ ability to successfully enter the international wine market. However, being aware of these challenges and associated solutions can do wonders in terms of navigating a safe course of action and ensuring a smooth delivery process for all parties involved.
1. Temperature fluctuations
Whether you are shipping wine internationally as a gift or exporting them out for your business, one thing remains constant — the need for the alcohol to be kept at a certain temperature to prevent it from spoiling. The slightest shift in °C and the bottle of wine will either not mature properly or spoil completely. With the sensory and chemical profiles of wine being extremely vulnerable to temperature changes during shipping, the shipment time, the number of vibrations and even other environmental factors like exposure to sunlight, it is crucial to consider the shipping method, packaging material and storage conditions to guarantee its shelf life. Leveraging temperature monitoring or regulating services during the shipment will also help maintain the freshness and signature aromas of various wine grape varieties while simultaneously preventing premature ageing.
2. Damage and miscellaneous costs
Wine or not, any business will agree that not delivering a product in one piece is probably not the best way to retain customers. Add to that the additional costs of dealing with return logistics and the massive dents to potential profits are clearly not sustainable for any business. Given the tricky and delicate nature of wine and wine bottles, making your product packaging stand out should come second after taking the necessary steps to ensure packages are not broken, and risks such as cork ejection and leakage are mitigated. In an ideal world, shipping insurance is one of the best ways to protect both your business and your customers.