As overseas wine crowding into China market, some one worried about overseas brands scramble for market share with domestic producers. In fact their worry is unnecessary.

In 1990, many oversea brands from France, Italy and Spain entered domestic market, but after several years, consumers found imported wine has not popularized due to wine tastes and high price. Some foreign winemakers summarized two reasons of failure in China market: firstly they defend their management model, which is inefficient in China; secondly they did not make wine appreciated by Chinese consumers.

China government decreased tariff duties after entering WTO, from January 1st 2006, tariff duties of overseas bottled wine plumbed down from 43% to 14%, comprehensive down from 85.9% to 48.2%; tariff of overseas bulk wine down from 43% to 20%, comprehensive tariff down from 85.9% to 56%.The large drop of tariff decreases importing cost and importers have good prospects of gain, so more and more overseas wine surged into China market. From January to May Tianjin wine import volume jumped to 4.81 million L, increasing 160% over the same period of last year; total value 4.036 million dollars, increasing 110% over the same period of last year.

Importing wine intensified market competition, but simultaneously they bring advanced idea, perfect technology and successful planting model, which promote China to merge into international market.

Source:佚名