French wine and spirits exports in 2024 – looking on the bright side

When you look at French wine and spirit export figures for 2024 – presented on February 11 at Wine Paris by the FEVS - there’s definitely something to be said for the ‘glass half full’ approach. While exports admittedly declined by 4% in value terms to €15.6 billion, volumes consolidated at 0.1%. Hive off wines and the metrics are slightly better: export volumes grew by 0.7% while revenue declined by 3%. Also, the figures can be explained by a few major, and hopefully transient trends: wine revenue was impacted by declining sales of Champagne with cash-strapped consumers switching to more affordable alternatives like Italian Prosecco and French Crémant; countervailing duty issues in China negatively affected French flagship spirits Cognac and Armagnac; and again in China, France lost out to Australia which began clawing back market shares after its duty-driven absence. Other markets were more bullish – the United Kingdom, the United States and Asian markets like Japan, Malaysia and Thailand proved to be sources of volume and/or value growth for French products.

While inflation and the cost of living crisis continue to put a dent in premiumisation, there are undeniable pockets of growth, some of them deep. The no- and low-alcohol drinks market is experiencing robust growth, more conventional segments like rosé, white and sparkling wines are still headed north and innovative packaging formats are opening up new occasions and opportunities. In fact, although red wines continue to bear the brunt of changing consumer patterns, a worrying trend is the geopolitical pressure being exerted on the drinks industry, including the still imminent threat of additional duties in the US. The French wine and spirits industry has therefore decided to establish a new multi-organisation body – the Maison des Vins & Spiritueux – designed as “a single voice for the industry to address politicians and the authorities”. Because as FEVS chairman Gabriel Picard pointed out in Paris, “United, we stand strong”.