Member access

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

HCI - Hosken Consolidated Investments Limited : WEAK RAND COULD MEAN GREAT VALUE SOUTH AFRICAN WINES

04/18/2013 | 02:40am US/Eastern
Recommend:
0

A leading producer believes favourable currency rates mean South African wines can now beat the likes of Australia in offering "exceptional value for money" at all price points.

While sterling is weak against the euro, the US dollar and the Australian dollar, it is showing continuing strength against the South African rand.

KWV chief winemaker Richard Rowe told OLN: "Recognised Australian brands are saying they are not going to continue in the UK market. They have a problem with the strength of the dollar, but that's not an issue with the rand.

"The position of the rand at the moment is particularly favourable for us to move into the UK."

Rowe believes KWV, one of South Africa's largest producers, struggled under the agency of Thierry's because "we gave them too much latitude".

He added: "There wasn't appropriate focus and we were selling entry level products at a price that wasn't sustainable."

But KWV has now appointed Myliko as its UK distributor and is set for a large-scale push in Britain, starting at the London International Wine Fair.

Rowe said: "With a new partnership there is new energy and new focus and we are looking to rebuild our market position.

"We want to present wines of exceptional value for money at entry level and to be selling products above £20."

He warned of the dangers of South Africa being pigeonholed as a producer of entry-level wine and stressed he wants KWV to have a "balanced pyramid".

It offers entry-level wines, the £7.99 KWV Classic range, the £9.99 Rooderberg range, the £19.99 Mentors range and wines all the way up to the £75 Perold label.

"It's a surprise to me that South African producers have pulled out of the UK saying it's too competitive," he said. "It's about getting your offering right."

Source: Offlicence News - Martin Green

distributed by
Recommend :
0
React to this article
Latest news
Date Title
19m ago Uchumi acquires first base in Kigali
21m ago Pfizer considers $100 billion bid for AstraZeneca
21m ago TRANSCANADA : Pipeline delay gives boost to Obama's political base
26m ago NOSTRUM OIL & GAS : S&P affirms rating of Nostrum Oil & Gas at B+ with stable outlook.
26m ago NORTHROP GRUMMAN : to signifcantly expand international, non-defense business, CEO says
28m ago MOODY : sees Uzbekistan banking system stable.
28m ago Croatia's Dukat establishes new unit in Macedonia
28m ago Arabia Insurance Q1 losses down 92%
28m ago Buruj records SAR 3.54 mln net profit in Q1
28m ago SAUDI CHEMICAL : Q1 profit hits SAR 91 mln
Latest news
Advertisement
Hot News 
HAVELOCK EUROPA : Preliminary Results to 31 December 2013
LDK SOLAR : Provides Additional Information on its Request for Review of NYSE Regulation's Decision to Suspend Trading and Commence Delisting Procedures
HAYNES PUBLISHING : Third Quarter Hit By Us Inventory Returns, Weak UK
SPACEANDPEOPLE : Shares Slide As It Lowers 2014 Forecast
BLUR : Shares In Blur Group Plummet Due To Delayed Revenue Recognition
Most Read News
1d ago GRAHAM : Pentagon Mulls Deployment As Poland Asks For 10,000 Troops
1d ago TEXTURA : Uncommon Uses Greengrade to Help Achieve LEED Platinum for Project VIDA
1d ago BAYERISCHE MOTOREN WERKE : Marion County Deputies Arrest Speed Racing Driver
7h ago MAZDA : New mazda3 rolled out
1d ago WPCS : Announces Launch Date for BTX Trader Platform
Most recommended articles
3d ago U.S. shares seen opening lower as tech giants stumble
3d ago Financials bolster FTSE after reassuring U.S. earnings
3d ago BLACKSTONE : earnings rise 30 percent, boosted by private equity gains
20m ago Pfizer considers $100 billion bid for AstraZeneca
21m ago TRANSCANADA : Pipeline delay gives boost to Obama's political base
Dynamic quotes  
ON
| OFF