by Sophie Kevany

France and Hong Kong have formally agreed to develop wine sector trade and tourism together, under the terms of an agreement signed this week in Hong Kong. The agreement, signed by French Agricultural minister, Michel Barnier, and Hong Kong Trade Minister, Rita Lau, fits with the French need to develop wine export markets, and Hong Kong’s desire to become the primary wine trading hub for the Asian market.

In a statement announcing the agreement, the French agriculture department reported that since the removal of import taxes on wines coming into Hong Kong in February this year, exports of French wine to the island have risen by 70%.

Speaking earlier this month at the opening of Hong Kong’s first homegrown wine trade fair, Permanent Secretary for Trade and tourism, Yvonne Choi compared herself to Robert Parker, saying Hong Kong, like Parker, was ready to focus “every bit of mental energy” on wine.

Choi also predicted that Asian wine consumption (excluding Japan), which currently accounts for 7% of total global consumption, would double by 2012, and be worth €18bn ($27bn) by 2017.

Immediate proof of Hong Kong’s success, Choi said, was the resurgence, in the last six months of wine auctions. “Bonhams got the ball rolling with a sale in April, and in May an auction by Acker Merrall & Condit fetched an Asian record of $8.2m,” said Choi.

Acting financial secretary, Carrie Lam, told guests that global wine demand was shifting from traditional markets like Europe and the US, to Asia. In her speech, Lam predicted that the value of wine imports into Asia, again excluding Japan, would reach up to €1bn ($1.5bn), by 2017. She also predicted mainland China’s wine imports would grow to €590m ($870m) in the same time period.

Since June this year Hong Kong has also further streamlined paper work on wine imports and now allows traders importing wines in refrigerated containers to choose to have their wines inspected in temperature and humidity control conditions if they wish.