by Michael Fridjhon
Although the 2006 vintage was already up almost 11% in volume on that of 2005, 2007 appears headed to be even larger. According to current estimates, the next crop could reach 1,335 million tonnes, up almost 3% again on 2006. With the exception of
the Orange River, which expects a smaller harvest, all other regions in particular those of Robertson and Little Karoo are predicting increases. In addition to the favourable weather conditions, the new red grape plantings done between 1998 and 2002 are driving the surge.
At the same time, South Africa s wine export volumes are taking a slowing, down for the first time in 12 years. After growth from 22 million litres in 1992 to 282 million in 2005, a drop of about 5% is expected in 2006. The decline is being driven by a 9% fall in sales of packaged wine. Bulk wine export volumes, on the other hand, have grown by almost 4%. Bulk wine is expected to account for 34% of all exports in 2006; in 2004 that figure was only 28%. The drop in export volumes has occurred primarily in the United Kingdom (down 17%) and the Netherlands (down 22%), South Africa\'s two largest export destinations.
