Georgia Ranked 17th Country in World for Wine Exports

The Association of American Wine Economists (AAWE) has ranked Georgia in 17th position in their list of wine exporting countries in the world, released on 30 August.

Based on data from 2018, Georgian wine companies exported 86.2 million bottles of wine totaling $196.6 million in value, the AAWE reported. A total of 284 wine companies, 34 more than in 2017, sent bottles to 53 countries around the world. Georgia placed behind The Netherlands and Austria and ahead of Lithuania and Belgium.

A well-known wine nation, France topped the list, exporting wine with a value totaling $11,055.9 million. Italy, Spain, Australia, Chile, the USA, Germany, New Zealand, Portugal and the UK all ranked in the top ten.

Georgian wine exports have been increasing year on year. In August, Forbes Magazine reported that wine exports from Georgia to the United States grew by 88% in the first half of 2019.

As one of the oldest wine regions in the world and with 525 grape varieties, Georgia has a strong winemaking tradition. Indeed, unique wine methods, such as Qvevri, which is a UNESCO-protected winemaking technique, have helped to put Georgian wines on the map.

“Wine professionals have discovered Georgia’s indigenous varieties, which reflect a deep sense of place,” Julie Peterson, Managing Partner of Marq Wine Group told Forbes. “There is growing interest in low-intervention wines, and because Georgians have continually produced wines using natural, ancient methods for 8,000 years, they stand at the epicenter of this practice.”

However, despite Georgia’s historic link to wine, companies have faced setbacks over the past decades. Winemakers have worked to bring back unique varieties of grapes that were phased out during the Soviet era to make way for generic sorts that were easier to produce for the mass market.

In addition, a Russian wine embargo imposed in 2006 forced the industry to diversify its market. At the time, Russia was the biggest export market for Georgian wines, as the destination for a staggering 92% of wine exports. Russia is now once again an important market for Georgian wines. In 2018, Georgian wine exports to Russia totaled 15% of the total exports by value.

This year, Georgia may also face difficulties due to a challenging grape harvest and further Russian sanctions. Chairman of the Georgian National Wine Agency reported in August. “Producers say they will buy less grapes than planned as they could face problems selling wine,” he said, adding that Georgian wine exports to Russia had decreased.

Nonetheless, today, Georgia’s wine industry is transforming from small home-based makers into an important industry, using both qvevri and European methods. Despite being a small country, there are more than 500 wine companies and 100,000 home wineries registered in Georgia and the number of wine exports is expected to continue to rise.

By Amy Jones

Image source - Just a Glass of Wine