South America’s largest wine producer Concha Y Toro says its new long-term distribution deal with Russian Standard presents it with a ‘huge growth opportunity’.
The Chile-based firm’s brands including Casillero del Diablo* (pictured) Frontera, Sunrise, Trio, Marques de Casa Concha, Terrunyo Amelia, Carmin de Puemo and Don Melchor all form part of the agreement with Russian Standard’s distribution arm Roust Inc.
In 2013 Russia’s imported wine market grew 5% (IWSR) and Eduardo Guilisasti, CEO, Concha y Toro, praised the firm’s new partner for its ability to position global brands among Russian consumers.
“This partnership represents without any doubt a huge growth opportunity for Concha Y Toro in a priority market worldwide,” he added.
Russian Standard is the world’s second-largest vodka producer by volume, and sells over 34m liters of nine-liter cases in 80+ markets; it is Central and Eastern Europe’s largest integrated spirits beverage company.
Top brands include Russian Standard. Green Mark, Parliament, Zhuravli and Polish vodka Zubrowka.
Despite steady still wine sales growth in Russia, Richard Halstead, COO of research outfit Wine Intelligence, warned last year that market players were still spooked by "constantly morphing government regulations...stifling bureaucracy and the ever-present spectre of corruption".
Recent "goalpost shifts" included the TV, internet, public transport, public spaces ban on advertising alcohol from August 2012, Halstead added, though he said the Russian government was encouraging wine drinking given abuse of vodka.
*The name of this wine derives from the legend invented by Don Melchor, founder of Concha Y Toro Winery in Chile, who spread the rumor that the devil lived in his wine cellar to deter wine thieves.
Hence the iconic 'devil's head' logo that the Casillero del Diablo brand sports.
More to follow…