” The part of the angels. This is the term used in Charente cellars to evoke the inevitable evaporation of the precious eaux-de-vie during aging. This time, it could illustrate the results of French alcohol exports in 2020. They have indeed suffered a sudden phenomenon of evaporation. According to figures published Thursday, February 11, by the Federation of French Wine and Spirits Exporters (FEVS), nearly 2 billion euros have gone up in smoke. The overall amount of sales of bottles abroad fell by 13.9% to 12.1 billion euros. But even less dashing, this sector remains the second largest contributor to the French trade balance, with a surplus of 11 billion euros.
In early 2020, while the FEVS presented staggering 2019 figures – the flow of cognac, champagne and wine once again exceeding historically high levels – it had already alerted. The clouds were starting to pile up. Trump taxes hit French wines when they entered the United States since October 2019. And the coronavirus had appeared in China. Events which have deeply shaken up the industry throughout the year.
“In 2020, our companies faced a particularly complex environment. First, because of the trade conflict with the United States, without a solution to date. Then appeared the Covid-19 pandemic, the effects of which gradually spread to all continents ”, explains César Giron, president of the FEVS.
“A drop in three thirds between Asia, Europe and the United States”
The health crisis arose in China before the Lunar New Year, the height of consumption. The cancellation of the festivities plunged sales of the precious bottles of cognac into the Middle Kingdom. The suspension of air transport has sharply reduced duty free purchases. The Hong Kong and Singapore markets were affected. As a result, exports of wine and spirits to China fell 15.2% to 809 million euros. Including Hong Kong and Singapore, the withdrawal reached 19.4%, to 1.9 billion euros.
The Covid-19 pandemic then spread to Europe and America, with its share of lockdowns, closures of bars, restaurants and nightclubs, and event cancellations. What to limit the flow of orders. “Overall, the drop in exports is fairly evenly divided into three thirds, between Asia, Europe and the United States”, says Mr. Giron.
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