By Peter Brieger (AFP) – Nov 7, 2009

HONG KONG — Chinese wine imports have soared more than ten-fold in the past few years but foreign producers hoping to cash in on the boom are warning the market is fickle and not for the faint of heart.

China is on track to import 10 million cases of wine this year, up from 840,000 in 2004, according to the Hong Kong Trade Development Council (HKTDC).

Wangfujing, Beijing - 2006

Asian wine consumption, excluding Japan, is expected to double from this year to 27 billion US dollars in 2017, the council believes, with much of that growth driven by Hong Kong and cash-rich China.

In another sign of the growth of the market, last week’s Hong Kong International Wine and Spirits Fair, the second such annual event, attracted 520 exhibitors from 34 countries — double last year’s number.

“Many people are shocked by the speed of the growth,” said Raymond Yip, the HKTDC’s assistant director. “But there is a lot of pent-up demand for wine.”

The disposable income of an emerging Chinese middle class has grown and many of its members are choosing wine as a healthier alternative to spirits, Yip said.

“People are getting more health conscious and all of a sudden wine has become fashionable,” he added.

But Raymond Signorello, proprietor of Signorello Vineyards in California’s Napa Valley, said he has been struggling to find the right agent to market his premium reds on the mainland.

“It’s kind of a gold rush,” he told AFP from his booth at the fair.

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