Published: December 13, 2023 6:33 am
Author: RT
Consumers are reportedly opting for less expensive sparkling wines
Sales of champagne in France have dropped by more than 20% this year due to skyrocketing prices for the sparkling beverage, the BFM Business TV channel reported on Tuesday.
The average price for a liter of champagne is reportedly hovering around €30 ($32), causing the French to opt for alternatives such as Alsace cremant and prosecco, which are up to five times cheaper.
“Champagne is going through tough times because it’s too expensive for many French people,” Dominique Schelcher, CEO of retail cooperative Systeme U, told the media. “Other sparkling wines, such as Cremant d’Alsace, are on the rise.”
Earlier this year, France’s Champagne Committee predicted that production of the sparkling beverage in the country would decline by about 6% to 130 million bottles by 2023, compared to 138.4 million bottles in 2022.
The organization also forecast that champagne sales and exports would see a dramatic drop this year, pressured by inflation and a return to more typical trends after record demand in the past two years due to the lifting of pandemic-related curbs.
READ MORE: French winemakers launch ‘economic war’ against neighbor
If the pattern observed over the first 11 months of the current year continues in the coming weeks, champagne sales could decline to 110 million bottles for the whole of 2023, marking the lowest level in years.
Food and energy have been particularly affected by inflation in France, which peaked at 6.3% in February, having been on the rise since the end of 2020. Although inflation has begun to ease in recent months, standing at 3.4% in November, food prices in France continue to increase.
For more stories on economy & finance visit RT’s business section
