Chile bucks wine trends
Shay Waterworth finds that, with export volume and value growth up, Chile stands out as a positive in the current global wine story
According to the recent report from the International Organisation of Vine & Wine (OIV), Chile is one of the shining beacons of hope when it comes to wine exports. The world’s fourth-largest wine exporter experienced export volume growth to 7.8 mhl (+14.4%/2023) and export value reached €1.5bn (+6.1%/2023).
Viña Concha y Toro, one of the country’s biggest exporters by volume, recorded 9.1% growth in revenues and 4.7% in volume during the fourth quarter of 2024, accumulating a 14.5% increase in value to CLP$958.6 billion.
“2024 proved to be a very positive year for Viña Concha y Toro, marked by robust sales and margin performance that set us apart in a challenging year for the alcohol industry,” said Eduardo Guilisasti, the company’s chief executive. “This highlights our capacity to deliver exceptional wines while also establishing powerful global brands.”
Viña Morandé, which has wineries and vineyards across several of Chile’s major valleys, was founded by Pablo Morandé almost 30 years ago with the intention of being the first producer to grow wine in the Casablanca region. Today Casablanca is mainstream in the Chilean wine industry and the Wines of Chile website describes it as the following: “Chile’s pioneering cool-climate wine region, Casablanca, is known for the Pacific maritime influence that cools its climate, the morning fog that settles in the valley, and the old granitic clay soils that create a rich tapestry of terroirs, all factors that contribute to making this valley one of Chile’s leading white wine producers.
“The higher, warmer, frost-free elevations are conducive to red varieties such as Merlot and Syrah, while the lower, cooler areas are favourable for vibrant whites with a distinctive minerality.”
Less conventional
However, this template is changing with the climate and Morandé head winemaker Ricardo Baettig, says: “We do some less conventional things here, but it’s always with the idea of making great wines. We’re expecting a small vintage in terms of yields, but the quality is great.
“We’re creating really great cold-climate red wines with Malbec in Casablanca. In Casablanca the average temperatures are almost half that of the Maipo Valley in the centre of Chile but because of climate change Casablanca is becoming slightly warmer, which makes Malbec a bit more floral than those in the central valleys.
“Warmer and drier conditions in the central parts of Chile is the biggest change for us, as well as the slightly drier conditions in what used to be the extreme areas in the south.
“Most of my attention right now is going into Cabernet Sauvignon from old vines in the Itata Valley (south central). I’m in love with these wines right now because the place is unique and nobody else has found vines in that region which have been planted as well as ours.”
In line with the wider Chilean wine sector, Morandé is performing well overseas and Baettig believes offering new styles is a driving force behind the success.
“I’d say about 20% of our wines are sold domestically, so we’re an export-focused producer. The UK is our number one market followed by continental Europe and Latin America. We’ve always been more European focused than North America.
“Cabernet Sauvignon is the most important variety from Chile, but it’s more interesting for consumers and distributors to offer Chardonnay and Pinot Noir from down south in the Malleco Valley or Malbec from Casablanca because it shows what we’re capable of.”
As one of the few major wine-producing countries to produce positive exports in 2024, winemakers such as Baettig are using Chile’s expansive range of soils and changing climate to its advantage, offering a more nuanced palate of wines to its loyal overseas fans. The other advantage for Chile is that, unlike many European or Australasian producers, it isn’t reliant on the US for exports, which provides a more stable forecast for future sales.