Interesting info on the global wine supply, and how over-supply has kept pricing low from 2004-10, and with 2012 looking like a weak production year in France, there's a chance for Australia to make up the difference:
End to Cheap Wine Pricing Near
- Reply by Terence Pang, Jan 28, 2013.
Incidentally, I don't think the excess of wine grapes here in Australia would do much to address any short-supply from the French 2012 vintage.
The growing conditions leading up to the 2013 vintage have been a mixed bag. The seasonal weather has been as consistent as the daily weather in Melbourne i.e. not. There has been continued effort to reduce production volumes to address the excess of grapes, and this year's crop is looking to yield a further reduction from last year.
Prices have held this year because the major corporates have been paying for better quality grapes to offset any deficits from their own vineyards hit by average - poor growing conditions.
Finally, and most importantly, the strong australian dollar remains the biggest impediment to exporters. Even after accounting for tax and duty charges, would the average consumer in the UK, USA, Canada be willing to pay $25-$50 for a bottle of Australian vino?
- Reply by amour, Feb 1, 2013.
Liv-ex Fine Wine 100 Index, (an index representing price movements of 100 of the most sought after fine wines in the world) expect PRICE RISE IN FINE WINE THIS YEAR 2013.
On another note, I heard from a reliable source that clearly, French wine imported into the U.S.A. is presently getting competition from low-priced decent wine from California and Argentina.