Greek wine in Brazil: Challenges and opportunities with partnerships as a “weapon”

The wine market in Brazil presents particular characteristics and challenges.

According to a market survey conducted by the Office of Economic and Commercial Affairs of St. Paul, since the pandemic, wine consumption has increased significantly, especially during the winter season in the Southern Hemisphere, with red wines accounting for 83.3% of sales in supermarkets. At the same time, interest in white wines and sparkling wines has increased, due to cultural and climatic changes.

In recent years, significant progress has also been made in local wine production in Brazil. Despite the difficulties, Brazil is the fifth largest wine producer in the Southern Hemisphere, after countries such as Argentina, Chile, and South Africa. However, despite the improved quality of Brazilian wines, imported wines continue to dominate.

The importance of the wine market in Brazil is highlighted, among other things, by the organization of events on an annual basis, creating new trends and opportunities. The development of a stronger wine consumption culture in the country is crucial for the sustainable development of the wine market.

However, the choice of the purchase channel depends on the experiences and profiles of consumers. Casual buyers prefer the cheaper and more convenient solution of supermarkets, while wine lovers turn to specialized stores or digital platforms for special or high-quality products. The online market is experiencing rapid growth due to convenience, with more and more consumers choosing applications and websites for their purchases. In terms of preferences, Brazilians show a particular preference for red wines, which represent 60% of imports, while the trend towards natural and organic wines is also increasing, in line with the global shift towards sustainability.

The main exporting countries to Brazil are Chile, Argentina, Portugal, Italy, France, Spain, and the USA. Greece ranks 16th in terms of Brazilian imports, but holds a small share of 0.03% of the market, with the average price of Greek wines being 3.24 dollars per kilo.

Greek wines may occupy a small market position in Brazil, but it is growing as Brazilian consumers increasingly seek unique flavors and varieties from international regions. Most Greek wines imported into Brazil come from well-known wine-producing regions, such as Assyrtiko from Santorini, Agiorgitiko from Nemea, Xynomavro from Macedonia, and Moschofilero and Roditis from the Peloponnese.

Despite its significant difficulties, the Brazilian market can offer good opportunities for Greek wine exporting companies. However, the sizes of the main competitors are clearly different from those of the average Greek exporting company. The size of the Brazilian market is such that small, individual exporters may not have the best possible prospects, unless their product is addressed to a specialized market segment and they are willing to invest significantly in its promotion, in order to convince the special interest groups they are addressing of its uniqueness.

For consumer products such as wine, better results could probably be achieved by a collective effort that would create the critical mass of participating exporters, so that they can achieve greater coverage, competitive prices, stable supply and reduce the cost of managing the export effort. A possible partnership of exporters would also mean the possibility of offering more competitive prices, as well as sharing the cost of promoting and monitoring the movement of their products in Brazil, which are actions necessary to ensure recognition and establish them in the local market.

Another challenge is limited readability: Greek wines are not yet widely known in Brazil, which makes promotion difficult. Also, the high cost of import increases prices, making Greek wines more expensive compared to local wines or others imported from countries such as Argentina and Portugal.

However, promotion through gastronomic events that showcase the connection between Greek wines and Greek cuisine can boost demand. Furthermore, distribution in premium venues such as high-end restaurants and hotels is a good promotion channel.

Finally, public education through tastings and seminars could increase understanding and acceptance of Greek varieties.

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