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Prices for Burgundy on the secondary market could stabilize after two years of decline. This is expected by the global wine trading platform Liv-ex (London International Vintners exchange). It recorded a significant increase in the quantity of wines traded in the first weeks of 2025, especially for regional wines. Compared to the same period in 2024, 6.4 percent more Burgundy was traded. However, its average value decreased by more than a quarter. "As the average cost per liter for regional Burgundy has fallen by 36 percent since 2022, prices now seem to have reached a level that attracts buyers," say the analysts at Liv-ex.
The Liv-ex Burgundy 150 Index has fallen by over 30 percent in the past two years - more than any other sub-index of the Fine Wine 1000. However, looking at the past five years, it is still up by about 17 percent. It is noteworthy that white wines in the Burgundy 150 are still 4.4 percent above the level of January 2022, while red wines are 21.4 percent below (see title image).
The ratio of supply to demand ("Bid:offer-ratio") for the Burgundy 150 reached its peak in October 2021 at 7.14. This means that the total value of purchase bids at that time was more than seven times the value of the offers. Today, this value stands at 0.23, the lowest of all sub-indices of the Fine Wine 1000. Early signs suggest that prices for the recently released 2023 vintage may also give way on the secondary market. The average offers for already available wines are 11.4 percent below the list prices of London merchants.
According to Liv-ex, buyers remain risk-averse but active. The number of transactions is stable. However, fewer bottles are being purchased per transaction at significantly lower average prices. Liv-ex analysts conclude from all this that in 2025, prices would have reached a level that could lead to higher trading volumes and possibly a better balance of supply and demand. However, a longer phase of price stability is needed to restore the confidence of market participants. Lower prices would expand the circle of potential buyers.
(al / Source: Liv-ex)
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