Burgundy prices have risen relentlessly in 2018. This has more than reversed the blip experienced by the region at the end of last year, when the index was dragged down by price drops for some key wines.
Over a one year period, it has vastly outperformed all other regions. The Burgundy 150 Index, which tracks prices for 15 top wines from the region, is up 23.7% over 12 months and 10.7% year to date.
The chart below gives this trend greater context. The broader wine market, represented by the industry benchmark Liv-ex 100, has experienced numerous ups and downs over the past decade. The Burgundy market, on the other hand, has mostly moved in one direction: up.
In a report published by Liv-ex in February, this was part explained by the simple supply/demand equation. Supply is tight, and more money, particularly from Asia, has been competing for the rare bottles. Where supply is limited, owners quickly become price setters. A more in-depth exploration of the Burgundy market can be found here.
All other regions are in positive territory over one year, but none come close to matching Burgundy’s performance. The weakest performer, the Rhone 100, has gained just 2.5%. The Bordeaux 500 is up 5.7%.