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As Fine Wine Prices Drop, There Has Never Been A Better Time To Invest

March 16th, 2010

There are some oddities that go on in the wine market. It is essentially a luxury product and yet millions of bottles are produced each year.A wine might be worth less than one ten years its junior, and whether a certain wine sells well or not can come down to a few people’s personal taste. One thing is true though, there are a lot of people making a lot of money in the wine game and now is a pretty good time to get involved.

The costs of high class wines have been rising steadily for a good few years now. As better storage facilities and more advanced manufacturing methods produce higher quality wines, so too does the price people are willing to pay for them go up. Sotheby’s wine expert Jamie Richie even said “Prices had risen to nearly unsustainable levels last spring”. However, now that the recession is upon us, the prices of these exclusive wines are coming within reaching distance. 2009′s January figures showed a decrease in prices of close to 1.2% according to Liv-Ex 100, the tracking index for the top 100 collectible wines. This is trend that experts expect to continue for while and can in fact be seen throughout the wine sector, from wine production to the sales of everyday shot glasses.

Recently, at a Chicago auction a bottle of Montrachet Domaine Romanee-Cont (1978) went for $3,783. That very same bottle sold at a Sotheby’s auction a few years ago for $23,929. This massive decrease in costs is allowing lots of people to pick up some great wines for their own personal collections or for investment, for only a fraction of previous prices.Experts agree that the wine sector will continue to drop until the end of this year when it will start to regain some power again. Tableware and drinking accessories are expected to improve as well.

Joss Fowler from Berry Bros and Rudd is a wine investment guru and he has some pearls of wisdom to share. He says that the best bet is still Red Bordeaux as this always ages well. Also, play it safe and get the best wines your money can buy from the best vintages. Stick to this adage and you’ll be filling up your wine racks sooner than you think.

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