Wine market

Ukraine has a very developed wine market. The experts appraised the market of wine in Ukraine at approximately 23 mln deciliters of wine or USD 800 million. Nearly 85% of wine is produced by Ukrainian companies and 15% is imported to Ukraine. Nowadays the national wine market tends to grow. Experts believe that potential annual growth of wine consumption in Ukraine for the next several years will be nearly 17%.

The First National Winemaking Holding (“Inkerman”), “Massandra”, “Koktebel”, “Golden Amphora” and “Koblevo” cover 41,8% of all sales in Ukraine.

Typically large wineries in Ukraine are vertically integrated holding companies, which consist of one or two wineries and a few farm enterprises with a total area of vineyards up to 5,000 hectares. For instance, INKERMAN, the leader of Ukrainian winemaking, has 5.5 thousand hectares of vineyards, Koblevo – 2.45 thousand hectares, Massandra – 4 thousand hectares. As a rule, winemakers try to use their own wine materials to avoid external purchases. Because of this the area of vineyards is directly proportional to a company's sales volume.

Leading wine producers in Ukraine

According to experts, within the next year we should expect the mass privatization of the state wineries, which has all chances to completely change the Ukrainian wine market. However, transformation of the market needs strategic foreign or domestic investors. Investments as well as the Western business experience and high technologies can make this sector very profitable and competitive in world markets and repeat the success of Ukrainian vodka giants.