Every year, there are numerous en primeur offers from wine merchants, most notably
from Bordeaux. However, for many consumers, the en primeur merry-go-round can
be a confusing spectacle. So here's a quick Q&A explaining what it is and how
it works.
En primeur is a French wine trade term for wine which is sold as a 'future', i.e.
before it is bottled – usually the year after the en primeur offer. The most important
annual offer comes from Bordeaux.
How does the system work?
Every spring after the vintage, the great cru classé properties of Bordeaux
produce young barrel samples from the previous year's harvest. These are then
tasted and assessed by members of the international wine trade in Bordeaux.
The châteaux then release for sale a 'tranche' or proportion of their total
production at an opening price. This is sold in strict allocation to wine brokers
in Bordeaux, known as négociants. The négociants then sell the en primeur offers.
Why does it work this way?
Mainly because it always has. Moreover, by selling to négociants, the châteaux
effectively spread the risk of bad vintages, which they might otherwise be unable
to sell. En primeur sales also provide the châteaux with a ready source of cash,
which they would otherwise not recoup until the wine was bottled and sold.
As the system stands, the négociants are more or less obliged to buy whatever
the châteaux sell. If the négociants don't buy what they are offered (in a bad
year), they risk forfeiting their allocation for next year (which may be a great
year). However, the system only works effectively in periods where strong world
demand for the great wines of Bordeaux outstrips supply, as is currently the
case.
Is only cru classé Bordeaux sold en primeur?
No. Winemakers whose wines are not classified growths, but whose quality and
price justifies a futures allocation, also offer wines in this way. In some
cases this is the only way to obtain limited-production wines on release.
Is it only Bordeaux that sells its wines as en primeur?
No, you will find en primeur offers from other wine regions around the world,
including Burgundy, the Rhône Valley, Italy, California and Australia.
How much time do you have to make your mind up?
Don't delay too long, you may miss the boat.
When do you pay?
Consumers pay the opening price as soon as the offer is made by your merchant.
When do you get the wine?
Usually in spring or summer two years after the offer. Then, once you have paid
the additional shipping costs and duty, you can take delivery of your precious
cargo. An estimate of these costs is usually given to you when you buy your
wine.
How easy is to get what you want?
It depends on what you want to buy. Because demand is so strong for the most
sought-after wines, it helps if you are a long-standing customer of a wine merchant
that is offering wines en primeur. If you're not you may have to go to the back
of what could be a very long queue. However, you will have less of a problem
with those wines which are more available and less expensive. In order to get
some great wines, customers may have to take lesser wines, too, as part of their
order.
Complicated, isn't it?
Yes, but there seems to be little sign of change in the offing, and the system
does work.
