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New Zealand sparkling wines have benefited from French champagne corks not popping so frequently over the Christmas holiday period in Britain.
Majestic Wine, Britain's biggest wine warehouse chain, yesterday reported that the recession had impacted on champagne sales as drinkers turned to less costly sparkling wines.
The strength of the euro against sterling had also made New World wines, including New Zealand's, even better value.
Majestic chief executive Steve Lewis said the most popular sparkling wines included Lindauer and Cloudy Bay Pelorus from New Zealand and Green Point from Australia.
The company's New Zealand wine sales over the 10 weeks to January 5 had risen by 29 per cent, helped by strong demand for sauvignon blanc in the 5-7 ($13-$18) range, the Times of London reported.
New Zealand Winegrowers chief executive Philip Gregan said New Zealand wines were continuing to trade strongly in Britain despite the recession.
Most New Zealand wine in Britain sold for between 5 and 6 a bottle.
"That is part of the market that is very much focused on quality wine and where we can be profitable, given our costs of production and the long distance to the market."
Mr Gregan said that New Zealand wine exports to Australia had also been doing well and the industry hoped exports to the United States would improve in 2009, after the fall of the kiwi dollar against the greenback, but that would depend how hard the recession bit in the US.
- NZPA