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          Israeli producers eye China high-end market

          By Mitch Moxley and Zhang Qi (China Daily)
          Updated: 2007-07-27 09:55

          In another dimly lit section of the LAN Club, Chinese buyers tasted wines from Israel's five grape-growing regions.

          Because of the country's variety of wines, and the global reputation of Mediterranean wineries, Batia Levy, export director of Carmel Winery, Israel's largest producer of wines, grape juice and brandy, is optimistic her products will find a place in China, where demand for wine is growing.

          Carmel already sells several brands in China through its Shanghai representative.

          Related readings:
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           High-end consumers feel low
           A sweet tooth for luxury goods

          "We hope China becomes a major market for us," said Levy, whose company exports to 30 countries, including the US, UK, Canada and Russia.

          But consumer products from Israel remain a mystery to many Chinese consumers. In 2006, just 3.3 percent of all Israeli exports to China fell into the food, beverage and tobacco category. Total exports to China were just $958.4 million.

          "Although the wine is good, it will be difficult to open the Chinese market, because it's already occupied by French, Italian and Australian wines," said Guo Jie, a wine trade professional.

          "They need to know how to build an Israeli wine brand and how to promote the wine industry as a whole in China."

          Still, Guo believes Israeli wine, and other consumer goods, can find a home in the country. "Anything can have a market in China," he said.


          (For more biz stories, please visit Industry Updates)

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