Wine and food lovers!
Singapore, multicultural and dynamic
With a population of around 5.8 million inhabitants, Singapore may be a small market, but it’s a very dynamic one! In fact, this small Southeast Asian country is one of the most prosperous in Asia. With a majority Chinese population (over 75%), followed by a Malaysian and Indian diaspora, Singapore is also highly multicultural, thanks to a large number of expatriates. As well as being home to a financially well-off population, this little corner of Asia is also home to the highest number of millionaires on the continent.
Singapore, time to eat!
The Asian continent is generally renowned for its culinary arts. Singapore is no exception! The young population, aged between 25 and 35, has high purchasing power and a keen interest in cuisine and culinary discoveries! And where there’s food, there’s wine !
French wines and Asian cuisine
French wines are very popular in Singapore, despite the high ‘sin taxe’ on alcoholic products. Red wines are particularly popular, especially those made from Pinot Noir. Unsurprisingly, Burgundy wines are the trend! 100% Pinot noir red wines, fine and elegant, ideal for Cantonese cuisine in particular!
Bordeaux wines are also well known and appreciated in Singapore. But not just any wines… Grands Vins and premium wines are in demand. In fact, some of the great names of Bordeaux winegrowing can be found on Singapore tables, and demand is growing fast!
Growing demand for organic and biodynamic wines
In addition to the popularity of French wines, renowned for their high quality, interest in organic and biodynamic viticulture is growing. Singaporeans are becoming aware of the importance of healthy eating, and are interested in wines for their own sake too.
In addition to their interest in healthy consumption, the population – and young people in particular – are keen to learn more about oenology. Demand for classes on food and wine pairing, viticulture and sommellerie is growing. Demand for wine-tasting sessions is also growing. This goes hand in hand with an affluent population interested in luxury products. Yes, French wine remains a luxury in Southeast Asia!
Singapore: a strategic location for the Southeast Asian wine trade
As a true hub of trade in Southeast Asia, Singapore is in an absolutely strategic position to exchange and trade with other countries. As far as the wine trade in particular is concerned, countries such as Vietnam, Malaysia, Indonesia, Myanmar, Laos, Korea and China often source their products from Singapore. This gives them the assurance that their products are genuine and not counterfeit.
A true king of international logistics in terms of organization and infrastructure, Singapore remains dependent on international trade. In fact, in 2016, 90% of the food consumed in Singapore was imported.
Although Singaporeans like to accompany their meals with a good bottle of wine, local production is non-existent. While 90% of consumer products are imported, the figure for wine is 100%. France is Singapore’s 4th largest wine exporter, after Germany, China and the United States. It dominates the Premium wine market.
Wine trade in Singapore: growing interest in e-commerce
In Singapore, wine is consumed not only in restaurants and wine bars, but also at home! Especially since the Covid episode. Singaporeans’ preferred distribution channel is e-commerce, ahead of wine shops! This distribution channel is growing fast, and Asians are very comfortable with e-commerce, which has become an integral part of everyday life over the past few years.
In addition to the advantages of speed and immediacy, e-commerce helps to reduce certain costs. E-commerce enables merchants to offer better prices to consumers, who are already obliged to pay a fairly hefty tax on alcoholic products.
It has to be said that trading in alcoholic products is not that simple. Not only are taxes high, but the marketing of wine is highly restricted and its promotion forbidden on programs aimed at young consumers, or even on Malaysian programs. In this region of Southeast Asia, the Muslim population represents around 40% of the total population.
Hesiode will soon be present in Singapore with wines from a number of different estates as part of its drive to expand the wine trade in Asia! Join us at Tastin’France Singapore on October 10 !