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COVID-19 and Global Beverage Markets: Implications for Wine

Author

Listed:
  • Wittwer, Glyn
  • Anderson, Kym

Abstract

This article provides an empirical case study of the impacts of the COVID-19 pandemic on global beverage markets, particularly the wine sector. Both international trade and domestic sales have been adversely affected by temporary shifts away from on-premise sales by social distancing measures and self-isolation that led to the closure of restaurants, bars, and clubs, plus declines in international travel and tourism. Partly offsetting this has been a boost to off-premise and direct e-commerce sales. We first estimate those impacts in 2020 and their expected partial recovery in 2021 using a new model of global beverage markets. Further recent disruption to the global wine trade has been the imposition by China in late 2020 of prohibitive tariffs on its imports of bottled wine from Australia. Its diversionary and trade-reducing effects are compared with those due to COVID-19. (JEL Classifications: C63, D12, F14, F17, Q17)

Suggested Citation

  • Wittwer, Glyn & Anderson, Kym, 2021. "COVID-19 and Global Beverage Markets: Implications for Wine," Journal of Wine Economics, Cambridge University Press, vol. 16(2), pages 117-130, May.
    • Handle: RePEc:cup:jwecon:v:16:y:2021:i:2:p:117-130_2
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    Cited by:

    1. Wittwer, Glyn & Anderson, Kym, 2021. "COVID-19 and Global Beverage Markets: Implications for Wine," Journal of Wine Economics, Cambridge University Press, vol. 16(2), pages 117-130, May.
    2. Anthony Macedo & João Rebelo & Sofia Gouveia, 2023. "The impact of COVID-19 government policy on the international wine trade," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-15, December.
    3. František Synák, 2023. "Problems and Opportunities within the Wine Industry in Terms of the COVID-19 Pandemic," Agriculture, MDPI, vol. 13(3), pages 1-20, March.
    4. Ra�l Comp�s & Samuel Faria & T�nia Gon�alves & Vicente Pinilla & Jo�o Rebelo & Katrin Sim�n-Elorz, 2021. "The shock of lockdown on the spending on wine in the Iberian market: the effects of procurement and consumption patterns," Documentos de Trabajo dt2021-04, Facultad de Ciencias Económicas y Empresariales, Universidad de Zaragoza.
    5. Rui, Mingze & Sparacino, Antonina & Merlino, Valentina Maria & Brun, Filippo & Massaglia, Stefano & Blanc, Simone, 2025. "Exploring consumer sentiments and opinions in wine E-commerce: A cross-country comparative study," Journal of Retailing and Consumer Services, Elsevier, vol. 82(C).
    6. Wittwer, Gly & Anderson, Kym, 2021. "COVID-19’s impact on Australian wine markets and regions," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 65(04), January.
    7. Ticau Iulia Ruxandra, 2022. "Evolution of the wine market in Europe: trends and barriers in the context of the COVID-19 pandemic," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 918-932, August.
    8. Puga, German & Sharafeyeva, Alfinura & Anderson, Kym, 2022. "Explaining bilateral patterns of global wine trade, 1962–2019," Journal of Wine Economics, Cambridge University Press, vol. 17(4), pages 338-344, November.

    More about this item

    JEL classification:

    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

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