View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
October 24, 2003

RUSSIA: Asconi seals Russian export deal

Asconi Corporation, one of the largest Eastern European producers of wines and spirits, announced yesterday that it has signed contracts to ship an additional 10 million bottles of wines to the Russian Federation within one year starting October 2003.

Asconi Corporation, one of the largest Eastern European producers of wines and spirits, announced yesterday that it has signed contracts to ship an additional 10 million bottles of wines to the Russian Federation within one year starting October 2003.

The deal was made with Grand Vin, Ltd. and Bonus Bord O.O.O., both subsidiaries of Wine International Project, Ltd.

Constantin Jitaru, president and CEO of Asconi, said: “This contract is expected to bring additional revenues of US$2m and a boost of US$200,000 to the bottom line in 2003 as well as a respective US$8m and US$800,000 in 2004.”

Asconi currently controls over 10% of the market for Moldovan wines imported into Russia.

Jitaru said: “Russia is an especially important market for Asconi’s wine products. The market is ripe for high-quality yet value-priced products like those which Asconi offers. Over 90% of our production goes to the Russian market and we maintain our position as the largest importer of Moldovan wines into Russia. Wine is still a comparatively small segment of the alcoholic beverages consumed in Russia, accounting for 13-15% of total consumption. The rate of growth, though, has been significant, making wine one of the fastest growing segments in the industry.”

The company said that before the collapse of the Soviet Union, Russia was consuming 17 liters of wine per capita comparing with 6 liters at this time. However, consumption of wines is increasing at a rate of 10 – 15% per year.

Related Companies

Topics in this article:
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Drinks