Te Mata Estate winery is toasting a period of "fantastic" success despite industry worries about an oversupply of wine and falling grape prices.
Nicholas Buck, from Te Mata, told Corin Dann of NZI Business that the Hawke's Bay winery is experiencing.a "fantastic run" with record sales over the last two years.
New Zealand's oldest winery is focused on the top end of the market and say their fine wine side of the industry is growing well.
Some wine companies like Delegats have already warned that full year profits will be down on last year but Te Mata is less affected as it mainly produces red wines like cabernet merlot, syrah and also chardonnay while over-supply is largely a problem for sauvignon blanc producers.
Buck says last year's very cold October has meant the 2010 harvest has been delayed until mid-to-late March but they do not have any quality concerns over the vintage.
Te Mata is experiencing strong sales growth locally and overseas Buck says Te Mata's prices of about $70-80 a bottle stack up very well quality-wise against other fine wines closer to the $500 mark.
"There is pressure in all sectors of the market including the fine wine end (but) people are perceiving our wines as extremely good value...We have had a run of very good vintages... buyers are saying these are the new collectable wines" says Buck.
Te Mata released one and two-year-old wines at the beginning of March and have already sold out of three of the new releases with Buck suggesting that may mean they are selling them slightly too cheaply.
