Wine exports to Canada are soaring as New Zealand's reputation for producing a quality tipple grows.
Five years ago, it was worth a paltry $6 million, now it's around $34 million.
Like many Canadians, Oyster Bay agent Darryl Prefontaine has developed a taste for our wine, and now he is selling it on our behalf.
"New Zealand over-delivers in terms of the quality versus the price," he says.
And over the past 12 months, wine exports have grown by more than 50%.
"We're even doing well in Quebec of all places, Francophile country, but it's really taking a great liking to New Zealand wine," says Philip Gregan, NZ Winegrowers chief executive.
New Zealand wine sales to Canada may be booming, but they also need to be put into perspective. The average Canadian consumes around $130 worth of wine every year, but of that $130, only $1 worth comes from New Zealand.
Seventy percent of Canadian wines are imported, which means that consumers are only just discovering kiwi-style Sauvignon Blanc and Pinot Gris.
Australia exports 17 times more wine to Canada than we do, but its reputation has been tarnished by dumping surplus wine.
"Canadians are willing to pay - you know - pretty premium prices. And Australia dumbed down the category by bringing in a lot of low, low quality low-priced wine," says Prefontaine.
However New Zealand's focus on quality wines is paying off.
"Everything we hear from the marketplace indicates we're going to have strong growth, and wineries are forecasting a tripling of our exports over the next five years," says Gregan.
That means exports to Canada could hit $100 million by 2012.
The biggest challenge now is to satisfy demand that is growing by 35%, when the New Zealand crop is increasing by only 11%.
Prefontaine says New Zealand winemakers may have to give up less discerning markets like Germany.
"Smart producers will say 'we're not going to go after markets where it's not financially sustainable for us'," says Prefontaine.
"We will never be the cheapest or the lowest price - it's a good way to lose a lot of money in the wine industry we have to focus at the top end," says Gregan.
And it is that focus that is now paying handsome dividends for
our winemakers.
