Bordeaux 2021 wine prices stabilize after sharp decline as market faces oversupply and shifting demand

Liv-ex, the global marketplace for fine wine, has published its July Market Intelligence Report, revealing notable changes in the fine wine market. The report focuses on shifting trade patterns, regional market performance, and the ongoing situation with the Bordeaux 2021 vintage.

According to Liv-ex analysts, the Bordeaux 2021 vintage has become known for a sharp decline in market value. The wines were released at high prices despite receiving relatively low scores from critics. Over recent months, prices for this vintage have continued to fall, but the report suggests that this downward trend may be ending. Trade prices are now stabilizing and even showing signs of a slight increase.

Robbie Stevens, Head of Broking at Liv-ex, commented on the current state of the Bordeaux market. He noted that there is still an overhang of unsold stock from previous vintages. While the 2022 Bordeaux vintage was well received and sold successfully during its en primeur campaign, the broader market has changed. Since their original release, Bordeaux wines have seen a 23% drop in value. Now that these wines are physically available, there is increased pressure on sellers to move inventory. Stevens pointed out that some top wines, such as Haut Brion 2022, are trading at nearly 14% below their ex-chateau release price. This situation has benefited buyers who waited to purchase rather than buying early.

The report also highlights regional differences in market performance. While most indices tracked by Liv-ex fell in June, two stood out for their resilience: the Champagne 50 and Right Bank 100 indices. These indices did not decline during the month, indicating steady demand and relative stability in these segments of the fine wine market.

The findings come at a time when global economic uncertainty and changing consumer preferences are affecting luxury goods markets, including fine wine. The stabilization of Bordeaux 2021 prices may signal a turning point for that vintage, but broader challenges remain for producers and traders dealing with oversupply and shifting demand.

Liv-ex’s monthly reports are closely watched by wine merchants, collectors, and investors around the world. The July update provides insight into how different regions and vintages are performing amid ongoing volatility in the global wine trade. As buyers continue to seek value and sellers adjust to new market realities, industry participants will be watching future reports for signs of further change or recovery.