This year the KPMG Agribusiness practice in Russia and the CIS continues active collaboration with the Ministry of Agriculture: in addition to joint seminars and round tables, we have prepared a number of research materials for the ministry.
These materials were presented at high-level events and gathered praise from both the audience and the ministry team, in particular, Deputy Minister of Agriculture Sergey Levin.
The most recent of the materials was dedicated to the outlook for the Russian winemaking industry, which has immense potential and long history and is starting to recuperate after a few years of stagnation. The materials included the results of the survey on wine consumer preferences, which we recently invited you to participate in. These results served as a basis for a section dedicated to Russian consumer expectations. According to the survey, the main decision factors when choosing wine are the country of manufacture (top choices are France and Italy), price per bottle, and grape variety. When it comes to Russian wine, the respondents named good value for money among the advantages, and noted that the product taste has improved lately. The survey contributes to the overall suggestion made in the presentation to consider the localisation of manufacturing as a way to develop the industry: wine made from Russian grape via Italian technology will combine the advantages of Russian and Italian wines, while the relatively low land cost and significant state support will allow these wines to be sold in an attractive price segment.
The presentation was given this April at Vinitaly 2017, the wine industry's largest event attended by 128,000 people from 142 countries. The Russian delegation's goals were to exhibit the Russian winemaking industry's investment attractiveness and to expand commercial and economic collaboration between Russia and the countries participating in the event. We hope that the KPMG contribution to the preparation of the materials for the ministry helped achieve these goals.
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