Market of Romanian Wine
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Market Area
Romania has a large amount of land dedicated to vines – almost as much vineyard area as Portugal. It is a country which is notable for the number and scope of vine varieties, the most planted of which are Feteasca Alba and Feteasca Regala.

Romanian Pinot Noir is the most well known grape variety to come out of Romania.
After the restoration of the vineyards in the end of the XIXth century and its extension by the communist system in the sixties, Romania has become the largest producer of wine in the Balkans and the fifth European country in terms of wine area (after Spain, Italy, France and Portugal).

The first planting had favored French grape varieties, notably Cabernet Sauvignon, Merlot and Pinot Noir. In the sixties, the emphasis was on the indigenous grape varieties. Romania possesses thus an excellent “raw material”: healthy vines and old enough and fluctuated grape varieties.

Romania has a climate characterized by the hot summers and rigorous winters. The Black Sea brings a moderating influence, while Carpatians obstruct the cold, northern air mass. As a general rule, the northern regions, Moldavia and Transylvania are the most propitious to the white wine production, while the best red wines originate from Muntenie and Dobroudja.

In red, the best indigenous grape variety is Feteasca Neagra. It gives robust wines, beaming and fruity from their first flush of youth, and they keep well. Babeasca Neagra produces more light wines while Cadarca is employed for more ordinary wines westward of the country.

In white, Feteasca Alba is of a first-rate quality. Among French vines, the most cultivated are, in red, Cabernet Sauvignon, Pinot Noir and Merlot, and, in white, Chardonnay .

Dealu Mare, at the foot of the Carpatians, is the most important one wine-producing region. The softness of the climate allows the production of good red wines that are not very tannic.

In Oltenia, Gragasani, on the left bank of the Olt, and Arges, to the north-west, they produce dry wines of acceptable quality, but their sweet wines are a first-rate quality.

Romanian Moldova is a region of white wines.
In Transylvania, the first wine-producing region is the Tоrnave.
Murfatlar in Dobroudja rivals with Dealu Mare for the production of excellent red wines; fruity and robust.
In 2005, the Romanian wine market had a turnover of 350 million euros, as against 2004, when the turnover stood at 300 million euros. According to the representatives of wine producers, the first 4 companies, Murfatlar (south-east), Cotnari (in the east), Jidvei (central Romania) and Vincon Vrancea (east) registered an increase in sales, despite the poor weather that led to the halving of grape production in 2005, as against 2004. Market growth is expected this year too, due to investments carried out in Romania by foreign producers, and the industry is expecting an increase in wine imports from South Africa, South America, Australia and the Republic of Moldova. With respect to exports, their value stood at around 25 million euros, 10% lower than in 2004.

Market Structure
In our opinion, the Romanian market has not yet taken a clear shape. Consumption habits are different from European ones, that is, Romanian customers prefer sweet and semi-sweet wines, while Europeans and people in other parts of the world would rather have dry and semi-dry wines.

All of the wine making companies in Romania have been privatised, either with Romanian capital or with foreign capital, especially from Great Britain, Germany, France, Italy and Denmark.

The German consumers prefer wines with a residual sugar content, that is relatively sweet wines.
Wine sector a net exporting country – winegrowing represents a traditional Romanian activity of great economic importance. Wine consumption has grown steadily in recent years to some 26.6 litres/ head/year, in 2004.Consumption still mainly comprises table wine, with white wine accounting for 67% sales, red wine 26% and rose wine only 7%. Producers own-consumption represents an important proportion of total wine consumption.

The total area of producing vineyards in 2004 was 191800hectares out of which noble varieties accounted for 89430 hectares, hybrids 89020 hectares.
Structure of production according to the general agricultural census from 2002 the total number of individual farms, cooperatives and trading companies growing wine grapes and producing wine was 1,125, 324.Of this the number of farms growing wine grapes was 1,124,494 and the number of farms, co-operatives and Agrokombinats producing wine was of 830.334 cooperatives and trading companies who have the average size of the holdings over 100 hectares are totalising 43046.41 hectares of vineyards. This means that 25% of the cultivated area is owned by bigger companies and the rest of the cultivated area by small and medium sized producers. Among this 25% there are 5-6 big producers, such as Murfatlar with more than 2 000 hectares, Jidvei with about 1 000 hectares. The others have around 500 hectares or above.

Wine production among the wine grape varieties produced are: Pinot Noir, Cabernet Sauvignon, Chardonnay,Sauvignon Blanc, Muscat Ottonel, Traminer, Pinot Gris, Oporto, Sylvaner, Ezerfrut which cultivated on a limited area; Feteasca regala.

Market Capacity
We are talking about a big market of some 56 million people, where the crucial aspect at present is generating an interest in attracting foreign investment . We think it is a big chance for Romania, indeed the largest country in the area . Romania is a leader that sets the pace for the growth of foreign investment in this particular area.

The companies Murfatlar, Cotnari and Jidvei have also obtained good results. Smaller producers like Vinterra, a Romanian-Danish joint venture, and SERVE, a company of count Guy Tyrel de Poix, a Corsican vineyard owner, have also been particularly successful.

As investments continue in the sector, Romanian companies adapt to the world trends and are more aggressive in the marketing and advertising campaigns.

Market Dynamics
Cost and Price examples at a company from Buzau (2004) Wine varieties Unitary cost/750ml (RON)Unitary price(RON)Unitary profit(RON) Feteasca Regala 4,144,970,82 Tamвioasa Romвneasca 7,288,651,37 Muscat Ottonel 5,506,470,97 Italian Riesling 4,855,941,08

Note: According to the Romanian National Bank the annual average

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Largest Producer Of Wine And Terms Of Wine Area. (July 12, 2021). Retrieved from https://www.freeessays.education/largest-producer-of-wine-and-terms-of-wine-area-essay/