Chagyu Pioneer Wine, the Chinese giant in the wine sector, has acquired 75% of the Marqués de Atrio winery for 26.2 million euros. Through this operation, Chagyu Pioneer enters the Spanish wine market and expands its presence in the world market.
The Navarrese company produces around 20 million bottles a year, with more than 80% being produced by its wineries in Mendavia and Arnedo, both of the under the Rioja Designation of Origin. The rest is produced in wineries in Requena (Valencia) and Corella (Navarra) thanks to an agreement with Vinícola Corellana. It has also signed a contract to market Albariño wine.
Marqués de Atrio was created in 2002 and consists of four subsidiaries: Hacienda y Viñedos Marqués del Atrio S.L., Faustino Rivero Ulecia S.L., Hosteler S.L and Enotec S.L. The Chinese group plans to increase the net profits of the Navarrese brand from 1.9 million euros in 2015 to 3.43 million by 2020.
In 2003 the winery invested 12.5 million euros under a programme carried out in phases. It is located on a site covering 8,2000 m2. 65 % of its production is for export, and according to the company it is one of the biggest exporters of Rioja Designation of Origin wine, accounting for 17% of the total sales of the designation.
The enormous size of the Changyu Pioneer Wine group means that it is difficult to anticipate the growth and strategy for the Navarrese winery. Changyu is one of the ten biggest companies in the world wine sector and its power lies in its distribution capacity and brand image, contacts and marketing adapted to the Chinese consumer. Changyu opens up a new market of 1.6 billion people for the production of the Navarrese winery.
Sources: Diario de Navarra and Diario de Noticias