There are ways and means of owning the best of wines at minimum cost, much to even Curtis Marsh's surprise.

Saturday, March 03, 2007

There is a burgeoning demand for premium wine in Hong Kong - perchance in tempo with a booming economy - with consumers becoming increasingly adventurous and knowledgeable.

Information-hungry budding wine drinkers are lapping up an abundance of readily available research and informed advice through Web sites and magazines. However, many importers are struggling to keep up with global trends of popular varieties, styles and regions.

Feedback from disgruntled expatriates, who account for a significant quota of wine consumption in Hong Kong, single out rose as example. Quick to name many wines they enjoy when travelling abroad, all complain that quality rose is practically non-existent in Hong Kong. I concur, but will address this issue in a future article.

Inherent conservatism and lack of creativity by many importers is subsequently impeding progressive inspiration for restaurateurs and sommeliers in what is offered on their wine lists, further frustrating consumers.

Importers have been quick to point the finger at the prohibitive 80 percent duty as they have endeavored to offer good-value wines. This has lead to a propensity to trawl the bottom of the wine ocean in order to maximize profits and achieve perceived, but in truth fallacious, value.

Retribution came with this week's budget. To quote Financial Secretary Henry Tang on the Government's Web site, "wine drinking has become part of people's daily life." Conceding that the existing duty on wine at 80 percent was high, he cut the duty on wine to 40 percent.

Regardless of that outcome, it is time for importers to move on from the lean, green and tannic chateau-less chateaus of Bordeaux; the pedestrian Chilean wines that try too hard to imitate Bordeaux or Marlborough; the formulaic Australian wines branded with animals, reptiles, birds and every living thing from the sea; and, a personal bugbear, substandard negociant Burgundy under the guise of distinguished village appellations that adorn restaurant wine lists at extortionate prices.

It is time more Hong Kong importers woke up to what the rest of the wine-savvy world is thriving on; whites and reds from Spain and Portugal made from indigenous varieties offering unique character and unbeatable value; the renaissance of Italy - indigenous varieties and the myriad of vino campagna; artisan terroir-driven producers in Australia; the ever-evolving Rhone Valley and southern France; Austrian whites wines; German riesling; and the surging popular front of "new world" pinot noir from the United States, Australia and New Zealand.

If you cannot wait for importers to get their act together, then I suggest you take matters in to your own hands and start dealing direct with wine merchants in London, the epicenter of the global wine market. The British market is extremely competitive with an aggregate of endowed merchants, augmented by an unparalleled wine academia and commentators.

What would appear to be a daunting and problematic exercise is in fact relatively easy thanks to the unique and impeccable services provided by Crown Wine Cellars (CWC). CWC has a British merchant-to-CWC cellar all- inclusive service from HK$30 per bottle which requires minimum effort from the wine owner.

All you have to do is choose the wine and identify the London merchant, quickly achieved by Internet searching www.winesearcher.com.

Moreover, CWC is the only enterprise in the region that provides a consolidated service out of London using refrigerated containers, thus guaranteeing that your wine will not endure any ill effects. It also provides the same service out of France.

CWC founder and general manager Gregory De'eb has just moved a shipment on behalf of more than 50 buyers of 2003 Bordeaux en primeur. They are taking advantage of shipping their wines, immediately after bottling, directly to CWC's Hong Kong bonded cellars, thus avoiding superfluous transport via the United Kingdom. More importantly, Hong Kong Customs will assess their wines at prices that are close to their original en primeur purchase price, with the knowledge that this "dutiable" value has now been fixed and cannot change in the future.

De'eb explains further, in what is a revelation to me, that Hong Kong's former 80 percent duty on wine was based on current market value - the higher your wine's value goes, the more tax you will eventually pay. This will certainly have serious implications for those under the impression it is advantageous to cellar in the United Kingdom and eventually drink the wine in Hong Kong.

I confirmed this with the Customs and Excise Department, at the same time clarifying the procedure for personal wine importing. A spokesperson replied: "For wine imported for personal consumption, there is a convenient way for the public to fulfill the licence and permit requirements - the importer or the agent on his behalf may, upon arrival of the goods, approach

the Customs office at the relevant entry point for declaration and payment of duty and import licence fee. The duty on wine is 80 percent [now 40 percent] of its value and the fee of import licence (one-off licence) is 10 percent of the duty on the wine with a minimum fee of HK$2. There is no limit on the volume or value of wine imported for personal consumption."

Another revelation, dispeling doubts Hong Kong is unsuitable for long-term cellaring of wine, are the CWC underground facilities in Shouson Hill, a series of tunnels some 20 meters below ground with two-meter thick concrete walls.

Originally constructed 70 years ago by the British Military to serve as an ammunition and weapons storage depot in preparation for World War II, CWC has reinforced these excellent natural cellar attributes, including zero vibration or natural light penetration, by installing state-of-the-art computer- controlled equipment to ensure a constant temperature of 12.5 to 13.5 degrees Celsius and a humidity level of 65 to 75 percent.

CWC offer bonded as well as duty paid facilities therefore wine may be cellared for as long as required and then re-exported without paying duty, should you be investment oriented. Long-term cellar prices are equal to the UK at HK$1 per bottle per month.

In addition, there is the option of joining the private members' clubhouse incorporating a restaurant and splendidly atmospheric private dining and tasting rooms in two of the underground bunkers, where you can enjoy your personal wines on-site at no additional cost.

Depending on your membership level, which ranges from Gold (HK$683 per month), Platinum (HK$860) or a corporate package, you can have some of your wines stored in the "library," where you can bring guests to drool over your collection, beautifully stored in sliding solid wood trays. There is also an on duty sommelier to assist in choosing the appropriate wine.

There is a one-off joining fee of HK$8,880. However, consider that it provides an extremely cost-efficient personal or professional entertainment venue that includes having your own wine available. I would also suggest there are significant savings achieved in having your cellar sufficiently distanced from impulsive temptation.

In my opinion, CWC's prices and terms don't come any better than this for long-term or short-term cellaring anywhere in the world, and the innovative and commendable add-ons are a nice bonus.

You can visit www.crownwinecellars.com, but I would also encourage you to have a conversation with Gregory De'eb (tel: 2580 6287) who is passionate about all facets of wine and can offer astute guidance according to your needs.

“Curtis Marsh, a veteran wine importer and sommelier, is an Asia-based writer on wine, food and travel.”

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