Supplies are running out – the Champagne crisis looms
Despite the war and inflation, people all over the world are celebrating like they haven’t for a long time. The result: Moet Hennessy champagne producer’s cellars are empty. The champagne crisis is imminent.
After Corona we celebrate again.
Christian ColbyEditor Economics
War in Ukraine, inflation, lack of energy: the world of mortals lurches from one crisis to the next, and many are forced to tighten their belts. Not so in the world of the rich and famous. There, champagne stoppers popped in such chords that a champagne shortage may soon be imminent.
“Our stocks are running out,” Philip Schhaus, 59, said in an interview with the news agency. bloomberg. Schaus is the CEO of Moët Hennessy, one of the most important champagne producers in the world. For some great varieties, supplies are already running low—and the end of the year with all the New Year’s Eve parties is just around the corner.
Internally, there is already talk of the “Roaring Twenties,” continues Schaus. The wild or golden twenties of the last century were marked by crisis and plenty – by unbridled parties of the upper class and armies of the unemployed and war invalids of the lower class. The frenzy ended abruptly in the Great Depression of 1929.
Celebrate after Corona
However, champagne lovers don’t really have to go hungry. Early next year, the group wants to replenish supplies that have dwindled due to high demand. Demand for champagne and other luxury goods declined at the start of the coronavirus pandemic. Apparently, even the rich didn’t want to party.
But since then, demand has been increasing again, and corona restrictions are declining all over the world. A development that Moyet may have underestimated.
The entire luxury goods group LVMH, to which Moët Hennessy is also a member, is benefiting from the boom. Because with the resurgence of consumerism for the rich, sales have reached new highs. For wealthy buyers of luxury goods, inflation can do little harm. You can handle price increases of ten percent or more without any problems. Thus popping the cork until the show empties. (ku)