Despite losing as much as 40% of their grapes for the 2012 harvest, the vintners and merchants of Burgundy remain upbeat. That’s because the lower supply, combined with what most predict will be excellent quality, means higher prices. It also doesn’t hurt that the U.S. dollar is getting stronger, given that the country is a major market for Burgundy producers.
By most accounts, higher prices for 2012 Burgundies are inevitable’some say there won’t be any bottles available for less than $10. That’s not necessarily good news to some producers, though: There is a concern that prices can just keep rising so much with demand. Burgundies could be priced out of the market at some point if the trend continues.