10 years after wine tax abolished, Hong Kong is Asia’s wine hub and local scene is prospering
- Hong Kong wine imports have almost quadrupled since 2007 and the city has left competitors Tokyo and Singapore far behind
- But still too many hurdles for holding outdoor wine festivals
What a difference a decade makes. We’re a little older, a little wiser and our style has matured.
By “we” I mean the Hong Kong wine market. This year marks a decade since the government set out on its mission to make Hong Kong the wine hub of Asia by stripping away wine taxes and duties. Soon after, Hong Kong became not just the heart of Asia’s wine trade, but also one of the largest wine auction centres in the world. In 2017, total auction sales in the city climbed to US$97.8 million, according to winespectator.com.
For a century, wine was one of the few commodities in Hong Kong subject to import duties. In 2007, the government slashed wine’s hefty 80 per cent duty rate by half, and then abolished it completely in 2008. The world’s first accreditation scheme for wine storage facilities followed, as well as a collaborative customs facilitation scheme with China for wine re-exports which was implemented in 2010 and enhanced in 2014.
Total wine imports into Hong Kong increased to HK$6.2 billion (US$792 million) in the first half of 2018, almost four times the 2007 figure of HK$1.6 billion. Red still dominates the market, with cabernet sauvignon and pinot noir the key varieties.
This year also marks a decade of the Cathay Pacific Hong Kong International Wine and Spirit Competition (HKIWSC), co-founded by the Hong Kong Trade Development Council, Christie’s Asia head of wine Simon Tam, the IWSC London and myself. The event was created because, while there are plenty of competitions globally, there was no international standard for Asia.
