The annual Hospices de Beaune charity auction held each November is widely viewed as a leading indicator for pricing of the new vintage (2007 in this case). If you thought Burgundy prices couldn't go much higher, brace yourselves! Red Burgundies rose by 38% and overall prices were up 27%. White Burgundies did not rise as much but that might be because they were up 65% in the prior year.
More details on the 147th annual auction
- 607 barrels were auctioned, down 11% from 680 barrels in 2006.
- Of the 607 barrels, 469 were red and 138 were white.
- The minimum purchase is a single barrel.
- 42 cuvees were offered: 30 red and 12 white.
- One cuvee was new in 2007: Corton Clos du Roi, Cuvee Baronne Du Bay
- 22 different growers cultivate 2.5 hectares each (1 hectare = about 2.5 acres) for the Hospices de Beaune domaine. Each grower produces one or more cuvees.
- Each barrel yields 24 cases of either 750ml or magnum bottles. The purchaser receives the bottled wine with the Hospices label.
- According to Christies (who has run the auction for the past 3 years), there were "many new clients from Asia, Australia, America, and Europe sending pre-sale orders and bidding by telephone and the Internet."
- The $6.81 million proceeds from the auction provides medical equipment for the local Beaune hospital and covers the cost of maintaining historical monuments.
Bottom line: Be prepared for price hikes on 2007 Burgundies. From an investment point of view, high-end collectible Burgundies always seem to me to be a pretty safe bet given that consumers worldwide can't get enough and are growing in number.
Photo note: Upper right is the Hospices de Beaune and its famous roof. Below is a sample label image.
