Champagne sales are bubbling again.![[Bubbly]](http://si.wsj.net/public/resources/images/MK-BR018_Bubbly_NS_20111212180909.jpg)
The French industry is preparing for a bumper holiday season, a significant recovery from just two years ago, when it slashed production in the face of the global economic downturn. By the end of September, the Champagne industry had shipped 192 million bottles, and the festive fourth quarter is usually the strongest, accounting for a third to a half of annual bubbly sales. That could put it on track to near the record 339 million bottles shipped in 2007.
The champagne rebound reflects the effervescence in the luxury-goods industry as a whole. The world’s largest luxury-goods group, LVMH Moët Hennessy Louis Vuitton, the owner of fashion and beauty brands such as Louis Vuitton and Guerlain as well as several champagne labels, recorded 15% sales growth over the first nine months of 2011. Luxury fashion rivals such as Hermès and PPR’s Gucci logged similarly robust growth. “Champagne sales are faring well ahead of the holiday season and are up 15% compared to 2010,” said Emeric Sauty de Chalon, president of French online wine shop 1855, which last month organized a major champagne tasting in Paris. Though sales may not reach the levels seen before the crisis, “we’re getting closer,” said Stephanie Mingam, the spokeswoman for drinks group Pernod Ricard’s champagne division, which owns Mumm and Perrier-Jouët champagne.
The industry took a serious hit in 2008 and 2009. Champagne makers—famous-brand and independent producers alike—cut production drastically to avoid a large drop in prices, leaving tons of grapes rotting in the fields during the harvest. (more…)
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