Cognac goes from strength to strength

The last twelve months of the year have seen the most exciting period in the history of Cognac. The Cognac industry has seen unprecented growth in world markets at a time when it seems that the news is dominated with gloom and economic recession. Markets in China have grown by record levels and that is over last year which was also a record year. Indeed some distributors in China have even had to ration their supplies of cognac.

At Brandyclassics we to have seen good trading, not just in exports but also in the UK, where Pre-phylloxera sales have done well and our internet sales has also seen good growth. However our core business, sales to hotels and restaurants, has been affected by the economic gloom.

But  it’s always good to finish the year on a high and this year we are pleased with our success at the Cognac Masters where we have won a total of five medals. These included three masters awards for our Hermitage 1988, 23 year old and 43 year old, as well as the Grand Masters award for outstanding contribution to cognac.

The Ladies Drink Cognac too…

In a recent disclosure, the drinks firm Beam have claimed that it has taken them 216 years of marketing to realise that ladies drink spirits as well as men. Beams marketing chief asked his team to establish what they were missing out on and introduced a range of spirit based drinks that they feel women will enjoy.

Top of their bunch was a Jim Beam Bourbon infused with black cherry. Since then they have purchased Skinny Girl cocktails and Pucka Vodka. Now guess what? Courvoisier Cognac have introduced Rose Courvoisier, a red wine and cognac mixture.

At Brandyclassics we are already selling the perfect Ladies Cognac. Hermitage 10 y.o. is recognised by bar managers and sommeliers as the perfect Ladies Cognac.

Croizet 1858 sells at Auction for US$156,000

Last month, the highest known price for a bottle of Croizet Vintage 1858 Cognac was paid by a Chinese client. The Cognac is one of many the house has in its cellars and the firm is known for its collection of these old cognacs, many of which were bottled and kept in their cellars in St-Même-les-Carrières near Jarnac.

The price paid for the bottle reflects the growing desire of the Chinese to own expensive cognacs, particularly those whose vintages contain a number eight. Although the price is high, the desire for expensive cognac has grown with the market and its association with good luck and status.

Around eighteen years ago Brandyclassics sold twenty four of these bottles to a Swiss gentleman who flew in specially to collect them – he paid about £18,000 for 24 bottles.

Prices have increased somewhat since then!

In addition to our range of exceptional early 20th century cognacs and armagnacs, Brandyclassics have a number of rare 19th Century Pre-phylloxera cognacs available for the discerning Cognac aficionado.

Bouteville. Home of Hermitage 1900 Grande Champagne

As most of our customers are aware, Hermitage Cognacs come with age statements and it can be difficult sometimes to find enough to supply the market needs. Clearly younger cognacs are easier to find than older ones, but the need for quality means that we have to reject many vintages where we feel that they will neither fit into our range or are not of a quality suitable for the Hermitage name. There is a big demand for vintages – far more than generically labelled blends – since customers are fast becoming disillusioned with the highly modified big brands.

At Brandyclassics we work hard to find cognacs that we know our customers want and we have recently added a number of new cognacs to our range. Amongst the new finds are a beautifully light and clean 1988 Grande Champagne and a superb 1900 at 47.5% from Grande Champagne. These cognacs are masterpieces and deserve to be enjoyed.

Different interpretations of the name Cognac in European countries have lead to a host of challenges for the BNIC lawyers in Cognac. Spirits can only be called cognac if they are made in The Charente region of France and comply with a list of other conditions designed to protect both its quality and heritage.

During the last few years variants of the name have cropped up. The Russian word “Conyack” means in Russia the same for brandy and Cognac, whilst in Finland there is a case concerning the use of the word Konjakki to describe the brandy sold by Oy Gust Ranin. In Hungary too, the word Konyak has been used and this has occurred in many other eastern European countries to describe their brandy. Perhaps the most unusual is the use of the word cognac to describe a range of clothes in Turkey.

For the time being however, imitation is the sincerest form of flattery…

The House of Frapin, world famous for their cognacs, also produce a small range of perfumes and colognes.  Since the launch in 2002, their most popular product is 1270 – so named after the year when they commenced their wine and cognac production.

But the family of Frapin are no strangers to this world; indeed, back in the 16^th Century one of the descendants of the original Frapin family, Pierre Frapin was Apothecary to the king.  But today, with their niche range of perfumes and cognacs, the House of Frapin produces a quality range which has proved very popular amongst both cognac aficionados and perfume lovers. Jean Pierre Cointreau of the House of Frapin says ‘Perfume is comparable to cognac in that it all comes down to the soil and how you work on it.  It also has a lot to do with the senses; with flavours and with smell.’

For the most complex perfume, we suggest Hermitage!

It seems that the Russians are moving into Cognac as several growers and cognac houses have sold out to Russian interests.

The latest to do so is Jacky Chat, whose 110 hectares of vines are divided into 18 plots over the communes of Beauvais sur Matha and Veraize et Migron. M. Chat sells all his eau de vie to Hennessy so does not have any under his own label. He started his business in 1963 with just 6 hectares and has gradually built it up from there. M. Chats let it be known a few months ago that he was selling his estate, but the Cognaçais (La Cagouillards – Snails), failed to take advantage of the opportunity.

The new Russian owner has asked M. Chat to remain with the company for a few years so that they can continue to sell their wines to Hennessy, who have bought from the estate in past years. This is the sixth company in this area to have fallen to the Russians, and includes such names as the Domaine Jennsen a Bonneuil, Domaine Broix a Touzan and A de Fussigny. The area is close to the old estate in Bonneville belonging to the Comtesse de La Bourdeliere and from where the famous old Massougnes were made. A number of other houses are also now owned by Russians including Croizet Cognac!

Remy Cointreau’s revenue for the year ended 31 March 2011 grew 12%, driven by demand for Cognac in Asia and their travel retail business. It appears that cognac sales have risen 20% to €486 million throughout all their sales regions, but Asia have shown the largest growth, most notably in China where the market is buying everything it can get its hands on. China is currently the fastest growing sector of the cognac industry. Remy’s other brands did not do so well, with Metaxa sales declining and Mount Gay rum staying flat.

It appears that the Chinese are moving forward at an amazing rate with their willingness to buy cognacs. Their insatiable demand for luxury spirits is causing a big problem with producers, who are struggling to keep the older stocks in their cellars for maturation, as legal requirements do not protect cognacs after six and a half years of age.

Remy are not alone in their quest to sell to the Chinese markets, Hennessy lead the field as the biggest cognac supplier in China and the Far East, with Martell and Courvoisier following on behind. Only America has greater volume sales, but the highest value markets are dominated by the Chinese.

Visiting France again last week to locate more vintage cognacs, we were delighted to have found a number of exceptionally fine brandies. Top of our list is a seventy year old cognac from the region around Juillac la Coq. There is not a large quantity, some sixty litres in all, but it is exceptionally rare and we expect to be able to obtain at least half of it, which we are hoping to be sold as a special presentation.

We have also identified a fabulous 2002 vintage with an aroma and flavour of clover honey. This cognac is at over 60% and will have to be brought down, but we still feel that despite having to wait over a year for it to come down to around 50% alc it is worth waiting for. Indeed we will probably have to bring it down more to around 45-47% for it to be at its best.

Another cognac which requires some modest dilution is a very rare 1914 Borderies Cognac – this has a wonderful old toffee and roast walnut aroma and taste, it should be ready in about three months for drinking and will be a winner. We have one bonbonne of it at present but there are two more, so here’s hoping!

We have recently sold our last bottle of 1900 and were also pleased to obtain a further bonbonne from around Cognac. It is at 44.3% but we feel that this is about the right strength for the brandy and is available now.