PLANTMATERIAL-STATUS QUO VS FUTURE

Nico Spreeth - KWV Vititec

KWV Vititec is a division of KWV South-Africa

AGENDA

•Demand for grafting material:•Red•White

•Demand for clones :•Red•White

•Planted Red vs White 2004•Production Red vs White 2004•Red cultivars planted per wine region2004•White cultivars planted per wine region 2004•Stand of wine grape vines for New World countries2002 vs 2003•Stand of wine grape vines for New World countries2004 vs 2005•Material from foundation block’s in new vine growing area’s•Summary

DEMAND FOR PLANTMATERIAL

MATERIAL SUPPLIED TO INDUSTRY

0

20

40

60

80

100

120

2004 2005 2006

YEAR

PE

RC

EN

TA

GE

WHITE

RED

67% 72% 74%

33%28% 26%

RED DEMAND(> 300,000 buds)

0

500

1000

1500

2000

2500

3000

2004

2005

2006

RED DEMAND (> 100,000< 300,000 buds)

0100200300400500600700800900

1000

2004

2005

2006

RED DEMAND (< 100,000 buds)

0

20

40

60

80

100

120

140

BARBERA

CARIGNAN

DURIF

NEBBIOLO

SANGIOVESE

TANNAT

TOURIGA N

ATIONAL

ZINFANDEL

200420052006

WHITE DEMAND (>300,000 buds)

01000200030004000500060007000

2004

2005

2006

WHITE DEMAND (<300,000 buds)

0

50

100

150

200

250

GEW

URZTRAMIN

ER

MORIO

MUSCAT

PINO

T GRIS

VERDELHO

WEIS

SER RIE

SLING

2004

2005

2006

DEMAND FOR CABERNET SAUVIGNON CLONES

050

100150200250300350400

CLONES

BU

DS

X 1

,000

DEMAND FOR SHIRAZ CLONES

0

50100

150

200

250300

350

400

SH 1

SH 9

SH 21

SH 22

CLONES

BU

DS

X 1

,000

DEMAND FOR MERLOT CLONES

0

50

100

150

200

250

300

350

MO

3

MO 1

82

MO 1

92

MO 3

43

MO 3

48

CLONES

BU

DS

X 1

,000

DEMAND FOR PINOT NOIR CLONES

0

50

100

150

200

250

300

350

PN 9

PN 52

PN 113

PN 115

PN 459

PN 667

PN 777

CLONES

BU

DS

X 1

,000

DEMAND FOR SAUVIGNON BLANC CLONES

0

200

400

600

800

1000

1200

1400

SB 7

SB 10

SB 11

SB 108

SB 159

SB 242

SB 316

SB 317

CLONES

BU

DS

X 1

,000

DEMAND FOR CHARDONNAY CLONES

0100200300400500600700800900

1000

CLONES

BU

DS

X 1

,000

DEMAND FOR COLOMBAR CLONES

0200400600800

100012001400160018002000

CLONES

BU

DS

X 1

,000

DEMAND FOR CHENIN BLANC CLONES

0

200

400

600

800

1000

1200

1400

SN 9

SN 24

SN 220

SN 426

SN 481

SN 550

SN 624

SN 737

SN 106

1

SN 106

4

CLONES

BU

DS

X 1

,000

PLANTED IN COMPARISON

REPLACEMENT=4400 HA / YEAR

RED VS WHITE PLANTED 2004 (100,207 HA)

0

5

10

15

20

25

30

ORANG

E RIV

ER

OLI

FANTS RIV

ER

MALM

ESBURY

LITTLE

KARO

O

PAARL

ROBERTSON

STELLENBOSCH

WO

RCESTER

DISTRICT

PE

RC

EN

TA

GE

WHITE

RED

RED VS WHITE PRODUCTION 2004 (1,312,184 TON)

0

5

10

15

20

25

30

DISTRICKS

PE

RC

EN

TA

GE

WHITE

RED

RED PLANTED 2004 ( 46,133 HA-41%)

0

2000

4000

6000

8000

10000

12000

14000

16000

PINOTAG

E

CABERNET SAUV

SHIRAZ

MERLO

T

VARIA

CINSAUT N

OIR

RUBY CABERNET

CABERNET FRANC

PINOT N

OIR

CULTIVARS

HA 2003

2004

RED PRODUTION 2004 (367,000 tons-28%)

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

CULTIVARS

M.T

ON

S

2003

2004

25%

WHITE PLANTED 2004 (65,465 HA-59%)

(including Sultana)

0

5000

10000

15000

20000

25000

CHENIN B

LANC

COLO

MBAR

VARIA

CHARDONNAY

MUSCAT D

' ALE

XA

SAUVIGNON B

LANC

SULTANA

CAPE RIE

SLING

SEMIL

LON

WEIS

SER RIE

SLING

CULTIVARS

HA 2003

2004

WHITE PRODUCTION 2004(922,000 tons-72%)

0

50000

100000

150000

200000

250000

300000

CHENIN B

LANC

COLO

MBAR

VARIA

CHARDONNAY

MUSCAT D

' ALE

XA

SAUVIGNON B

LANC

SULTANA

CAPE RIE

SLING

SEMIL

LON

WEIS

SER RIE

SLING

CULTIVARS

M.

TO

NS

2003

2004

RED PLANTED: HA / WINE REGION

RED PLANTED: HA / WINE REGION

RED PLANTED: HA / WINE REGION

RED PLANTED: HA / WINE REGION

RED PLANTED: HA / WINE REGION

RED PLANTED: HA / WINE REGION

WHITE PLANTED: HA / WINE REGION

WHITE PLANTED: HA / WINE REGION

WHITE PLANTED: HA / WINE REGION

WHITE PLANTED: HA / WINE REGION

PLANTED IN COMPARISON 2002 vs 2003

PLANTED IN COMPARISON 2004 vs 2005

76.3%76.3%

61.1%60.8%

41.2%41.3%

58.8%59.9%

23.7%23.7%

38.9%39.2%

58.8%58.7%

41.2%40.1%

0

50000

100000

150000

200000

250000

2004 2005 2004 2005 2004 2005 2004 2005

Australia SA California Chile

White

Red

164181 ha166665 ha

111599 ha112590 ha

191341 ha 189109 ha

110097 ha 112056 ha

PLANTED IN COMPARISON

PLANTED IN COMPARISON

SHIRAZ / LAND

0

5000

10000

15000

20000

25000

30000

35000

40000

AUSTRALIA SOUTH AFRICA CALIFORNIA CHILE

HE

KT

AA

R

PLANTED IN COMPARISON

PLANTED IN COMPARISON

PLANTED IN COMPARISON

ROOTSTOCK MATERIAL FROM LOW RISK AREA’S

CULTI VAR VINES PLANTED

GRAFTING SHOOTS

2004

GRAFTING SHOOTS

2005

GRAFTING SHOOTS

2006

GRAFTING SHOOTS

2007

101-14 Total 29,892 778,071 1,132,811 1,435,716 1,704,456143 B Total 745 17,010 17,010 17,010 17,0103309 Total 1,012 22,264 50,600 75,900 101,200P1103 Total 10,395 138,188 284,300 422,750 594,540R110 Total 35,963 813,968 1,194,350 1,610,500 1,849,900R99 Total 62,613 1,147,773 1,686,125 2,208,780 2,817,980RAMSEY Total 10,230 92,266 147,175 234,275 331,825RUG140 Total 10,782 189,580 351,110 525,785 688,810SO4 Total 608 46,550 46,550 46,550 46,550US 8-7 Total 36,026 151,551 280,947 400,487 548,227

GRAND TOTAL 198,266 3,397,221 5,190,978 6,977,753 8,700,498

SCION MATERIAL FROM LOW RISK AREA’S

BOSTOK BUNDELS BUNDELS BUNDELS BUNDELS BUNDELSKULTIVAR 2004 2005 2006 2007 2008ALICANTE BOUSC 1 3 4 4 4

BARBERA 1 3 4 4 4

CABERNET FRANC 647 667 804 941 941

CABERNET SAUVI 1220 1543 1978 2108 1624

CARIGNAN 11 13 14 14 14

CHARDONNAY 265 388 637 775 775

CHENIN BLANC 73 95 254 412 412

CINSAUT NOIR 4 4 4 4 4

COLOMBAR 24 24 24 24 24

GRENACHE NOIR 5 5 5 5 5

MALBEC 312 389 513 637 637

MERLOT 832 887 939 939 477

MEUNIER 2 4 4 4 4

MOURVEDRE 1 4 7 7 7

NEBBIOLO 14 14 14 14 14

PETIT VERDOT 218 315 408 498 498

PINOT NOIR 23 29 33 33 33

PINOTAGE 868 868 868 868 868

ROOBERNET 41 54 142 230 230

RUBY CABERNET 121 121 121 121 121

SANGIOVESE 5 5 5 5 5

SAUVIGNON BLANC 583 691 813 910 910

SEMILLON 22 22 22 22 22

SHIRAZ 1220 1456 1793 1903 1630

SULTANINA 5 5 5 5 5

TANNAT 62 125 174 174 174

TEMPRANILLO 2 5 9 9 9

TINTA BAROCCA 4 4 4 4 4

TOURIGA NACION 6 6 6 6 6

VIOGNIER 21 28 70 113 113

ZINFANDEL 9 9 9 9 9

Grand Total 6622 7786 9687 10802 9583

SUMMARY

•THE DEMAND FOR WHITE CULTIVARS ARE STILL GROWING EXCEPT FOR CHARDONNAY•THE DEMAND FOR WEISSER RIESLING,PINOT GRIS AND GEWURZTRAMINER ARE 100% > THAN 2005•INCREASE IN DEMAND FOR RED CULTIVARS :

• PINOTAGE• RED MUSCADEL• NEBBIOLO • SANGIOVESE

•DRASTIC DECREASE IN DEMAND FOR RUBY CABERNET•MOST POPULAR CLONES ARE :

•CS 46,163,169•MO 182,192,343,348•SH1,9,21, 22•PN 115,777•SB 316,11,317,242•CY 95,3,55,96,277•CO 1,2,1098•SN9,24,220,1061,1064

SUMMARY

•25% OF THE RED IS PLANTED IN STELLENBOSCH BUT THEY PRODUCE ONLY 20 % OF THE TOTAL RED TONS.•WORCESTER PRODUCES THE MOST WHITE AND RED GRAPES.26% OF THE WHITE PRODUCTION AND 23% OF THE RED PRODUCTION•THE TOTAL PRODUCTION OF SHIRAZ INCREASED BY 25% IN 2004 (15,000 TONS)•NEW WORLD COUNTRIES:

•AUSTRALIA :8000 HA MORE AND 2% LESS RED FROM 2002 VS 2005•SOUTH AFRICA: 4600 HA MORE AND 2% MORE RED 2002 VS 2005.

CALIFORNIA:9200 HA LESS AND 2% MORE RED 2002 VS 2005•CHILE:5000 HA MORE AND NO INCREASE IN RED 2002 VS 2005

•SOUTH AFRICA MUST PLANT MORE CABERNET SAUVIGNON, SHIRAZ,MERLOT , CHARDONNAY AND CHENIN BLANC

Thank you - Dankie