En Primeur

What is en primeur?

En primeur, also known as ‘Futures’, is a term used to describe the process of buying wine while it is still in barrel.

It is a way to buy top quality and high demand wine before it is bottled and shipped. You buy the wine whilst it is still maturing in the cellars, and then pay the duty (approximately £18 a case), VAT and delivery when the wine is shipped to the UK.

Buying en primeur can be an investment or it can just be a fun way to try new wines not freely available in the market place.

As en primeur is usually offered on wines for which there is a high market demand and limited availability, the opening price for en primeur is usually the best price - some wines can increase in value after the opening offer but, like all investments, this is not a guaranteed result.

What are the advantages of buying en primeur?

1. You can save money by buying the wine early in the production process.
2. There is a possibility that you can sell the wine on for a profit in the future.
3. You only pay a deposit upfront, the duty and VAT is payable only when the wine is ready for shipping.
4. You have access to wines that are likely to be limited in availability.

En primeur wines are available to suit all budgets and tastes, with wines available for as little as £45 deposit per case.
 

Adnams offers a wide range of en primeurs from Bordeaux, Burgundy, Rhône, Southern France, Gascony, USA, Portugal and Chile. Iconic wines such as Château Leoville Barton (Bordeaux), Ridge Vineyards (USA), Domaine Leflaive (Burgundy), Domaine de la Bongran (Burgundy), Domaine de Vieux Télégraph (Rhône) and Antiyal (Chile) are offered en primeur.

The length of time between ordering an 'en primeur' and receiving it varies, depending on the producer.

For example, some of the first growth Bordeauxs may arrive two years after being offered on to the market, whereas it could be a matter of months for wines such as Quinta do Crasto. The length of time between being offered on to the market and release is not an indication of quality, but it does tend to indicate the length of time the wines are maturing, usually in barrel.

The wines are then bottled, shipped and delivered into a bonded warehouse where they can either be stored for longer, or despatched directly to the customer.

The Buying process

Our Buyers usually taste the wines shortly after vintage at the cellars, some time before the wines are ready to drink. Their experience enables them to judge whether they wish to buy the wine and whether it is worth the price the winery is asking for.

We then offer the wines to our customers at a fixed price, payable in the form of a deposit . Duty and Vat are charged later, when the wine is bottled and shipped.

Wineries offer their wines en primeur as it helps with cash flow. Without an early sale they would require more capital to finance their operations - running a vineyard and a winery is expensive, particularly when wine is made in small quantities at very high quality.

Demand for some wines can exceed their supply, some growers sell out before their wines are bottled. It can then be very difficult or very expensive to buy these wines from re-sellers later on. Buying en primeur gives assurances about its origin, since customers are effectively buying directly from the grower via a wine merchant.

If you have any questions about buying en primeur from Adnams, please send an email to winequestions@adnams.co.uk or call our Customer Services on 01502 727222 for further advice.