Transatlantic Port Prices

Derek T. · Post by **Derek T.** » Fri Oct 28, 2005 5:29 pm

I have just purchased my first 6 pack of 2003 VP - I went for the Quinta do Vesuvio having read Roy's TN's and recommendations.

I was told by the broker I use that these will not arrive in the UK until March 2006. I assume this is because most of the first bottles to be released will go across the atlantic to be drunk immediately by all you impatient guys over there 8)

I noticed on an earlier thread that some of you have already bought or even taken delivery of this wine. I would be interested to know what price you paid in the USA or Canada. I have paid £175 + Tax + Duty which will work out at around £215 = $381 US or $449 CAN

Post by **Andy Velebil** » Sat Oct 29, 2005 7:25 am

Derek,

I purchased 6 also (as Futures) and they were $60 (US) each...total $360. So, you got them for about the same as I did here from the Wine Exchange. I recieved mine about 3 weeks ago. I hope you get the nice box and hard back book that it comes with. I photographed the pages and put a link to it here on the board. Here is the link again.

http://pg.photos.yahoo.com/ph/cofidis2/ ... DB3VumXh_K

Derek T. · Post by **Derek T.** » Sat Oct 29, 2005 7:48 am

Andy,

This confirms what I had feared - port now seems to be cheaper on the other side of the atlantic (even on the Pacific coast!) and is also available quicker than it is here in the UK.

Your 6 bottles will have cost you $20 less than I have paid and you will have taken delivery 6 months before I do.

The timescale doesn't worry me as I'll have them for 20 years before I open one. What I want to know is why are we paying more over here in the UK despite the fact that shipping costs from Oporto to London must be a fraction of what they are to get these cases from Oporto to the west coast of the USA? This doesn't make sense.

If I buy Oranges from California I would expect to pay more than you do. Why should the port producers/shippers be using some of my cash to subsidise delivery of their goods to the rest of the world!! :twisted:

I appreciate that this is good for you guys so I don't expect much sympathy but perhaps Roy or someone else close to the trade can explain why this is happening.

Derek

alec · Post by **alec** » Sat Oct 29, 2005 8:14 am

Derek, you're right that the pricing structure is stupid. But to take your oranges scenario and run with it a bit:

I'm in New York and we buy oranges. The Florida oranges are the most expensive, followed by the California oranges followed by the South American oranges. So go figure.

Here's my bet: Us pesky Americans have just started importing more port than you chaps over there in the UK. Importers will get better deals on quantity, and if the American Importers can buy more than the UK Importers they'll get a better deal....which for some odd reason is passed on to the consumer.

The advantage that you still have over us is the fact that your currency isn't deflated. The dollar is still in the dumps, and it's killing me.

--A

Derek T. · Post by **Derek T.** » Sat Oct 29, 2005 8:21 am

Alec,

I agree that the rules of international trade are probably too much to fix here! I hope you enjoy your expensive local oranges as much as I enjoy my expensive local port

However, there is one other major advantage us Brits have over you guys and that is that I can get to Oporto in 2 hours from London for less than $100 return and buy Noval Nacional at fabulous prices straight from their cellar shop -

Also, because both UK and Portugal are in the European Union I can bring back as much as I can carry and not have to pay UK import tax 8)

Derek

Tom Archer · Post by **Tom Archer** » Sat Oct 29, 2005 11:17 am

Err - it looks like the Americans are paying more.

I have no idea what the tax regime on alcohol is in the USA, but I assume that the futures price is tax exclusive.

£175 for six bottles translates to about $51.50 a bottle here, against $60 in the USA.

I also bought early on this one (mid July) and secured an ex tax price of £160 delivered (from Nickolls and Perks)

That equates to about $47.10 a bottle - over 20% cheaper than the US.

Tom Archer · Post by **Tom Archer** » Sat Oct 29, 2005 11:17 am

PS..

But I bet we don't get a book!

alec · Post by **alec** » Sat Oct 29, 2005 6:12 pm

Well now that that's all settled could you kindly send us some port?

--A

Tom Archer · Post by **Tom Archer** » Sun Oct 30, 2005 1:47 am

Alec - it's not impossible, but I'll need to do my homework on shipping to the US, and US customs rules on the import of alcohol.

Loads of mature wine from the 70's and 80's - maybe 50-100 cases at a time - looks potentially profitable. Obviously I'd need a competant partner to handle the sale, storage and distribution at the US end.

Derek T. · Post by **Derek T.** » Sun Oct 30, 2005 2:19 pm

Alec,

How much did you pay, including tax?

Derek

Post by **Roy Hersh** » Sun Oct 30, 2005 5:49 pm

Given the right sources of Port bottles in Bond, in UK cellars with known provenance is the least expensive way to find and purchase great old vintage Ports. There are ways to get the bottles over here, but usually it takes a multi case lot to really decrease the per bottle tarriff. US Customs can be a very detrimental part of the equation. There are shippers that will handle all the paper work for you and land the bottles at your doorstep. It is not as easy as it was pre 9/11 though.

alec · Post by **alec** » Mon Oct 31, 2005 4:47 pm

Hey Derek,

I didn't get any of the 2003 Vesuvio yet. I did get some of the 2003 Fonseca at $80.00/bottle. No tax because I bought it out of state but I did have to pay for shipping. All tolled I think it can to $86/bottle.

The place that I snagged it from was selling the Vesuvio for $65/bottle + shipping.

Roy is right, the Customs thing is a real PITA. Perhaps we need to go back to the ways they did things during prohibition.

--A