Langton's - Market Reports

The current wine investment market is influenced by many factors, including brand definition, economic conditions, vintage variation, past market performance and buyer confidence. Langton’s regular quarterly Market Reports distil these factors into leading-edge market opinion and analysis.

First Quarter 2005

The first quarter 2005 has seen solid sale conditions at Langton’s. We expect these conditions to continue, especially with the forthcoming Grange-only sale (always one of the year’s highlights) commencing July 11 and the release of Langton’s much anticipated 2005 Classification of Australian Wine due for release on July 27. Langton’s 2005 Classification will comprise 101 wines.

The 2005 Classification will reflect the overall mood of the market and its interest in regional provenance, single vineyards and the winemaker’s connection with the Australian landscape. The importance of Langton’s Classification lies in its independence and the underlying idea of market participation rather than personal favouritism or opinion. The Classification challenges people throughout the world of fine wine to think about Australia’s place and future in the ultra-fine wine market.

Langton’s sales began very early in 2005 resulting in a turnover of AUD$1.05 million in January. The first auction, which closed on January 17 during the Australian summer holidays, demonstrated the benefits of offering clients 24/7 online bidding. Volume of demand was surprisingly strong with over 1000 interested buyers bidding in the last hour of the auction.

This translated to a 79% clearance rate, an extremely good result, especially with over 4700 lots on offer. Our greatest challenge is to maintain effective clearance rates – a key indicator of market liquidity. Clearance rates dropped two weeks later in Sydney to around 67%, perhaps reflecting an end of holiday cheer and an oversupply of duplicate lots from wine investors.

Despite the capricious market sentiment, auction values of blue chips stock remained solid. Bass Phillip, Barossa Valley Estates, Clonakilla, Cullen, Jasper Hill and Moss Wood all performed well. Grange – after a very strong performance in early January – struggled to find enough volume of demand resulting in erratic price realisations. The collapse of wine investment broker Wine Orb will have little impact on the auction market. An increase in duplicate lots across a fairly narrow range of wines will create more film across a stagnated subset of the market.

All prices listed below include Buyer’s Premium and are in AUD$.

Some of the highlights in January –

1996 Clarendon Hills Astralis Shiraz 750ml – $225
1998 Vasse Felix Heytesbury Cabernet magnum – $185
Chambers Rosewood Rare Tokay 375ml – $317
1995 Leeuwin Estate Chardonnay magnum – $265
1991 Barossa Estates E&E Shiraz 750ml – $208
1991 Katnook Estate Odyssey Cabernet 750ml – $86
1996 Jim Barry The Armagh Shiraz 750ml – $128
2002 Clonakilla Shiraz-Viognier 750ml – $113
2000 Dalwhinnie Eagle Shiraz 750ml – $140
1996 De Bortoli GR Reserve Shiraz 750ml – $102

In February over 5800 lots were offered for sale at Langton’s Melbourne and Sydney auctions. The market was steady with regular buyers and bidding activity resulting in stable price realizations. However the growing number of vendor reserves impacted on clearance rates reducing rates to an all time low of 70%.

The constant flow of wine supply and new buying memberships reveal an upbeat market. However the recent failures of wine investment houses will certainly challenge the current market status and expose the overall sponge and durability of the market.

Alternatively the increase of ‘unknown’ brands into the market will only re-focus and verify the standing and quality of secondary market blue chip wine brands such as Henschke, Penfolds, Rockford, Leeuwin, Cullen, Wendouree, Bass Phillip and Grant Burge to name a few.

Some of the highlights in February –

1995 Bass Phillip Premium Pinot Noir magnum – $296
2001 Bass Phillip Reserve Pinot Noir – $211
1998 Bests Thomson Family Shiraz – $99
1996 Bindi Original Vineyard Pinot Noir – $59
1998 Clonakilla Shiraz Viognier – $98
1996 Craiglee Shiraz magnum – $104
1996 De Bortoli Noble One – $61
2002 Dutschke Single Barrel Shiraz – $157
1996 Giaconda Chardonnay – $174
1997 Grosset Polish Hill Riesling – $59
1982 Hardys Eileen Hardy Shiraz – $93
1956 Hardy Special Museum Release Vinatge Port – $163
1996 Henschke Hill of Grace – $370
1985 Jasper Hill Georgia’s Shiraz – $150
1998 Kays Block 6 Shiraz – $98
1998 Noon Reserve Shiraz – $169
1991 Orlando St.Hugo – $59
1986 Penfolds Bin 389 – $76
1963 Penfolds Grange – $1611
1998 Rockford SVS Pressing Shiraz – $218
2002 Savaterre Chardonnay – $92
1986 Tyrrells Vat 1 Semillon – $60

The market was solid during March with the number of bidders increasing by 10%. A higher volume of bidding allowed good clearance rates and sale values. The demise of Wine Orb and Heritage Fine Wines has had little impact, largely because of the relatively narrow spectrum of wines in their portfolios. There is no question that there is a huge amount of wine lurking in managed cellars (reportedly valued at $40 million) – but very little of it is of any interest to wine collectors.

Prices for Grange – a reliable market indicator – have increased marginally, moving from low estimate results to mid/high estimates over the last couple of auctions. This reveals an increase in buyer spending, confidence and market sponge. Prices firmed up almost right across the board on the back of a more positive outlook. Overall Langton’s auction market is enjoying good market conditions with strengthening level of supply and strong demand.

There was a steady clearance rate of 70% during March. Our new online inventory control system now allows vendors to monitor the market and adjust their reserves.

Some of the highlights in March –

1990 Barossa Valley Estates E&E Black Pepper Shiraz – $105
1998 Best’s Thomson Family Shiraz – $116
1998 Bindi Block Five Pinot Noir – $58
1998 Bowen Ampelon Shiraz – $103
2002 Clonakilla Shiraz-Viogner – $110
1995 Cullens Cabernet-Merlot – $138
2000 Giaconda Chardonnay Magnum – $363
1996 Greenock Creek Roennfeldt Road Shiraz – $468
1990 Mount Mary Quintet Magnum – $687
2002 Noon Reserve Shiraz – $150
1998 Wolf Blass Black Label – $94
1965 Wynns Cabernet Sauvignon Magnum – $289
1998 Yalumba Octavius Shiraz – $98

Second Quarter 2005

The second quarter 2005 has seen steady sale conditions at Langton’s. We expect these conditions to continue, especially with our annual Grange-only sale opening July 25 and the release of Langton’s much anticipated 2005 Classification of Australian Wine released July 27. Langton’s 2005 Classification will comprise 101 wines and is sure to provoke controversy.

The 2005 Classification will reflect the overall mood of the market and its interest in regional provenance, single vineyards and the winemaker’s connection with the Australian landscape.

The importance of Langton’s Classification lies in its independence and the underlying idea of market participation rather than personal favouritism or opinion. The Classification challenges people throughout the world of fine wine to think about Australia’s place and future in the ultra-fine wine market.

April 2005

During April the market remained firm with the number of bidders increasing by 10%. A higher volume of bidding allowed good clearance rates and sale values. The demise of Wine Orb and Heritage Fine Wines has had little impact, largely because of the relatively narrow spectrum of wines in their portfolios. There is no question that there is a huge amount of wine lurking in managed cellars (apparently $40 million), but very little of it is of any interest to wine collectors.

Prices for Grange – a reliable market indicator – have increased marginally, moving from low estimate results to mid/high estimates over the last couple of auctions. This reveals an increase in buyer spending, confidence and market sponge. Prices firmed up almost right across the board on the back of a more positive outlook. Overall Langton’s auction market is enjoying fair market conditions with strengthening level of supply and strong demand.

The steady clearance rate of 70% during March lifted in April. Our new inventory control system now allows vendors to respond to the market and monitor adjust their reserves online.

All prices listed below include Buyer’s Premium, 750mls and are in AUD$.

Some of the highlights in April –

May 2005

Langton’s offered over 9,400 lots of fine Australian and imported wines in May. Overall the market is stable with consistent prices realized and sales exceeding AUD$1.7 million.

The market for high quality ultra-fine Australian wine remains firm with no major surprises. Volume of demand remains extremely solid. While overall economic sentiment is moderate, the All Ordinaries and ASX 200 are both enjoying historic highs. Volume of bidding is growing and stock entries remain strong.

Market sponge – which relates to buyer interest – is particularly strong for blue chip wines. Clearance rates averaged 78% with buyer numbers continuing to grow at an average of 10% per month. The market is sluggish for ‘investment type’ and ‘filler’ wines illustrating the price insensitivity of the market when it comes to quality wine. Anything with a good reputation and track record is finding a buyer.

The release of the 2000 Grange seems to have ‘pulled up’ the market, resulting in increased price realisations and overall clearance rates for Grange. This is a scenario regularly experienced after the retail release of Grange. Despite the lukewarm reception of critics, this vintage is keenly priced and in very short supply. Auction values look very attractive.

Remarkable entries of seldom seen imported wines – particularly top level Bordeaux, Burgundy and Rhone – has spiced up the auction market, drawing top-flight bids from wealthy collectors and resulting in very buoyant prices.

Unpredictable bidding patterns for the latest enthusiasms of Robert Parker Jr. show erratic expectations of sellers and a relatively small following of buyers. This condition has been a feature of the Cult Wine market for quite some time. Some of the gentrified cult wines such as Chris Ringland Shiraz are finding a good level of interest.

Ports and other fortified styles are experiencing a comeback and achieving generally solid values.

The market is showing some signs of strengthening and subsets of the market are enjoying boom times. 2002 Seppelt St Peters Great Western Vineyards Shiraz – released at around $55 only a few months ago – is now fetching as high as $121. At the other end of the market aged, ultra-fine Australian Chardonnays from the 1980s and 1990s are attracting increasingly less support. The relatively high incidences of random oxidation and advanced aging have resulted in a more vigorous listing procedure.

The wine auction market continues to run on a firm track. There are no obvious signs of genuine weakness. Clearance rates are typically around 75% - 80% with record levels of participation.

All prices listed below include Buyer’s Premium, 750mls and are in AUD$.

Some of the highlights in May –

1997 Bass Phillip Reserve Pinot Noir – $250
1996 Barossa Valley E&E Black Pepper – $80
2002 Giaconda Chardonnay – $146
2002 Grosset Polish Hill Riesling – $53
2000 Hardy’s Eileen Hardy Shiraz – $69
1951 Hardy’s Show Port – $116
1998 Katnook Estate Odyssey Cabernet – $110
1995 Moss Wood Cabernet Sauvignon – $104
1998 Penfolds Bin 707 – $133
1971 Penfolds Grange – $750
1983 Penfolds Grange magnum – $3890
1986 Penfolds Grange – $578
1990 Penfolds Grange – $588
1939 Seppelts Para Port - $116
1998 Tyrrell’s Vat 1 Semillon – $35
1990 Henschke Hill of Grace – $386
1986 Wendouree Shiraz – $175
1998 Wynns John Riddoch – $99

June 2005

Langton’s Melbourne Auction of 4,399 lots of fine and imported wine was held in June. The level of supply for the month of June was solid and consistent with previous months. The effects of Langton’s move to an internet business are becoming more apparent.

The synergistic combination of Langton’s online auction technology and the extensive selection of wines offered attracted a record number of international clients – specifically from the USA, Hong Kong and Singapore – and the number of Australian buyers hit an all time high. The energetic bidding in the last half hour of this sale broke all records. Internet use has dramatically increased Langton’s buying base, particularly over the last six months.

Grange continues to perform strongly with firm demand. As revealed in this sale, the market for Grange is strong and for great vintages prices are achieving the top end of catalogue estimates. Grange magnums are experiencing a new wave of interest and prices have jumped – they still however look good value against some of the new Parker Aussie cult brands.

Parker-made brands continue to attract spikey prices – are they sustainable? Currently there are no signs of this cult activity slowing down (for example the current price highlights for Chris Ringland Shiraz and Greenock Creek Roennfeldt Shiraz).

The number of new brands entering Langton’s market place is astonishing and is highlighted by the increase in the successfully performing wine brands included in Langton’s Classification: 1996 Classification – 64 brands, 2000 Classification – 89, 2005 Classification – 101.

The launch of Langton’s 2005 Classification IV will no doubt further strengthen demand and increase buyer awareness. The Classification is a form guide which endorses the purchasing activities of buyers. It will be interesting to monitor the progress of the classified wines – watch this space!

Buyers continue to pay premiums for case lots presented in timber cartons – an important indicator for well-cellared wines. Provenance for older vintages is becoming more important and buyers are requesting more and more information on cellaring conditions.

All prices listed below include Buyer’s Premium, 750mls (except as noted) and are in AUD$.

Some of the highlights in June –

1998 Bowen Estate Ampelon Shiraz – $124
Campbells Wines Isabella Tokay – 375mls – $92
1998 Chris Ringland Shiraz – $895
1992 Elderton Command Shiraz – $71
2001 Giaconda Chardonnay – magnum 1500mls – $347
1998 Greenock Creek Roennfeldt Road Shiraz – $385
1955 Penfolds Grange – $2647
1964 Penfolds Grange – $1496
1967 Penfolds Grange – $662
1971 Penfolds Grange – $690
1976 Penfolds Grange – $690

Overall the wine market shows no signs of slowing down and in the short term the market certainly looks positive.

Special Event Auction Calendar

Penfolds Grange Auction

Langton’s annual Grange Auction for 2005 opens on July 25 and closes on August 8. Langton’s is Australia’s – and the world’s – leading market for Penfolds Grange.

Australians are profoundly proud of Penfolds Grange. It embraces both traditional values and innovation. Grange is in every respect an Australian icon and for good reason. It is probably the most consistent wine produced in the world.

Langton’s 2005 Classification of Australian Wine

The fourth 2005 edition of Langton’s Classification of Australian Wine is released July 27. We expect the new 2005 Classification will create plenty of debate and interest from collectors and the world’s wine media. Langton’s Classification has proved to be a highly influential form guide to Australia’s finest wines.

Langton’s will hold a Special Classification Auction September 5-19 and we will be releasing a limited edition 2005 Classification poster which promises to become a highly sought after collector’s item. It can be ordered from the Classification Poster panel of our Magazine.

The Great Wine Estates of Western Australia Auction

Langton's Great Wine Estates of Western Australia Auction (V) will be held in the grounds of Voyager Estate in the Margaret River wine region on Saturday November 12, 2005. The auction will be open for bidding online from October 31.

For wine enthusiasts this sale represents an excellent opportunity to taste and secure rare museum wines as well as 'future' barrels of Cabernet, Shiraz and Chardonnay from 13 of Western Australia's benchmark producers.

Third Quarter 2005

The third quarter 2005 has seen buoyant sale conditions at Langton’s. Some of the highlights have been the release of the eagerly anticipated 2005 fourth edition of Langton’s Classification of Australian Wine, the annual Penfolds Grange auction and our first Classification wines sale.

July 2005

In July 7780 lots were on offer. The clearance rate of 78% indicated a stable market with strong demand and solid results – so much so that we are currently seeking more wine stock to feed our hungry online market. Vendors are increasingly realizing that Langton’s selling commission is competitive and our results lead the market.

The eagerly anticipated 2005 fourth edition of Langton’s Classification of Australian Wine was released in July. It is attracting plenty of interest and heated debate among wine enthusiasts, critics, collectors and wine industry figures throughout the world of wine. To view an interactive gallery of all 101 wines in Langton’s new 2005 Classification go to www.langtons.com.au and select The Market/Classification Wines. Langton’s new 2005 Classification is available now in a limited collector’s edition art quality poster which can be ordered by clicking on the Classification Poster panel on the Magazine page.

Langton’s 2005 Classification distinguishes Australia’s finest wines in a simple but highly potent way. It works on the essential elements of track record and reputation, both of which are measured through auction market presence, consistency, volume of demand and price realisations.

In Langton’s 2005 Classification Australia’s top 101 wines are calculated and then rated using historical records of sale volumes and price data from a highly informed, and increasingly international, market of buyers and sellers. Langton’s 2005 Classification embraces the many subsets and enthusiasms of the Australian wine market. For the first time it also benefits from the extraordinary information gathering made possible by the online auction technology that Langton’s now uses.

The Australian fine wine market is in constant evolution. Some of the wines that seem to have so much potential today may well fall by the wayside in the future. It has happened before, especially when smaller wineries are taken over in mergers and the accountants start making the wine. In ten years time some of today’s emerging wines will have been classified or have become established labels.

Emerging wines – some Australian wines to watch

BETHANY GR RESERVE Shiraz, Barossa Valley
CHARLES CIMICKY Signature Shiraz, Barossa Valley
DALWHINNIE Eagle Shiraz, Pyrenees
GLAETZER Shiraz, Barossa Valley
KILLIBINBIN Shiraz, Langhorne Creek
SUMMERFIELD Reserve Shiraz, Pyrenees
TORBRECK Descendant Shiraz-Viognier and The Factor Shiraz, Barossa Valley
YERING STATION Reserve Cabernet Sauvignon, Yarra Valley

Some of the highlights in July –

All prices listed below include Buyer’s Premium, are for 750ml bottles and are in AUD.

1991 Penfolds Bin 389 - $76
1999 Moondarra Samba Side Pinot Noir - $83
1994 Howard Park Cabernet - $64
1998 Clonakilla Shiraz Viognier - $98
2001 Dutschke Single Barrel Shiraz - $106
2000 Giaconda Chardonnay magnum - $369
1942 Yalumba Very Old 5 Star Sherry - $84
1983 Lindemans 6600 Shiraz - $65
1965 Lindemans 3110 Shiraz - $536
1998 Elderton Command Shiraz -$77

2005 Grange Auction

The Penfolds Grange Auction featured every bottle ever released under the Grange label from 1951 to 2000 including a number of very rare vintages in outstanding condition. Some highlights: 204 Grange magnums, four sets of Grange magnums, two bottles of the very rare 1951 first release Grange and one imperial of 1997 Grange. Langton’s is Australia’s – and the world’s – leading secondary wine market for Penfolds Grange.

Australians are profoundly proud of Penfolds Grange. It embraces both traditional values and contemporary innovation. Grange is in every respect an Australian icon and for good reason. It is probably the most consistent wine produced in the world. Buyer numbers for this special event were at an all time high, 22% up from the 2004 event.

The overall secondary wine market for Grange is stable with consistent volume of bidding and good clearance rates. Grange prices have been relatively erratic of recent times with spikes as much as 15% between sales. This is largely a result of volume of stock placed into auction and an oscillating level of market interest – generally aligned to overall economic sentiment.

Most bidders were Australian however a number of overseas buyers participated. While the Grange Auction achieved few record prices volume of bidding and clearance rates were good, especially considering the overall sentiment of the Australian ultra-fine wine market. Some vintages – especially 1971 and 1991 – performed near record levels. 2000 Grange hit price record levels demonstrating the reality of supply and demand. There are several long time supporters of Grange who do like the light and shade of vintage, contrary to some of the comments made by critics at the time of release.

The primary wine markets, however, have been struggling for some time and there is a feeling among buyers that the overall fine wine market is flat. This perception is not necessarily the reality. It has, however, been difficult to sell complete collections of Grange in 2005 with few serious buyers in the market. Indeed prices have slumped by about 40% off the market peak in 1999. A complete Grange set, 1951-1994 with some bottles signed, sold with moderately good provenance for $138,059 in July. It is difficult to know whether this market subset will entirely recover. Clearance rates for individual bottles in the Grange Auction suggest that there is still some life in this very highly specialized area of the market.

Older vintages of Grange, particularly unrecognized vintages, are performing very well with prices reflecting a pattern of imminent consumption rather than collecting.

Penfolds Grange continues to represent a high proportion of market turnover reflecting its iconic status at auction. It is true that the auction market has diversified dramatically over the last five years. It is also true that the cult wine scene has taken away some of the lustre and hyperbole this great wine once commanded. The sheer quality and resilience of this wine however is still hugely admired. You only have to look at the underlying volume of interest and trade in this wine to know that Grange will remain Australia's number one ultra-fine wine for the foreseeable future.

Grange highlights per bottle –

PENFOLDS Bin 1 Grange Hermitage, South Australia 1951 - $48302

PENFOLDS Bin 1 Grange Hermitage, South Australia 1952 - $18978

PENFOLDS Bin 2 Grange Hermitage, South Australia 1953 - $20701

PENFOLDS Bin 11 Grange Hermitage, South Australia 1954 - $11501

PENFOLDS Bin 95 Grange Shiraz, South Australia 1955 - $2899

PENFOLDS Bin 53 Grange Hermitage, South Australia 1956 - $14470

PENFOLDS Bin 113 Grange Hermitage, South Australia 1957 - $10811

PENFOLDS Bin 46 Grange Hermitage, South Australia 1958 - $12651

PENFOLDS Bin 95 Grange Shiraz, South Australia 1960 - $1378

August and September 2005

Langton’s offered over 16,000 lots of fine and rare Australian and imported wine during the months of August and September. During this period we conducted 7 auctions between Sydney and Melbourne, including our two special event auctions: Langton’s Annual Grange Auction and Langton’s Classification Sale.

Clearance rates have been remarkably consistent over this period. The number of new buyers continues to increase at a surprising rate. Wine auctions appear to be breaking out and appealing to a much broader section of the wine buying community. The other interesting development we have noticed over the past 4 to 6 months is the increasing expenditure per buyer which all points to a lively market.

Older vintages of classic Australian wine brands such as Penfolds Bin 28, 128, 426, 389 are experiencing strong buyer interest resulting in record results.

The energetic bidding and overall price realisations continue to confirm the wonderful reputation of the 1998 vintage. Some critics consider the vintage an atypical year, largely because of the unusual growing season typified by hot dry weather and ultra-ripe fruit. Certainly the vintage produced some massively concentrated and powerfully structured wines, but it also produced a tremendous diversity of styles. The 1998 vintage continues to dominate results achieving higher prices across all brands – buyers are voting with their wallets!

The percentage of imported wines listed for auction has also increased over the last few months with Rhone listings dominating the imported section of our catalogues. Overall there is strong demand for great wines from great vintages from France resulting in strong results.

Overall Langton’s market remains remarkably vibrant and continues to attract a steady volume of stock with a corresponding volume of demand. Strong prices have led to an unprecedented increase in stock flows.

Some of the highlights in August –

All prices listed below include Buyer’s Premium, are for 750ml bottles and are in AUD.

1998 Balnaves Coonawarra Cabernet Sauvignon - $35
2001 Bests Thomson Family Shiraz magnum - $242
1998 Clonakilla Shiraz Viognier - $104
2001 Greenock Creek Creek Block Shiraz - $218
1966 Hardys Private Bin633 Burgundy - $115
2003 Kalleske Johann Georg Shiraz - $188
1998 Majella Malleea Shiraz Cabernet - $75
1983 Penfolds Bin 389 - $104
1990 Gaja Sperss Barolo - $380
1998 Domaine du Pegau Cuvee Da Capo - $443
1998 Guigal La Turque - $609

Some of the highlights in September –

1998 Grant Burge Meshach Shiraz - $94
1986 Henschke Hill of Grace Shiraz - $474
1963 Penfolds Bin 128 - $173
1966 Penfolds Bin 28 - $104
1964 Penfolds Bin 426 - $58
1998 Petaluma Coonawarra Cabernet - $69
2000 Piper Brook Lyre Pinot Noir - $104
2000 Chateau Pavie - $690
1990 Le Pin - $2899
2001 Chateau de Beaucastel Cuvee Hommage Jacques Perrin - $380
1999 Guigal La Mouline - $754

Langton’s Classification Auction September 2005

To celebrate the launch of Langton’s Classification 2005, this list of top 101 Australian wines, we conducted a special Classification Auction in September. The Classification auction with 1,064 lots attracted enormous interest producing strong results. The sale included every wine listed in the Classification, a number of very rare large formats and older rare vintages.

Classification Auction highlights per bottle –

1996 Charles Melton Nine Popes imperial - $474
2002 Coriole Lloyd Reserve imperial - $651
1995 Cullen Cabernet Merlot imperial - $1323
1995 d’Arenberg The Dead Arm imperial - $864
2000 Giaconda Chardonnay magnum - $391
1996 Greenock Creek Roennfeldt Road Shiraz - $469
1986 Henschke Hill of Grace magnum - $995
1995 Houghton Jack Mann magnum - $128
1999 Jim Barry The Armagh Shiraz imperial - $2013
1999 Moss Wood Cabernet Sauvignon magnum - $368
2002 Mount Mary Quintet magnum - $473
1990 Penfolds Bin 707 imperial - $2025
1985 Penfolds Grange imperial - $19551
1996 Rockford Basket Press Shiraz - $255
1990 Wendouree Shiraz magnum - $423
1996 Yalumba Octavius magnum - $255

Fourth Quarter 2005

The final quarter 2005 has seen strong results at Langton’s. The highlights included our 1998 Vintage Auction and Langton’s largest ever auction, featuring some outstanding wines, in December. As reflected in the latest 2005 edition of Langton’s Classification of Australian wine, the secondary wine market is becoming more focused on regional genre and single vineyard wines.

Good vintages of Barossa Shiraz, McLaren Vale Shiraz, Margaret River Cabernet and Chardonnay, Clare Valley Riesling and Coonawarra Cabernet are experiencing solid interest at all price points.

October 2005

A strong offering of top notch Australian and imported wines and a strong secondary wine market ensured very solid results during October. Almost 8000 lots – comprising a broad church of rare, ultra-fine Australian and imported wine – were offered between Melbourne and Sydney.

Overall the market appears to be on the ascendancy. While not always manifest in price realisations, certainly volume of demand and clearance rates have increased noticeably right across the board, including within the notoriously sluggish but brilliantly good value current drinking type wine category. The sheer magnitude of bidding, however, at the ultra-fine level (particularly among Langton’s Classified Australian wines and blue chip Bordeaux, Burgundy and Champagne) reflects the underlying strength in the market and increased participation rates. Clearance by dollar value rose by about 9%, indicating a firm, if not buoyant market.

Interestingly rare Australian vintages – once disregarded as being old fashioned commercial wines with little or no real interest – have been rediscovered by the market. Strong demand has moved up prices for these old darlings significantly over the last year. A bottle of 1964 Seppelt Moyston fetched an extraordinary $142 per bottle.

Penfolds Grange – an important market indicator – is enjoying stronger clearance rates. Both the 1998 and 1999 vintages have moved forward; prices are being pulled up by the genuinely short supplied, under rated 2000. Rare collections, however, remain moribund by the lack of collectors in this specialised area of the market.

Top vintages of Bordeaux, Burgundy and Champagne are selling extremely well suggesting there is some froth in this market. The wines proselyted by Robert Parker Jr. are more erratic – only the more recognised names attracting volume bidding.

All prices listed below include Buyer’s Premium, are 750mls and in AUD$.

Some of the highlights in October –

1990 Dalwhinnie Shiraz – $74
1998 Greenock Creek Roennfeldt Road Shiraz – $370
1996 Jasper Hill Emily’s Paddock – $144
1973 Lindemans Bin 4810 Shiraz – $65
1994 Leo Buring Riesling – $55
1996 Moss Wood Cabernet Sauvignon – $160
1968 Penfolds Bin 389 – $103
1998 Penfolds Grange – $598
1964 Seppelt Moyston Claret – $142
1983 Tyrrell’s Vat 1 – $48
1999 Vasse Felix Heytesbury Cabernets – $99
1997 Wantirna Amelia – $70
1998 Wendouree Shiraz – $114

1998 Classic Vintage November 2005

1998 is regarded by collectors as one of the great Australian vintages of the 20th century. A warm to hot growing season throughout eastern Australia allowed even-ripening and a high quality but low yielding harvest. Spectacular long-lived wines with wonderful concentration and tannin structures were produced. Many of these wines are continuing to evolve beautifully resulting in significant auction interest. Despite late summer rains during vintage in Western Australia, some remarkable wines were also made.

The combination of an ascendant wine auction market and strong buyer sentiment resulted in confident – sometimes relatively speculative – price realisations. The clearance rate also moved forward despite an unusually high level of expectant reserves. 1998 Grange regained strength adding around 20% in value from preceding September/October sales. Such results will no doubt generate an increasing level of vendor anticipation. However, the market is likely to settle back to a more evenly balanced and realistic level over the forthcoming quarter. The auction exceeded our expectations with excellent volume of demand and some very impressive prices.

All prices listed below include Buyer’s Premium and are in AUD$.

Some of the highlights of the 1998 Classic Vintage in November –

Bannockburn Pinot Noir – $82
Bannockburn Serre Pinot Noir – $145
Barossa Valley Estate ‘E&E’ Black Pepper Shiraz – $99
Bowen Ampelon Shiraz – $85
Brokenwood Graveyard Shiraz – $105
Coriole Lloyd Reserve Shiraz – $110
Cullen Cabernet Merlot – $94
Greenock Creek Roennfeldt Road Shiraz – $388
Grosset Polish Hill Riesling – $52
Henschke Hill of Grace – $375
Jasper Hill Emily’s – $117
Jasper Hill Georgia’s – $92
Jim Barry The Armagh Shiraz – $185
Majella The Malleea – $98
Moss Wood Cabernet Sauvignon – $115
Mount Mary Quintets – $208
Parker Estate 1st Growth Cabernet – $115
Penfolds Bin 389 – $59
Penfolds Bin 707 – $143
Penfolds RWT – $151
Penfolds RWT magnum – $403
Petaluma Coonawarra – $77
Rockford Basket Press magnum – $403
Rockford Flaxman – $201
Vasse Felix Heytesbury – $87
Wendouree Cabernet Sauvignon – $135
Wirra Wirra Chook Block – $178
Yarra Yering Dry Red Number 1 – $128

Langton’s final Melbourne Auction for 2005 was our largest ever auction of fine and rare wine. Price realizations showed the continued strong performance continuing into the last quarter of the year.

Some of the highlights of the December Auction –

1928 Krug Collection – $3,450
1951 Grange – $48,300
1953 Grange – $20,700
1955 Grange – $4,945
1985 Grange Imp. – $19,550
1983 Penfolds Bin 389 – $104
1997 Grosset Polish Hill – $61
1998 Clonakilla Shiraz Viognier – $100
1965 Lindemans Bin 3110 Shiraz – $536
1990 Le Pin – $2900
2000 Mouton Imperial – $14,950

For more comprehensive results please search our database of Australian and imported wine price realisations for over 40,000 vintages and 20,000 wines. Prices are updated after every sale. They can be found in the Wine Tools section of this site at Price Guide.

To view Top 20 Results click on the Top 20 selection under Magazine.

All prices above are per bottle, include Buyer’s Premium and are in AUD$.

Andrew Caillard MW & Tamara Grischy
Langton’s

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