HONG KONG: Asia's wine market will expand by 10-20 percent over the next five years, with growth led by China, Hong Kongh, Taiwan, Singapore and Korea, according to Hong Kong's trade development body.

Bonnie Shek, director, Aust/NZ, of the Hong Kong Trade Development Council (HKTDC), told a business forum in April that wine consumption value in Asia (excluding Japan) was expected to double over the next five years, reaching HK$130 billion (US$16.7 billion) in 2012 and HK$210 billion in 2017.

Projected wine imports into Asia, except Japan, would total US$1.5 billion by 2017, with China alone accounting for HK$7 billion of that figure, she said.

To promote Hong Kong as Asia's wine trading, distribution and investment centre, the HKTDC is organizing the first International Wine Expo in Hong Kong from August 14-16.

Close to 80 percent of Hong Kong's wine consumption is red, and Australia is currently the second largest exporter of wine, in both value and volume, to Hong Kong.

Asia's wine investment market also had tremendous growth potential, Shek said. This included wine futures trading, wine investment funds offered by private banks, and wine auctions.

She predicted that demand for wine investment by Asian investors will amount to HK$4 billion by 2012, and to HK$8 billion by 2017.