Burgundy Trade Structure

Burgundy trade structure:
In the past, the small, fragmented vineyards of Burgundy did not make, bottle and market their own wine – to do so was considered uneconomical. Instead, they sold to the big merchants, known as negociants, who would then blend, bottle and market the wine internationally.

Times have certainly changed; nowadays, it is recognized the greatest wines come from growers who bottle and sell their own wine. Over the past thirty years price rises have made it viable for growers to dispense with the middle-men.

This is not to say the negociants are down and out, however. They are nearly all powerful land owners themselves and have steadily begun focusing on their own vineyards. Meanwhile, many growers, having been unable to buy more vineyard, have bought in some grapes and thus become a type of small-scale negociant.

The co-operative movement, founded in the 1930s, continues to play an important role among the less expensive parts of the Burgundy region.