Greece is living through the sixth year of the deepest recession ever witnessed in the country’s modern history, and arguably the worst in peacetime. Even though banks reopened in mid-July, after being closed for three weeks, the capital controls imposed at that time continue to make almost every economic transaction a nightmare for both professionals and consumers. According to Kathimerini, a leading newspaper, “the three-week shutdown has cost the country‘s struggling economy some €3bn ($3.4bn)”.
While business appeared to be operating normally again, the summer period was more painful than promising. Tourism, a major pillar of the Greek economy, was badly hit during the height of what should have been the ‘high season’. Apart from the numerous cancellations of existing bookings, there was a severe drop in new ones after the milestone date of June 29, when the banks closed. Following Alexis Tsipras’s recent resignation and then re-election, there is no doubt that Greece continues to face political upsets.
But it is not all gloom and doom. During this difficult period, the Greek wine sector has become a bright exception to the national rule, attracting positive attention worldwide. In the past two or three decades there have been huge improvements in terms of quality. Greek wine is better than ever and indigenous varieties such as Assyrtiko are very much in vogue and increasingly to be found on the lists of top restaurants around the globe.
The sector has, however, been unable to escape the negative impact of the crisis on the local market. After capital controls were enforced, consumers simply stopped buying luxury products – a trend that affected bottled wine, because it has been promoted more as a lifestyle product than a staple commodity. On the other hand, the market for bulk wine is booming and now represents 65% of total sales, according to Euromonitor International.
The financial restrictions have also created difficulties for those Greek producers that rely on imported bottles, corks, labeling paper or wine equipment. As winemaker Christos Zafeirakis says, “We were working with suppliers for years and always paid our invoices on time, but many have stopped delivering to us because of prohibitive or highly restricted bank transfers’’.
As the crisis becomes more severe again, it seems that Greeks are trying to become more flexible and responsive to this new environment. Export markets are now an escape route for Greek winemakers, but there are still opportunities in the local arena for professionals who keep their eyes wide open.
Notable importers
As soon as capital controls were imposed, it became impossible to import almost anything because there was no way to pay for it. During July and August, no payments could be made at all, and Greek banks constantly ‘moved the goalposts’ which made their clients’ lives even more difficult. This was a nightmare for Greek importers, who are either supplying their customers from fast-shrinking stocks, or relying on personal relationships to encourage overseas producers to be flexible about payment terms. Things are more relaxed now, but there are still payment delays. Aiolos SA has been a strong business since 1991, importing from more than 50 producers, apart from its Greek wine portfolio. Having built close relationships with their suppliers they are coping pretty well and have seen a surge in the sales of high-end wines, particularly during the summer. Oenocosmos and Deals SA are also successfully profiting from strong networks established over many years, while a serious new player called Trinity Wines is emerging with a small yet impressive portfolio of quality foreign winemakers. There is also room in Greece for some small specialists such as K & E Malerdos Co, who are doing extremely well from importing relatively small quantities of top-quality New Zealand wine.
Notable retailers/wine shops
The new kid on the block is Oak Cava, whose impressive store in the northern suburbs of Athens hosts a selection of 2,000 different wines, spirits and beers. There is a private tasting room for themed tastings, and highly knowledgeable staff.
Cellier and Kava Anthidis are established retail brands that are doing pretty well despite the difficult economic environment. Siganos SA a big wholesaler/distributor based in Crete, that has also launched a new store called Mr Vertigo, focused on great service, knowledge and expertise. Last but not least, Kylix is the retail branch of the importer, Oenocosmos, and benefits from its impressive portfolio of imported wines and potentially the biggest selection of international whiskies. It must be noted, however, that none of these wine stores is of national importance since Greece has no big retail chains that cover the entire country.
Notable producers’ association
Greek winemakers are now working together more effectively in their efforts to build their regional presence and global exports. Wines of Peloponnese and Wines of North Greece are very active associations, and more regions are expected to follow their steps. The recent success of Cretan wine can be attributed to Wines of Crete, an initiative built on cooperation between the 31 producers that collectively represent almost 90% of the island’s bottled wine production. Since it was launched in 2006, Wines of Crete has focused on the promotion and recognition of modern Cretan wine through education, organised tastings, exhibitions and social media presence. Crete has had great success in altering the former negative image of its wine.
Notable sommeliers
Although there is a new generation of highly trained sommeliers who have taken WSET courses or other appropriate qualifications, restaurants, especially high-end establishments, are feeling the pinch. Capital controls inevitably mean that their customers are spending less. This is not helped by a belief among Greek restaurateurs that, even though they may apply high mark-ups to wine, hiring a trained professional to sell it is not cost-efficient. There are some thriving wine bars that work with sommeliers, but professionals with higher ambitions have a tendency to leave the country. Terry Kandylis, the 2015 Best Sommelier in Greece, with CMS and WSET diploma qualifications, represents the new face of Greek wine service. Today, he is working as head sommelier at the recently opened, wine-focused 67 Pall Mall in London. Elvis Ziakos, a CMS Advanced Sommelier and two-time winner of the Greek Sommeliers competition, was responsible for wine service at the Grand Resort Lagonissi and the Spondi restaurant in Athens before moving to London, where he now works at The Greenhouse restaurant in Mayfair. Of the sommeliers who remain in Greece, Evangelos Psofidis is worth mentioning because of the impeccable service he offers at Athens Grande Bretagne Hotel, where he manages a cellar of 800 different wines.
Notable restaurant wine lists
It is not only fine dining establishments that are having a hard time because of the lingering crisis; the entire gastronomy sector is feeling the effects. Consumers who once paid extremely high mark-ups for wine and mediocre wine service are turning their backs on the sector. Nowadays, smarter, smaller wine lists offering excellent value for money are increasingly prevalent, with a shift to the provision of a good selection of wines by the glass. F+W restaurant is a good example of a small, decently-priced list, with fewer than 100 labels covering the most important Greek wine regions, along with some stellar bottles from other countries.
Great and extensive lists are still to be found, however. The Grande Bretagne Hotel has an exceptionally well-stocked cellar for its restaurants. Vinoterra is an innovative concept: both a restaurant and a next-door shop offering almost 1,000 wines with a corkage fee of just €8.00 ($8.98). Looking outside Athens, the Gastrodromio En Olimpo restaurant in Litochoro, and Kontosoros tavern in Florina are both exemplary for their quality of service and their low pricing policy, and for lists that contain fantastic old and rare Greek wines.
Notable wine bars
Wine bars are a recent phenomenon in Greece, and probably the hottest trend at the moment. The boom began during the crisis and it is now difficult to keep up with the new openings, not only in Athens, but also in the rest of Greece. Unfortunately, few have a clear idea of what they should be offering specifically, but there are some good exceptions. By the Glass is one of the most popular bars located in the center of Athens, with a terrific atmosphere and 220 Greek and international wines, most of which are served by the glass using Vinito and Coravin systems.
Vintage Wine Bar & Bistro is a relatively new business, offering an extensive wine list and a great selection of wines by the glass, including more expensive bottles that also benefit from the Coravin system. Finally, Oinoscent is a long-established classic that is especially popular with more-sophisticated wine consumers. Small and cozy, with regular tutored tastings, its wine list changes every month.
Notable wine blogs
Greece’s printed wine media are facing even greater difficulties than their counterparts elsewhere and, as in other countries, more people are showing growing interest in social media and blogs. Winecommanders.com is a widely read, bilingual blog founded by myself and Yiannis Karakasis MW. It focuses on Greek wines and other international topics. Greekwineworld.net run by Nico Manessis, a regular contributor for magazines such as Decanter, and Greek regional chair for the Decanter World Wine Awards, is another reliable source of information about Greek wine. Finally, Krasiagr.com, whose name is derived from the Greek word for wine, is an important portal for wine news from all over the world.
Significant wine personalities
Having two Masters of Wine is a great asset for a small wine-producing country like Greece. Konstantinos Lazarakis MW, the first Greek MW is president of the Wine and Spirits Professional Centre, which runs tastings and WSET and CMS courses. One of the most respected wine personalities in the world, he also works as an import manager for Aiolos SA. Yiannis Karakasis MW has recently become a Master of Wine. He is a wine consultant, educator, co-founder of winecommanders.com, who also contributes to international magazines and organises wine tastings.
