The Hungarian wine freakonomics

Freakonomics is a non-fiction book by University of Chicago economist Steven Levitt and New York Times journalist Stephen J. Dubner.

Relatively entertaining and often surprising, the book uncovers facts such as why American drug dealers tend to live with their mother. The book’s full of apparent economic anomalies if looked superficially. Topics not featured in the book however nor on the authors’ blog, but should,  include why Hungarian wines’ en primeur prices remain unchanged in the middle of the largest economic downturn of the last 18 or so years and why isn’t there any correlation between Hungarian wine vintage quality and the prices of the vintages’ wines. You know why? Because although surprising, unlike the interesting topics in Freakonomics there’s no logic behind the price movements of Hungarian wines.

According to Times Online, Bordeaux en primeur prices are expected to fall sharply following a huge drop in demand for Bordeaux wines. The reason: the credit crunch and its consequences of course. Do you think that Hungarian merchants take notice of Hungary’s disconcerting economic conditions? Then check out the recent listing of en primeur prices and you’ll see that on y/y basis the prices do not show significant changes (or a slight increase in certain cases). Indeed, some of the most expensive red wines of Szekszárd and Villány are only about 1/3 cheaper now than top Chateaux wines of Bordeaux are expected to be (not counting the effect of recent volatility of Hungarian Forint).

Honestly, wouldn’t it be for the weakness of the Hungarian Forint I’d be seriously considering limiting radically my consumption of Hungarian wines, maybe eliminating totally the drinkning of red wines for a while. You foreigner, on the other hand, this is an excellent buy opportunity and if I were you, I’d go for  some Aszú 1999 or dry whites of 2007.