I hope this isn’t true, but there is widespread expectation generated by Penfolds’ owner, Treasury Wine Estates, that it will react to the reopening of the China market with a price increase predicted by well-informed observers to be around 5-7%. Having been a regular visitor to China while Penfolds increased their prices on what seemed like an annual basis, I’d urge a little caution here. Penfolds wines are already far from cheap and Chinese wine buyers follow pricing trends very closely. With Penfolds’ big opportunity to re-establish itself in China, I am of the view that Chinese wine buyers would respect some restraint in the pricing area, even if only to reflect their country’s change in financial circumstances.