Find out Why Wine Consumption Increases in Spain for First Time in a Decade

Find Out Why Wine Consumption Increases in Spain for First Time in a Decade

Spanish wine is the best in the world

One of the most simple pleasures of life in Spain is drinking so wonderful wine and relaxing by the side of a pool, on the beach, or in a bodega.

Even so, the reality is that wine consumption in Spain has been falling for the past few years. No one understand just why it happened either. The economy might have been partly to blame, of course, but people will often turn to affordable, simple treats during tough times so they can get through them easier. There’s nothing quite as cheap in Spain as local wine.

There is also the suggestion that Spanish wine has become boring and staid, especially among the younger generation. Younger Spaniards appear to prefer drinking spirits like rum and gin, and beers, rather than wine.

However, in 2016, it looks like this trend is reversed. The latest data from the Spanish Wine Market Observatory (Observatorio Español del Mercado del Vino) showed a 4% increase of Spanish wine consumption, with a total of 9.8 million hectolitres consumed.

Spain is the present world leader in producing wine, with a total of 42 million hectolitres made each year. Even though Spain is the leading producer of wine, it’s one of the lowest as far as consumption goes when compared to other top producers. By 2014, the annual wine consumption in Spain was just 21 litres per head; down from over 40 in 1970.

The figure has now risen to around 22 litres per head, which puts it on par with the UK, but still very far below the average annual wine consumption in the other leading wine producing nations of Europe.

The official shows, for example, that Slovakians and Croatians are drinking around 44 litres of wine each per year. The French are drinking around 42.5 litres, while the Portuguese are drinking 41.7 litres and the Italians are drinking 33 litres.

While these countries might have high average wine consumptions, they all pale in comparison to The Vatican. This small country has an average wine consumption of 53.83 litres per person per year.

Spanish wine regardless of the consumption with young people still represents some of the best wine in Europe due to quality and price.

Data Forecasts Spanish Unemployment Drops Below 17% for First Time in Years

Data Forecasts Spanish Unemployment Drops Below 17% for First Time in Years

Its official when the economy is moving in the right

direction unemployment drops drastically

Spain saw unemployment soar to the record rate of 27% in 2013, but is now looking at ending 2017 with less than 17% unemployment for the first time in years.

While there is still the myth that the Spanish economy is still stagnant, official figures from government and European bodies show that Spain has been one of the strongest economic performers in the continent for the past 18 months now.

While 17% unemployment could still be considered pretty high, in relative terms it means Spain is on course for another year of strong economic growth. The rate of unemployment fell to 18.6% in 2016, and it’s predicted that it could fall another 2% during 2017; which would mean over half a million more people in work.

This was the message spread by the Spanish Economic Minister Luis de Guindos last week. The Economic Minister admitted that the unemployment rate in the country was still inadequate, but was still very bullish overall on the long-term prospects.

Economic growth topped 3.2% GDP in 2016, with similar levels of growth expected for this year, and a further +2.5% growth expected for the next four years. The queues in the job centre are getting shorter, and thousands of educated Spanish youth are returning from Germany, the UK, and wherever else they have been, creating what economists feel is more of an opportunity than a burden.

Youth unemployment in Spain is still one of the highest in Europe, reaching over 25%, but there has been plenty of recovery in other industries; evident by the rising number of Spaniards being issued with mortgages. This has left the Spanish youth more confident about their chances of securing a bright future in their home country.

Time Runs out for Eta as Separatist Group Fully Disarms

Time Runs out for Eta as Separatist Group Fully Disarms

It’s been a long time since the Basque separatist group Eta could be considered a threat, and it’s now expected that the terrorist organisation will wilfully disarm themselves by April 8^th.

The regional Basque government announced on Friday that they have contacted the leaders of Eta, who say that they will not just lay down their arms next month, but will also offer up the location of all their weaponry stockpiles.

Eta have spent decades trying to create an independent Basque, but sympathisers have disagreed with their tactics and work by Spanish and French police have reduced the power of the group, rendering them unable to continue their attacks.

An ETA activist confirmed last week that the group will finalise their disarmament by April 8^th, with disarmament completed no later than the date of the French general election; April 23^rd.

Even though the Basque region is officially a part of Spain, ETA claims that a part of it is in southwest France as well. The governments of both countries have long resisted the actions and pressure of the group, which claimed hundreds of lives in the 80s and 90s.

The group was formed in 1959 and – since then – there are some 830 deaths attributed to the group. The last time they performed a deadly attack was back in 2010, which claimed the life of a French policeman in Paris.

The group has taken a more political approach since then, calling a ceasefire in 2011. Even though the group is still considered a terrorist group, many of the its members have begun hiding in plain sight.

Txetx Etcheverry – an activist with ETA access – said that ETA gave them the responsibility of disarming their arsenal, and that the group would be completely disarmed by the evening of April 8. The Basque government say they see the potential for a complete and final disarmament in the short term, and asked for the cooperation of the Spanish and French governments; asking them to open communication lines and show ambitious vision to reach a goal that benefits – and is historically important to – society.

Madrid is likely to welcome the news of disarmament. Spain has been fighting hard to keep its unity following the reign of Franco, and is still dealing with the Catalan independence issue on top of this Basque separatist problem.

Time is Running Out to Trade Pesetas for Euros

Time is Running Out to Trade Pesetas for Euros

€1.641 billion worth of pesetas are still out there

It might not feel like it’s been this long, but it was back on January 1^st 2002 – over 15 years ago – when Spain switched from pesetas (which dated back to 1869) to euros. Even though the peseta was no longer considered legal tender just a few short months afterwards, there are still millions of them to be found across Spanish households.  Perhaps they are being saved for a rainy day, or out of a sense of nostalgia.

From 1^st July, 2002, pesetas could only be traded for euros with the Banco de España (Bank of Spain). However, many people weren’t so keen to get rid of the retired currency, affectionately known as “La Rubia” – the blonde. The peseta was held on to by so many people that, some five or six years ago, a rural village in Spain fell on such hard times that the peseta was re-introduced to boost the local economy.

That was then though, and this is now. The clock is now ticking on the peseta. If you still haven’t traded your pesetas for euros then you should get a move on, as the Banco de España will stop exchanging them as of the 31^st of December, 2020.

The Banco de España say that some €1.641 billion worth of pesetas is still flowing through the country – breaking down to €842 million in notes and €799 million in coins – which is over 273 billion pesetas. The bank estimates that 45% is either still in the hands of Spanish residents, or it belongs to those who visited the country before 2002.

Spanish Unemployment Down to Below 20% for First Time in Six Years

Spanish Unemployment Down to Below 20% for First Time in Six Years

Encouraging news for spain as unemployment carries on falling

There are plenty of signs that the Spanish economy is getting back on track and one of the latest concerns the state of the Spanish job market.

For the longest time now Spain has seen unemployment levels that are much higher than the Eurozone average. Now the most recent data says that Spanish unemployment is at 18.9% and it’s a pretty significant number. This rate might still be higher than France, Germany and Belgium but how much unemployment has fallen by is encouraging for Spaniards.

Even two years ago the Spanish unemployment rate was around 30%, which half of youths unemployed. Now Spain can say that they have finally put an end to the times when unemployment in Spain reached 1-in-5.

The data comes from the National Statistics Institute and it shows that there are around eighteen and a half million Spaniards in employment. As you might expect the tourism, construction and manufacturing industries all reported strong growth during the summer. Over 220,000 jobs were created in the tourism sector along in the past three months. While it’s true that some of these jobs were only temporary seasonal work, there were still more long-term jobs offered than in the past few years.

When the end of the third quarter came the INE calculated that only 4.32 million Spaniards are currently unemployed, and only 27,300 people found themselves laid off over the quarter. During this same period some 217,700 new positions were opened up in the private sector. Even the public sector added 10,000 new jobs despite being left rudderless for the past ten months due to a lack of government.

Spain is pretty much back to normal now following the drop in unemployment to below 20%. Because Spain is such a regional country that changes with the seasons unemployment levels have always hovered around 20%. The unemployment rate only dropped below 15% during the economic booms before and after the turn of the millennium.

From all perspectives it looks like 2017 will see even more people in work in Spain as it’s expected the economy will grow by over 3% next year. All of the signs are very encouraging and if it all goes well it should also lead to more confidence from consumers and investors in other leading Spanish industries such as the real estate sector.