...that the region was once a major outlet for Mosel Riesling or that the Russian aristocracy bought large volumes of Madeira and Champagne. True, it is not those habits that have reinvigorated their markets, but it is clear – as we see in this issue´s report - that Eastern Europe´s once flourishing wine culture is again on the rise. As their populations enjoy growing disposable incomes and shelf prices fall, consumption will continue to increase.

Our regional analysis focuses on Australia and New Zealand. Written by two of Australasia´s pre-eminent wine writers, James Halliday and Bob Campbell, the articles track the past, present and future of their respective countries. Not only are the two inextricably linked in the minds of many consumers, but both have to deal with the threat of overproduction that is redefining the way their industries think. Will private enterprise be better able to solve the problems than has governmental interference in Europe?

In comparing the dynastic fortunes of Marchesi Antinori and Frescobaldi, it became clear that these two companies have striking differences; but both see themselves as purveyors of estates under the umbrella of a single family, not as brands. Similarly, Tony Laithwaite has built his mosaic of a home-delivery wine empire out of a myriad of smaller stones, lego rather than the bronze cast of a global behemoth. The champion in his field, Laithwaite has firmly done this without the sale of widely marketed brands; but global brands are, at least in theory, what large supermarket chains like Albert Heijn in Holland and Delhaize in Belgium need to attract their clientele. Nonetheless, each of these firms wants to differentiate itself from its competitors, but what works in Belgium, may not in the Netherlands.

Scandals are nothing new to the wine industry, nor are they likely to disappear in the near future. Each change in trading habits presents new opportunities for crooks, traps for the unwary and challenges for lawmakers. In South Africa the coffers of the Wine Industry Trust have been plundered, leaving little money to promote the Cape´s wines. In 2006 England has seen two high profile bankruptcies of companies specialising in futures. Will the industry regulate itself or will government action be required?