At the ongoing 114th China Food and Drinks Fair in Chengdu, Sichuan province, a matchmaking salon was held on Tuesday to promote wine from the Ningxia Hui autonomous region to markets in Southeast Asia.

Huang Siming, secretary of the Party Working Committee of the Helan Mountain's East Foothill Wine Region, said the global wine market is undergoing reconstruction and Southeast Asia may become a new growth pole.

The Western markets have become highly mature and even saturated, with high market barriers, high entry costs and solidified brand loyalty, Huang said.

"In the emerging Southeast Asian market, young and middle-class consumers are expanding, to usher in a consumption upgrade, presenting vast demand potential."

The salon was warmly received by Ningxia's wine industry, attracting over 80 wineries.

"The salon is a precise empowerment," said Zhang Yanli, owner of Ningxia winemaker Fei Tswei, as this year marks its eighth appearance at the fair.

The salon facilitates the promotion of Ningxia's regional wine brands, making more global buyers aware that the area produces outstanding wines, Zhang said.

"This year, we've seen a shift in the potential distributors we've connected with — from quantity to quality — engaging with those willing to actively promote wines from the Helan region," she added.

The momentum generated by these government-led initiatives is now being carried forward by businesses, whose optimism for overseas markets is palpable.

"We are bullish about the Southeast Asian market, which represents a crucial platform for Ningxia wines going global," said Zhang.

The optimism comes from two key advantages. The first is solid quality. The second is that their distinctive varieties offer rich fruit aromas and fine tannins that pair exceptionally well with Southeast Asian cuisine, she said.

So far, the winemaker has established partnerships with several Southeast Asian importers, and the next step is to expand sales volume and strengthen distribution channels in that market.

"Interest is high among fine dining establishments," said Allen Lee, head of Fabulous Wine Sdn Bhd, a Malaysian wine distributor. "Consumers are generally surprised by the rapid advancement of Chinese winemaking. We will include Ningxia wines in our 'Global Discovery' rotation for our partner bars."

However, to expand their presence in the Southeast Asian market, Ningxia wineries need to improve brand recognition. "Consumers in Southeast Asia are more familiar with French and Australian wines, so fostering awareness of the Helan region's wines will take time," Zhang said.

Logistics costs are another challenge. Lee said that price point is the key to success in Malaysia, but high production costs in Ningxia often lead to CIF (cost, insurance and freight) prices that exceed those of comparable Chilean or Australian labels. "We need to optimize logistics while maintaining a premium positioning."

Ningxia's wine industry has witnessed rapid development in recent years. Huang said the Helan region, Ningxia's major wine production base, now has an annual bottling volume of 140 million bottles, representing almost 50 percent of the country's total estate wine production.

In 2025, Ningxia's wine exports reached 14.494 million yuan ($2.1 million), a year-on-year increase of 5.37 percent, said Huang.