LONDON, May 30 (Xinhua) -- The UK is now being regarded as an emerging premium wine region as overseas demand for high quality British wine continues to increase, the UK's Department for International Trade said on Thursday.

Overseas buyers are recognizing the strength of the wine sector in the UK and believe it has the potential to be among the finest in the world, the department said in a press release, citing a number of key markets, the biggest being the United States and Scandinavia which accounts for 65 percent of total exports, and also emerging markets such as Japan.

Overall sales of English wine increased by 31 percent between 2015 and 2017 and the industry is predicted to be producing 40 million bottles a year by 2040, more than double the record-breaking 15.6 million bottles produced last year.

The department said it has been an amazing year for English sparkling wine as producers across the country have picked up prestigious international awards for the homegrown tipple, including wins at the Decanter World Wine Awards, the International Spirits Competition and The International Wine Challenge.

International Trade Secretary Liam Fox said the potential for exports is going from strength to strength due to the rapid growth of the sector and an increased demand from overseas, and his department will support more producers to succeed abroad to cement the UK as the new premium wine region of the world.