Without a doubt, the finest examples of festive wines are from the French region of Champagne, which jealously guards its name by insisting that only sparkling wine from its vineyards deserves the moniker - and with a big C, at that. Champagne's illustrious history reaches back 2000 years. Even before the sparkling type was developed in the 17th century, the region's wine was famous as a drink for special occasions, a reputation sealed by royal coronations celebrated with Champagne toasts.

Today, names such as Bollinger, Moet and Veuve Clicquot have become icons. As demand has grown so have their reputations and, sadly, the prices they command. In fact, demand has risen so dramatically that for the first time since they were drawn up in 1927, the borders of the Champagne wine region are about to be redrawn to include 40 new villages where grapes can be grown for Champagne production.

With worldwide sales of Champagne exceeding 300 million bottles in 2007, the new vineyards will help to increase supply, but the question of quality is yet to be answered. Strict laws mandate that the Champagne houses hold wines for a minimum of three years before release. As new vines take time to begin producing high-quality fruit (up to eight years), bottlings from the new vineyards won't be released until around 2020.

But there's no need to wait if you plan to pop the cork on a party anytime soon, as Champagne is landing on our shores with greater frequency and diversity than ever. Frequency is important because good non-vintage labels - the most affordable category - have a limited shelf life. Some, such as Veuve and Louis Roederer, reward medium-term cellaring, but most need to be drunk within a few months and stored well in the meantime. Ask your bottle shop when its stock arrived.

Although two wines - Moet Non Vintage and Veuve Non Vintage - dominate the Australian market, other labels are emerging and represent excellent value. These include G.H. Mumm, Pol Roger, Billecart-Salmon and Piper-Heidsieck.

Australia can't produce Champagne, legally or stylistically, but we've slowly built a reputation for our own quality sparklers. Sweetish, fruity blends are giving way to fresh, vibrant styles. One example is Domaine Chandon's 2005 Vintage Brut, a blend mainly of Chardonnay and Pinot Noir. And Tasmania is a region that shows great promise, thanks to its climate and talented professionals. There, winemaker Stefano Lubiana has earned a cult following for his eponymous sparkling wines.

Our penchant for guzzling Champagne as an aperitif rarely allows time to savour the complexity and character of what is also one of the world's greatest food wines. Each style of Champagne demands a different cuisine, so plan the party canapes carefully. Non-vintage bubbles go well with oysters, prawns and cheese, especially a good brie. Vintage champagne can match nearly anything: pork, veal, chicken and fish all work. Rose loves charcuterie or goat's cheese. Demi-sec (meaning 'half-dry') styles are perfect with summer fruits and pannacotta; nothing too sweet, though, otherwise the Champagne will taste sharp and hard.

A good general rule is to not let the food overwhelm the wine, so tone down any sauces and accompaniments. Instead, let your produce do the talking and the bubbles will sing.