Off-trade

2021 – another record low for global wine production

This year's global wine production volume is expected to be extremely low - estimates put it down 4% on the previous year - at a level not seen since 2017, predicts OIV, the international Organisation for Vine & Wine.

 

The higher-than-average harvests in the Southern Hemisphere vineyards are unlikely to make up for the loss in yields of the world's biggest wine producers overall, states the OIV.

The higher-than-average harvests in the Southern Hemisphere vineyards are unlikely to make up for the loss in yields of the world’s biggest wine producers overall, states the OIV.

This would make 2021 the third year in a row that global wine production has been below the average.

OIV, the intergovernmental organisation of a scientific and technical nature, enjoys a recognised global competence for its works concerning vines, wine, wine-based beverages, table grapes, raisins and other vine-based products.

Speaking at the OIV’s headquarters in Paris by web conference Director General Pau Roca recently presented the first estimates for 2021’s world wine production.

The OIV anticipates low production volume in the EU, notably in Italy, Spain and France, which altogether lost about 22 million hectolitres compared to 2020 due to that late Spring frost and generally unfavourable climatic conditions.

In France, for example, the 2021 harvest is likely to result in some 34.2 million hectolitres in total, 27% down on 2020. At 35 million hectolitres, Spain’s 2021 harvest is likely to be down by 14% states the OIV.-The only large EU wine-producing countries that recorded larger harvests than 2020 were Germany, Portugal, Romania and Hungary.

But first harvest forecasts in the US indicate production volumes slightly above those of 2020.

 

US & Southern Hemisphere yields

It has also been a very positive year for Southern Hemisphere vineyards where relatively favourable climatic conditions led to record high production levels in South America, South Africa and Australia. New Zealand was the only exception to this.

Wine production in Australia and Chile increased by around 30% in 2021, to 14.2m hl and 14.4m hl respectively, while US production will likely be up 6% to 24.1m hl.

However the higher-than-average harvests in the Southern Hemisphere vineyards are unlikely to make up for the loss in yields of the world’s biggest wine producers overall.

Furthermore, New World and Old World Wines are likely to be further adversely affected by the huge hike in transportation costs as global supply chain pressures continue to build.

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