Value of global wine exports breaks records as inflation soars
The global value of wine exports reached a record high in 2022, pushed ever upwards by runaway inflation and global supply chain issues.
Recent data released by the International Organization of Vine & Wine (OIV) showed that global wine exports were the highest they have ever been in 2022. Over the course of the year, global wine exports reached an estimated €37.6bn in value – the highest figure ever recorded and marking a 9% rise compared to 2021.
The upswing can be largely attributed to rising prices rather than consumption.
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In a year marked by “high inflation, the energy crisis caused by the conflict in Ukraine, and global supply chain disruptions… many markets saw significant increases in wine prices, which lead to a slight decrease in volumes consumed worldwide”, the OIV said. Global wine consumption fell 1% to 232mhl, while the world saw a sharp rise in average export prices in all major wine exporting countries.
China also plays a major role in the global consumption picture: the worldwide negative consumption trend began in 2018, largely to attributed to a decline in the country, which has lost on average 2mhl per year since then.
A post-pandemic boost saw wine volumes recover slightly in 2021. However, in 2022, “the war in Ukraine and the associated energy crisis, together with the global supply chain disruptions, led to a spike in costs in production and distribution. These resulted in significant increases in wine prices for consumers”, Pau Roca, director general of the OIV, said.
The year’s numbers were also marked by a significant slowdown of sea freight, which – combined with high inflation – resulted in overall lower volumes of wine exported at much higher average prices (+15% compared to 2021).
Despite ongoing supply chain disruptions however, wine is more global than ever.
A total of 46% of wine consumed globally was imported around the world last year, meaning wine is “still highly globalised”, Roca said.
Wine is exported to 200 countries around the world and made in 85. Nevertheless, the top 10 countries account for 70% of world consumption; and the top eight wine producing countries accounted for 78% of the total wine produced in 2022.
The UK doesn’t fall in the top 20 wine producing countries. However, it comes in at number four in the global importer rankings (6%), behind the US (15%), France (11%), and Italy (10%).
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