OIV: ‘Generational’ change in drinking habits as production and consumption fall to 60-year low
World wine consumption and production have plummeted to their lowest levels in over 60 years as the wine industry grapples with the intersection of climate-related challenges and generational changes in drinking habits.
This was the headline from the OIV’s latest report on the global wine sector, which was presented by OIV director general John Barker at yesterday’s (15 April) online press conference.
Covering more than 180 wine-consuming nations, the report created a snapshot of the 2024 calendar year, when world wine consumption sat at an estimated 214.2 mhl (-3.3% compared to 2023). If this estimate is confirmed, it would signify the lowest volume recorded since 1961 (213.6 mhl).
Production in 2024 is also estimated to be the lowest since the 1960s.
In 2024, global wine production, excluding juices and musts, is estimated at 225.8 mhl, marking a 4.8% decrease compared to the already historically low output of 2023. This marks the second consecutive year of strong decline, resulting in the lowest production level recorded since 1961 (219 mhl), when spring frost hit major vineyards in Southern Europe, notably in France.
As with 2023, extreme or atypical meteorological events during 2024 were the key influences on global production, with early frosts, heavy rainfall and prolonged drought dramatically impacting vineyard productivity. These factors severely impacted harvest volumes across major wine-producing regions in both the Northern and Southern Hemispheres. In some regions, this low output also reflected market adjustments driven by declining consumption volumes.
The OIV emphasised how a ‘gradual transformation’ of decreasing in consumption in several mature markets is now intersecting with a particularly challenging economic environment. While moderation has been shaped by evolving lifestyle preferences, shifting social habits, and generational changes in consumer behaviour, the cost of living has exacerbated these trends.
Barker (pictured) commented that the challenge for the wine industry is one “adaptation”.
“Working together to develop solutions to climate change and making wine a beacon of sustainability; investing in research on new audiences so that we can see wine through their eyes; reinforcing our commitment to multilateralism and global trade: these are the elements that will lead the wine sector forward,” he said.
In 2024, Germany, the UK, and the US maintained their positions as the top import markets globally, collectively representing 38% of the world’s total imported wine volume and 37% in terms of value.
The UK, the second largest volume importer behind Germany, has ended its downward sales trend which began in 2020 by reaching 12.6 mhl (+2.4%/2023). Bulk wine, accounting for 37% of the total volume, is the main driver of this recovery, with a 7.2% increase in volume. The import value remained stable at €4.6bn.
After a significant drop in 2023, the US was in third place on the list of wine importer volumes with 12.3 mhl (+0.1/2023). It maintained the first place in wine import value with €6.3bn (+1.6%/2023).
Keywords:
Search
56-58 Church Walk, Burgess Hill, West Sussex, RH15 9AN
Registered in England No. 6646125. VAT No. 938 4452 95
