Wine to become more expensive

Wine lovers had better stock up on their favourite tipple quickly as a slump in Europe’s wine production this year will likely lead to higher prices. Making matters worse is the Brexit-related hangover, which has weakened the currency and pushed up prices.

As a result, the average price of a bottle of wine sold in the UK is now GBP 5.58 (USD 7.45), up four percent on 2016, The Guardian newspaper reported.

In 2017 global wine production is expected to fall to its lowest in more than 50 years, according to the International Organisation of Vine and Wine (OIV) because of extreme weather in Italy, France and Spain – the world’s top three producers.

Total world output is projected to fall eight percent from last year to about 247 million hl.

According to OIV estimates, Italian wine production will fall 23 percent to 39.3 million hl. Levels will drop 19 percent to 36.7 million hl in France and 15 percent to 33.5 million hl in Spain.

For wine-growing regions outside Europe, the OIV’s forecasts are more optimistic.

In Australia, production is expected to rise six percent to 13.9 million hl, while Argentina will register an increase of nearly 25 percent to 11.8 million hl.

With 23 million hl, output in the US – the world’s fourth-largest producer and its biggest wine consumer – is not due to fall despite the wildfires in California because the majority of wine producers had already harvested their crops.

There is no data available for China, which produced 11.4 million hl in 2016.

Slump in global wine production could lead to higher price