Wine Production Around the World
Wine production during the past 40 years has increased vastly. Europe
accounts for over three-quarters of the world's wine production,
of which Italy, France and Spain remain the biggest producers, although
no longer the biggest consumers. According to a report published
by the Wine Institute dated August 1999, Italy's consumption actually
went down slightly, while the Netherlands, Switzerland, France,
Spain, Belgium and Scandinavia increased their wine consumption.
The United Kingdom, Ireland, Australia, Canada, Argentina, China,
Yugoslavia, Brazil and Japan also increased their consumption, while
Germany, listed as the fourth-largest wine consumer, showed no changes.
based on data from Office International de la Vigne et du Vin (O.I.V.)
(U.S numbers are provided from Gomberg, Fredrikson & Assoc.) notes
that the Wine Institute believes the total wine-consumption numbers
drink a lot less wine than the Italians, Spanish, Germans, British
or French. According to statistics, only about 18% of the American
people are consuming wine today, and the average person drinks less
than five gallons of wine per year. That is about one-tenth of the
wine an average Italian, French or Spanish person consumes.
States is in fourth place among the leading wine-producers of the
world. Boasting with a 12-billion-dollar-a-year wine industry, with
over 750 wineries, California is the largest producer in this country.
California produced 375 million gallons, or 91% of the total US
production, up 20% from 1997 to 1998.
producer in the U.S, New York, with about 100 wineries, produces
14 million gallons of wine and over half a million of champagne
annually, which is 5% of the nation's wine production.
Washington and Oregon in the Pacific Northwest, with 160 wineries,
produce over 22 million gallons per year.
is it Changing?
wine sales in the U.S. in 1998, which includes wines from California,
other U.S. states and foreign markets, reached 531 million gallons,
or $17 billion, up only 1% from 1997. However, the estimated retail
value was up 5.5%. This can be explained by the shift of American
consumers moving from white and blush jug wines to high-end varietal
The U.S. ranks
ninth by volume as a wine exporter. The total export in 1998 was
$537 million, up 26% from 1997. Over 125 California wineries alone
export to 165 markets. Total California wine sales in the U.S. and
abroad reached 437 million gallons, up 3% from 1997. U.S. consumers
purchased most of the volume, as California wineries shipped 388
million gallons nationwide for a 73% share of the U.S. market. The
estimated retail value of the state's wine shipments within the
U.S. was $12 billion, up 5% from 1997 to 1998.
does the US export to?
United Kingdom was the largest U.S. wine export market, representing
over a quarter of the value shipped abroad. Export to the U.K. increased
32% from 1997, to $143 million in sales. Export to Japan increased
134% to $93 million, making it the second-largest export market
for the U.S. Canada, with $91 million in sales and a 15% increase,
ranks as the third-largest export market. The Netherlands shows
a 170% increase with $48 million in sales; Switzerland shows a 27%
increase with $23 million in sales, and Ireland shows a 15% increase
with $11 million in sales.
and other North American winemakers are gaining recognition for
producing some of the highest-quality wines in the world. The U.S
holds only a 3% share of the world export market by gallonage. Tariffs
and distribution regulations limit American access to wine markets
in many parts of the world. "Despite protectionist measures, most
wine export markets have a positive business climate with significant
opportunities," says John De Luca, Wine Institute president and
CEO. "Global markets are being opened and expanded for California
wine as foreign trade becomes more important to the future growth
of our industry."