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October 21, 2016

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Global wine output to decline to 4-year low

WORLDWIDE wine production is expected to fall this year to its lowest since 2012, chiefly due to adverse weather that sharply cut output in France and South America, wine body OIV estimated yesterday.

Global wine output is set to fall by 5 percent compared with last year to 259.5 million hectoliters (mhl), one of the three smallest volumes since 2000, the Paris-based International Organization of Vine and Wine (OIV) said in preliminary estimates for this year.

An expected 12 percent drop in French production, to 41.9 mhl, and steep declines in Chile (-21 percent to 10.1 mhl), Argentina (-35 percent to 8.8 mhl) and Brazil (-50 percent to 1.4 mhl) accounted for most of the projected global fall, OIV said.

South Africa was also expected to see a sharp decline in output, losing 19 percent to 9.1 mhl.

A hectoliter represents 100 liters, or the equivalent of just over 133 standard 75-centiliter wine bottles.

A plunge in French production has been widely anticipated after vineyards endured frost and hailstorms in spring and then drought during summer.

The smaller French output should allow Italy to maintain its position as the world’s largest wine producer with an expected 48.8 mhl, although this would be slightly below an estimated 50 mhl last year, the OIV said.


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