The Economic Impact of Wine in the USA and World
Consumers, Producers, Exporters, Importers. Which is the Largest?
As noted in the recent Wine Wanderings newsletter, “Live from the Symposium for Professional Wine Writers,” I was struck by one of the presentations, “Finding the Story in the Data.” If you are like me, I think the world has too much data, and not enough real information. I want to boil down for my subscribers a bit of information on the economic impact of wine. As the weather cools, I am presenting some fine wine choices for this Fall—national, state, and international wine suggestions.
The Economic Impact of Wine in California and the USA
From the chart above, the sheer impact of the California wine industry and wine jobs can be seen. The California Wine Institute estimates that the wine industry alone employs 325,000 Californians and generates $114 Billion in annual economic activity. This industry attracts 23.6 million tourist visits to California wineries each year. It’s also big business in the Top 10 wineries (see state chart.) The opportunity to visit wineries in these states is one of the greatest benefits of writing about and studying wine. Tourism dollars make a huge difference to each state, with tourism in the Texas wine industry ranked #2 in the USA. Plot your next visit to these beautiful wine regions soon. Harvest time is upon us.
Who are the Largest Producers, Most Vineyard Areas, and Consumers of Wine?
Some of these international wine charts might confound you. When you realize that Spain has the highest percentage of vineyard areas, remember that they produce LOTS of brandy as well as still wine. With that in mind, I still think you’ll see some surprising figures. The USA became the largest consumer of wine in the last few years. When you stop to think that perhaps 39% of the US does not drink any alcohol, this number could still grow. All the wine exporting countries are targeting the US. Italy remains the largest wine producer at 19.3 %% of the world’s production with France, Spain, and the US next in line. In 2019 Italian wine tourism generated 2.7 billion Euros for the country. Count me in for a few Euros, as I plan to return to Italy next year .
The Economic Value of Wine Exports Worldwide
According to the OIV – the International Organization of Vine and Wine –
“In 2021, once again, the international trade of wine is dominated by the three EU countries – Spain, Italy and France that together exported 59.9 mhl - million hectoliters of wine (1.5 billion gallons,) accounting for 54% of the world wine exports. The share in volume of these three countries together has seen a significant boom of 5.4 mhl with respect to 2020. France, Italy, and Spain are the main exporters in terms of value too, in 2021, with 11.1 bn EUR, 7.1 bn EUR and 2.9 bn EUR respectively.”
Below are a few other region’s statistics regarding exports from OIV.
In North America, the United States of America has exported 3.3 mhl (87.1 million gallons) in volume, a decrease of 8.9% compared to 2020, while export value (1.2 bn EUR/$1.1 billion) has increased by 6.8%. Bottled wine, which represents the largest share in terms of value (82%), has increased by 22% in volume and 21% in value. Canada has recorded the highest positive variation among major exporters, in both volume and value.
In Australia, owing to the rise in Chinese tariffs that took place in 2021, wine trade has taken quite a hit in volume (6.3 mhl, -17% / 2020) and in value (1.3 bn EUR, a loss of 24% with respect to 2020). New Zealand registers relatively minor variations in both volume (2.8 mhl, -0.6% / 2020) and value (1.2 bn EUR, +1.7% / 2020), and records a decline in exports in all categories in volume
Who are the Largest Importers of Wine?
The largest importer by volume in 2021 is Germany with 14.5 mhl (383 million gallons), in line with its imports in 2020. It ranks third in terms of value with 2021 wine imports worth 2.8 bn EUR (+6%/ 2020).
The second largest importer, USA, has increased in wine imports in both volume and value in 2021. With an increase of 13% in volume, USA wine imports amounts to 13.9 mhl in volume and with an increase of 21%; it continues to secure its first position among largest importers in value at 6.2 bn EUR.
Plan your trip to the wine regions of the world soon. You’ll enjoy seeing the harvest (watch out for the grape trucks on the highways) and smelling the aromas of the newly fermenting wines of the world.
More Wine Wanderings Wine Region Travel Stories
Spain’s Priorat Wine Region at the Foot of ‘God’s Ladder’”
Live from Bordeaux, France, June 2022
Willamette Valley, Oregon. It’s Not Just About Pinot Noir
Live from Texas Wine Country, Ranked #2 in Wine Tourism
Live with Jean Charles Boisset in Napa Valley
Top Wine & Food Pairing at Sea
Arbor Crest Wine Cellars at the Cliff House, Washington State
Fall Wine Recommendations
2019 Domaine Drouhin – Oregon Pinot Noir, $44
Wine Spectator, 92 Points
2018 Antinori Badi a Passignano Chianti Classico Gran Selezione, Tuscany, Italy, $50
Wine & Spirits, 92 Points
2021 Duckhorn Sauvignon Blanc, North Coast, California, $28
Wilfred Wong of Wine.com, 92 Points
2019 Barboursville Reserve Viognier, Virginia, $22
Robert Parker, 90 Points
2016 Chateau Maurac Cru Bourgeois, Bordeaux, France, Red Blend, $32
Wine Enthusiast, 92 Points
Billecart-Salmon Brut Rosé, Champagne, France, NV, $95
My favorite sparkling rosé Champagne.
Wine Enthusiast, 92 Points
Wine Wandering Editorial Calendar
Fall Wine and Cheese Pairing- Hosting a Tasting in Your Home
Oregon Pinot Noir from Willamette Valley for Thanksgiving
Discover Bordeaux: The City of Lumières
North Texas Premier Wine Destinations
Meet Eden Hill, Lone Star, and Blue Ostrich
1881 Museum Napa Valley: A Transformation of the Oakville Grocery
The Restaurants of Calistoga, Napa Valley
America’s Exceptional Wine Country Adventures: States to Consider
Climate Change and Wine
Poll Last Week- Willamette Valley is Tops!
Glad to see these results as I have planned an article on Pinot Noir wines from Willamette Valley. TC