Global Wine Shortage? Production Expected To Hit '50-Year Low'

A wine shortage is slated to have a global impact due to weather, according to reports. The decreased production hit a 50-year historical low, and Europe is expected to be among those countries hit the hardest by the shortage. Production issues hit the world's top wine producers: Italy, France and Spain.

The International Organization of Vine and Wine (OIV) presented data of world wine production during a press conference Tuesday.

"World wine production, excluding juice and musts, is likely to reach 246.7 mhl — an 8% drop compared with 2016 and one of the lowest levels for several decades," an OIV press release read Tuesday. "This drop is consecutive to climate hazards, which affected the main producing countries, particularly in Europe."

OIV added, "Extreme weather events— from frost to drought — significantly impacted 2017 wine production, which was historically low."

Italy remains the world's leading producer of wine for the third year in a row, despite reporting a decrease due to poor weather that damaged production at vineyards. France and Spain followed shortly behind, each forecasting a historical production low. Germany and Greece were the only other European countries to see a decrease in production. Austria, Portugal, Hungary and Romania reported a rise from 2016.

The United States detailed an increase in wine production for the second year in a row.

"The United States, with 23.3 mhl vinified (-1%/2016), saw a high level of production for the second year running," the OIV wrote in a press release. "One doubt remains: the estimated wine production is based on USDA forecasts for grape production, relating especially to wine grapes, from August 2017 and does not therefore take into account the potential consequences of the recent fires in California."

Production in Argentina and Australia helped to round out the curve, as both countries reported a rise in produced wine. Australia saw a six percent spike, whereas Argentina made a production comeback after a poor harvest season in 2016. The country saw a 25 percent increase in produced wine.

OIV has not made data available on world wine consumption at this time. Global wine consumption, however, is estimated by the organization to be within the 240.5 to 245.8 mhl range.

The U.S. first earned the title of the of the top wine consumption market in 2013, which was an honor long-helmed by France.

"In countries such as France, Italy and Spain, people used to drink a lot of wine, but consumption habits are changing," OIV director general Jean-Marie Aurand ‎said at a press conference in 2014, according to Reuters. "We drink less wine by volume, more quality wine. And there is also competition from other drinks such as beer."

Aurand added: "In the U.S., it is different and they are starting from a lower level per capita, so they have a tendency to consume more and more, notably quality wine."

A representative from the International Organization of Vine and Wine did not immediately return International Business Times' request for comment.