(Bloomberg) -- Europe’s wine harvest declined for another year as adverse weather battered vineyards in top producers amid weakening demand.
Unpredictable weather, combined with water shortages following recent droughts, led to inconsistent harvests across the region, according to a report published by the Copa-Cogeca group representing European farmers. Wine output is expected to fall by nearly 3% in 2024, as increasing production in Italy and Spain failed to offset slumps in France, Germany and Portugal.
Europe’s wine industry has grappled with extreme climate events at a time when demand is also weakening, as new generations turn to other beverages. Dwindling wine consumption, along with higher production costs and lackluster economic conditions, are hurting wineries in the region and around the globe.
France fell to No.3 in the ranking of Europe’s top producers, after a 22% plunge in output this year, while Italy reclaimed its lead and Spain was second.
This year’s campaign “was challenging for French vineyards, with some areas experiencing drought and others excess water and disease,” said Ludovic Roux, president of the Occitanie wine growers cooperative. That led to “significant variations in yields, and some producers losing their entire crop.”
Last month, France secured European Union funding for the permanent removal of a slice of the country’s vineyards as farmers navigate a difficult market.
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