The rising cost of drowning your sorrows

By Éilis Cronin in Industry News 7th October 2021

Wine prices are likely to rise because of a combination of falling yields, labour shortages and rising shipping costs, according to a wine lovers organisation.

Wine Drinkers UK (WDUK), is a body made up of wine makers, sellers and drinkers, which traditionally campaigns for lower tax on wine.

The organisation describes the combination of global pressures on wine as a “global storm”.

Wine writer, broadcaster and WDUK supporter, Helena Nicklin said: “Around 99% of the wine we consume in the UK is imported so the UK’s wine drinkers are going to feel the impact of this perfect storm hitting the sector.

“Currently more than 50% of the price of a shop-bought bottle of wine goes straight into the Treasury’s pocket.

“It is time we see a show of support in the upcoming Budget for this industry that generates £11 billion annually for the UK economy in sales alone.”

Among the factors affecting wine supply this year are:

The Champagne harvest is down 60%
In New Zealand, regions throughout the middle of the country – including Wairarapa, Marlborough, Nelson, and North Canterbury – yields are down over 20% on 2020
Frosts and poor weather in France is expected to result in a 29% drop in the production of French wine
Harvest yield in Italy is to fall by 9%, with extreme summer drought and wildfires taking their toll on Italian wine producers
California crushed 3.404 million tons of grapes in 2020, down 13% year-on-year due to multiple factors including the devastating wildfiresDavid Gates, CEO of Direct Wines, said: “Reliable weather is of course fundamental to winemaking, and we’re very concerned by what we’ve been hearing from our network of 427, mostly family, wineries around the world. Following the struggles of Covid-19, a string of very challenging harvests across multiple regions is proving incredibly tough for many.”

David Gates, chief executive of Direct Wines, said: “Reliable weather is of course fundamental to winemaking, and we’re very concerned by what we’ve been hearing from our network of 427, mostly family, wineries around the world.

“Following the struggles of Covid-19, a string of very challenging harvests across multiple regions is proving incredibly tough for many.”