Despite this, production remains below the average levels of the last five years. In Italy, the quality of the grapes will be influenced by different climatic conditions: the dry climate in the South favors the absence of diseases as in Sicily, while the North is more vulnerable to fungal infections.
Growth of Dealcoholized Wines, but Italy remains behind The global market for dealcoholized and low-alcohol wines is booming, with a 16% growth in the main foreign markets (USA, UK, Germany). The United States, which represents 50% of demand, is marking a 35% increase. France and Spain are riding this trend, while Italy remains behind, even though the Ministry of Agriculture has announced supply chain tables to discuss the future of low-alcohol wines.
Record Agri-food Exports Italian agri-food exports, driven by wine, reach 34 billion euros, with the prospect of reaching 70 billion by the end of 2024. The United States (17%) and Japan (50%) are recording strong growth, while key markets include Germany, France and the United Kingdom. Bottled wines (2%) and sparkling wines (7%) continue to dominate exports. Sectors such as cereal derivatives (8%) and olive oil (64%) are also recording significant growth.
Challenges for the Crisis of the European Wine Sector Italy must face the European wine crisis, with the debate on the adoption of uprooting to reduce overproduction. The Italian Wine Union (UIV) opposes the removal of vineyards, proposing alternatives such as reducing yields per hectare. The idea of lowering the minimum alcohol content to align with new consumption trends, especially among young and health-conscious consumers, is also gaining ground.
Concerns for the US Wine Market Wine sales in the United States are expected to decline by 6% in 2024, with an 8% reduction in wine inventories. This slowdown, linked to changes in consumption habits and a less enthusiastic market, could negatively affect Italian exports.
New Consumption Habits in Large-Scale Retail Distribution Despite the drop in volumes (-1.4%), wine in Italian large-scale retail distribution generated over 3 billion euros in turnover. Sparkling wines recorded a growth in value of 2.9%, while the consumption of wine in cocktails increased, especially among young people. The NoLo (no or low alcohol) segment is also growing, representing an opportunity for the market, especially among consumers aged between 25 and 44.
The decisions made in the coming weeks will have a profound impact on the future of Italian wine and its ability to remain competitive globally.
