California Farmers Are Struggling to Sell Grapes as Demand for Wine Drops
3 hours ago
- Wine sales in California have dropped over 20% in five years, causing grape prices to plummet.
- Farmers have removed or abandoned about 25% of the state's vineyard acreage from its pandemic-era peak of 600,000 acres.
- Many growers are harvesting at a loss or leaving grapes unsold due to lack of contracts, with half of this year's crop uncontracted.
- Declining demand is driven by aging baby boomers, younger generations drinking less, and competition from beer, seltzers, and cannabis.
- Tariffs have reduced exports, particularly to Canada, exacerbating the oversupply issue.
- The industry awaits a market bottom, while growers like Bill Berryhill continue to lose money but remain committed.