Sales of Rioja Alavesa wines down 4.4% year-on-year amid global decline

The sale of wine Rioja Alavesa they have decrease of 4.4% at an interannual pace during the first five months of 2024 in a context of decline in the world market for this product, which in the Alava region plans to end this campaign with a production of 254 million liters, 123 less than in 2023.

This data was provided this Sunday by the Minister of Food, Rural Development, Agriculture and Fisheries, Amaia Barredo, who participated in the XXIX Harvest Festival of Rioja Alavesa, in Moredatoast the first must together with vice-councillor Raúl Pérez Iratxeta, the deputy general of Araba, Ramiro González, the president of the Rioja Alavesa Cuadrilla, José María Elvira, the mayor Mara García, the town criers Iñigo Etxezarreta and Rubén Campinun from the ETS group, the president of the Supervisory Board of the Rioja Qualified Designation of Origin Fernando Ezquerro, Rosa García (Rioja Alaves Wine Route), Itxaso Compañón (ABRA), the president of the General Assemblies, Irma Basterra and other agricultural and wine production representatives of the region.

The advisor explained that wine-producing regions around the world are facing a “complicated global situation” motivated by things like inflation, the political tensions, and the transport and supply crisis.

Profitability ratios

Based on data from March 2024, he recalled that world wine trade fell by 5.4% in volume and 6.4% in value.

This situation also applies to Rioja Alavesa wine, which falls under the Rioja DOC, which estimates that this year’s harvest has a production potential of 254 million litres of wine, compared to 377 in 2023.

Sales are trending downwards in 2024, with positive peaks in April, but overall they are down 2.18% in the first five months of 2024 and 4.4% in the interannual rate.

For this reason, counsel argued that measures should be maintained that would allow this situation to be reversed “in order to achieve the necessary profitability ratios.”

United Kingdom and Japan

As for the markets, United Kingdom grew by 18.3% in volume and is consolidated as the first for Rioja Alavesa wine, with 2.43 million liters, almost 1 million more than USThe large increase in the volume exported to the UK has taken place at an average price of €13.7 per litre.

Swiss It remains the third market, despite a decline of around 20% with a stable average price (8.40 euros per litre). Germany, fourth market, also loses market share, at a price that is 3.5% higher, to 7.94 euros per litre.

Canada The price also rose by 3.5% (7.97 euros per litre), although in this case sales grew strongly in both value (+18.6%) and volume (+14.6%).

On the other hand, the Basque Country increased its exports at an exceptional pace Japan, which is still far from the top positions, but which is gaining relevance as sales shot up by around 80%, registering the highest percentage growth among those analysed, with an average price 1.2% higher, reaching 7.26 euros per litre.

New initiatives

Barredo is aware of the difficulties the sector is going through, “especially small wineries and cooperatives” and has said that while waiting for the roadmap that the sector is designing and presenting to the government at the end of this year, the Basque government is working and developing new instruments for “punctual support”. to overcome these difficulties.

Among them, he mentioned the development of commercial measures in interesting markets and the activation of other financial support for the sector.

“We must all succeed in establishing our wines on the Basque market, so that ordering ‘a wine from Rioja Alavesa’ in our hospitality industry changes from an anecdote to a given,” he defended.

Barredo has stressed that the wine sector in Rioja Alavesa has “strengths and opportunities” and has emphasised that it is a region “overflowing with young talent with new generations that bring genius and daring” which he has supported since the department was founded.