Research by top industry experts has revealed that we are facing a global shortage in wine. This has shocked wine industry experts around the world as the report this is detailed in signifies that the problem is that demands for wine far exceed the amount we are currently producing as wine becomes more popular than ever.
A report from the US’ Morgan Stanley Financial Services firm has stated that the world is facing a wine shortage and that demand is already outstripping the global supply, backing up this claim with evidence, saying that from data acquired, it can be shown that demand for wine “exceeded supply by 300m cases in 2012” and went on to say that this is “the deepest shortfall in over 40 years of records,” concluding that production also dropped to its lowest levels in more than four decades last year. This continues a trend that has seen global production of wine decrease at a steady pace since its peak almost a decade ago back in 2004. In 2004 wine production saw a peak when supply outweighed demand by around 600 million cases.
This shows that there has been a growing trend of wine popularity running alongside an industry trend of slowing down production of wine on a global scale. The report goes further into global wine production trends and reports that global wine consumption has been continually on the rise since 1996, with the exception of a dip in the 2008-2009 period, and roughly stands at about 3 billion cases of wine consumed globally per year. As a contrast, there are currently over a million wine producers all over the world making around 2.8 billion cases of wine per year. The report has gone on to state that are far as current vintages are concerned, “inventories will likely be reduced as current consumption continues to be predominantly supplied by previous vintages” however come the 2012 vintage season, it expects the current production shortfall to culminate in a significant increase in export demand, and higher prices for exports globally”.
At Ideal Wine Company, we’ve seen for a while that wine is growing more popular than it ever has been. In the modern world wine has become the drink of the everyman. One the one hand the upper classes love a good vintage, whilst mass consumption had precipitated the need for cheaper wines that means that the entire industry has diversified to accommodate this. This latest news means that we are more committed than ever to making sure we secure the top vintages you want to broaden your collection, as it’s quite clear that wine is becoming more popular than ever. Check out some of our classic bottles that come to you for reasonable prices, on our website.