Three facts about the global organic wine market

While still wine consumption is set to stay fairly flat for the next few years, organic styles are rapidly entering the mainstream.

Senior woman holding a cluster of grapes

IWSR Drinks Market Analysis released a report last year on the state of the global organic wine market.

The report shows that, despite overall wine consumption is predicted to stay fairly flat over the next three years, organic style are bucking the trend in every key market.

Around the world, drinkers are predicted to get through 87.5 million cases of organic wine annually by 2022.

“Overall, total still wine volume is increasing slightly but remains largely flat, while the organic market is forecasted to reach 87.5m cases” said Mark Meek, IWSR’s CEO.

In addition the report, which also includes findings presented at the Millesime Sudvinbio fair earlier this year, found that people are still willing to spend more on sustainable drinks, and the total organic area under vine has increased by 234% since 2007 and in 2017 surpassed 400,000 hectares.

We’ve pulled out five key facts we think are important for industry insiders to know.

Europe dominates

The vast majority of organic wine is consumed in Europe.

The European Union defines wine as ‘organic’ if it is produced from organic grapes or from oenological techniques and substances authorised for organic wine. Wineries receive regular inspections from agricultural authorities for roughly three years before they can gain certification.

But in the US, the United States Department of Agriculture rules that both the growing of the grapes and their conversion to wine must be certified before a bottle can be labelled as organic.

Meek said that, currently, organic wine consumption is “being driven by Europe, which will account for 78% of the global organic wine market by 2022.”

People are happy to pay more

The report found, perhaps unsurprisingly, that consumers in the UK are paying an average 38% more for a bottle of organic versus non-organic wine, and are buying considerably more red wine than white/rosé (60% versus 40% respectfully).

Consumers can vary depending on location

Producers who wish to sell organic wine overseas may need to think carefully about who they target, and where.

The report found that, while people who buy organic tend to have higher incomes, the audience for organic wine is different depending on where they are based.

In the US, for example, buyers tend to “skew female, Millennial, and higher income”, pursue healthy lifestyles and “have a preference for natural food and beverage products.” In the UK the same is true, but there is a greater focus on buyers in “metropolitan” areas.”

However in Germany, while the target consumer still tends to be female and with a relatively high income, they also tended to be over 50.

and in France, where organic styles make up some 4% of the country’s total wine consumption, “Though Paris is the key driver of the country’s organic wine market, the trend is beginning to spread into other large metropoles and the French countryside.”

The Organic Masters 2018 – Results in Full