Wine bottles with a red-white-red capsule © Austrian Wine  Carletto Photography

Austria's Wine Exports Face a Setback in 2024 Amid Global Market Challenges

As 2024 drew to a close, it became evident that Austria’s wine exports would experience a downturn for the first time in nearly a decade.

The total export value fell by 6% to EUR 233.3 million, while export volume declined by 1.7% to 64.2 million liters. However, despite this temporary setback, the long-term trend remains positive. Since the last decline in 2015, Austrian wine exports have surged by nearly EUR 90 million (+62.7%).

Market Fluctuations and Challenges

Chris Yorke, Managing Director of Austria Wine Marketing GmbH (ÖWM), highlighted the exceptional performance in 2023, when exports reached EUR 248 million, largely driven by record-high bottled wine sales to Germany. However, in 2024, a higher volume of lower-priced bulk wine shipments to Germany led to a decline in overall export value.

Bottled wine exports faced a notable setback, decreasing by 5.1% in volume and 6.3% in value. Red wines suffered the most, with a 12.5% drop in volume and a 14.4% decline in value. Meanwhile, bulk wine exports increased by 16.1%, but at lower prices, resulting in a 1.4% overall decline in export value. Germany, Austria’s primary export market, saw its import value drop by 13.6% to EUR 98.8 million, although still above 2022 levels (EUR 94.5 million). Export volume to Germany fell by 4.4% in 2024. Despite these setbacks, Germany remains the dominant buyer of Austrian wine, accounting for 60% of the total volume exported and 42.3% of the total export value.

Switzerland, previously Austria’s second-largest export market, significantly reduced its imports in 2024, particularly in the red wine segment. Austrian wine exports to Switzerland plummeted by 33.1% in volume and 18.2% in value.

Growth in the USA and Other Markets

While European markets struggled, the United States emerged as Austria’s second most significant export destination, claiming an 8.5% share of total export value. Following a decline in 2023, U.S. demand rebounded in 2024, with exports rising by 6.5% in volume and 6.2% in value. Despite this encouraging development, uncertainty remains about future trade policies under the Trump administration, which could impact European wine imports.

Other markets also demonstrated resilience. Canada recorded a 15.1% increase in export volume and a 12.1% rise in value, while the Nordic monopoly markets of Norway, Sweden, and Finland experienced continued steady growth of 1.9%. The Czech Republic stood out with an impressive 80.1% surge in export volume and a 58.1% increase in value.

Future Outlook: Navigating Uncertain Terrain

Looking ahead, Austria’s winemakers face significant challenges, including rising production costs, shifting consumer behavior, and economic uncertainty. Additionally, the smallest grape harvest in 14 years does not bode well for 2025’s export performance. Reflecting on the situation, Yorke remarked: “The last export decline was in 2015, following a poor harvest in 2014. Yet, history shows that Austrian wine has consistently rebounded. Since then, exports have grown by EUR 90 million—over 60%.”

The Austrian Wine Marketing Board (AWMB) aims to counteract these challenges with targeted strategies to maximize impact in key markets. While a quick recovery in export figures may not be imminent, Austria’s strong track record in the global wine industry suggests a promising long-term outlook.

Source: Der-Winzer

Back to blog

Leave a comment

Please note, comments need to be approved before they are published.