Spain’s wine industry has posted a 9.6% increase in production during the first eight months of the 2024/2025 campaign, reaching a total output of 31.1 million hectoliters.
This notable growth is detailed in the latest Monthly Wine Evolution Report published by the Spanish Interprofessional Wine Organization (OIVE), using data from the State Tax Administration Agency (AEAT) and Infovi (Wine Market Information System). The report covers the period up to March 2025 and paints a picture of a sector that is stabilizing, with shifts in how wine is used across markets.
Stronger Production Amid Stable Conditions
Despite a relatively low harvest season, the rise in production compared to the previous year signals an upward trend for Spanish vintners. This boost—though moderate—is significant enough to reflect improved vineyard yields and perhaps better climatic or technical conditions in winemaking.
At the same time, total stocks of wine and must amounted to 43.3 million hectoliters, nearly identical to the previous year's stockpile, with only a marginal decrease of 18,646 hectoliters. This near-equilibrium between production and stock levels suggests that wineries and cellars are well-positioned to meet current market demands without excessive surplus.
Domestic Market Remains Steady
Domestic wine consumption continues to hold steady. Through March 2025, Spanish consumers drank an estimated 9.74 million hectoliters, a slight 0.1% year-on-year increase. This marginal growth, while modest, supports the narrative of a mature, consistent domestic market that remains central to the sector’s health.
Shifts in Industrial Use
The OIVE report also sheds light on the industrial uses of wine, an area showing some rebalancing. During the same eight-month period:
- Wine for distillation fell by 12.9% to 787,790 hectoliters
- Wine for vinegar production rose by 20%, reaching 230,931 hectoliters
- Total wine used for industrial purposes dropped by 7% to 1,018,721 hectoliters
This pivot away from distillation could reflect either policy changes, economic shifts, or evolving demand in related industries such as bioethanol or perfume. Meanwhile, the growth in vinegar production might be linked to increased domestic and export demand for gourmet and artisanal food products.
Insights for Stakeholders
These trends offer valuable insights for producers, distributors, and policymakers. The relative stability of wine stocks and domestic consumption suggests that the Spanish wine market is well-aligned between supply and demand. Moreover, the data on industrial uses reveals how secondary sectors such as food processing and alcohol production are adjusting their wine intake in response to market forces.
OIVE's regular reporting is critical for anticipating production shifts, guiding marketing strategies, and supporting decision-making across the wine value chain. As Spain navigates a dynamic global wine market, these analytics ensure that it remains competitive while preserving its cultural and economic heritage rooted in viticulture.
Conclusion
Spain’s wine sector enters mid-2025 with cautious optimism. Production is on the rise, consumption is steady, and the balance between stock and demand is holding. While shifts in industrial usage may warrant attention, overall the numbers point to a resilient and adaptable industry, staying true to its traditions while responding to new economic realities.
Source: Vinetur