World Comparisons

Data from the Organisation Internationale de la Vigne et du Vin (OIV) in its Situation of the World Viticultural Sector 2006, indicate that worldwide the area under vines in 2006 decreased 0.1% to 7,812,000 hectares (Table 33). This total is considerably lower than the period between 1976-80 when the figure was 10,213,000 hectares. The total size of European vineyards fell by 0.8% from 2005. In Asia, the growth of Chinese vineyards grew after posting a reduction in 2005, but the pace of growth slowed from that recorded between 1998 and 2003-04. Oceania recorded growth of 2.0% to reach 196 thousand hectares in 2006. Growth was particularly significant in New Zealand (7.5%) after having been concentrated in Australia previously. Spain, France and Italy account for 37.2% of total world vineyard area.

Grape production increased 0.1% to 66,765 million tonnes in 2005 (Table 34). The top five countries (Italy, Spain, France, China and the United States) accounted for 50.2% of this production. Australia ranked 10th in 2006 with 3% of world grape production. Big movers in growth in terms of world production in 2006 versus 2005 were China (up 8.2%), France and Italy (both up 5.5%). Grape production in Asia increased by 4.2% and 674 million tonnes backed by large gains in China and Turkey. Production in the United States dropped by 18.8% although this is largely due to well above normal production in 2005 and the 2006 figure is represents an increase from 2004. European grape production increased by 1.4% after a low crop in 2005. Floods impacted parts of Europe in 2005, particularly affecting Romania, which dropped production of grapes by half the 2004 level.

Australia maintained its position as 6th-largest wine producer in the world in 2005 (Table 35). World wine production increased 1.0% to 28,278 ML in 2006. The top three countries Italy, France and Spain accounted for 50% of this production. France has retained the top position since 1999 although Italy has closed the gap buoyed by a 2.9% increase in 2006. The Americas suffered a 6.8% decline in production as the US returned to more normal production values. Europe recorded a 2.8% increase but remains lower than the strong production in 2004.

The world wine market continues to show healthy growth as wine exports increased by 6.3% in 2005 which is a 16% increase on the 2001-2005 average (Table 36). The world market represents 34.6% of the world consumption in 2006 compared to just 18.2% on average between 1986-1990. Italy remained the number one exporter and increased its lead even more with a 17.0% surge in 2006. Australia maintained a strong fourth place as exports increased by 8.3%. New Zealand, from a lower base, grew its exports by 12.5% to 57.8 ML in 2005. The top four countries comprised 65.7% of the world's exports with the top two countries claiming 39.5%.

Worldwide wine consumption increased by 2.1% to 24,242 ML in 2006 (Table 37) despite drops in consumption in France, Italy and the United Kingdom. Europeans consumed 67.2% or the world consumption in 2006 but this position is eroding as it was 73.8% at the end of the 1980s. Romania consumption returned to normal levels after very poor production in 2005. China continues to be a driving force as its consumption grew by 5.0% in 2006 helping Asia to become the fasting growing wine consuming region with an overall 4.0% increase.

France's population has the world's highest per capita wine consumption, drinking 53.8 litres per year (down 4.9% from 2003) (Table 38). The OIV previously rated Luxembourg as one of the highest per capita wine drinking countries but now believes that much of the wine purchased there is by visitors to the country. Per capita consumption has dropped in the traditional wine producer and consumer countries such as France, Italy, Portugal, and Spain. Australians drank 22.3 litres of wine per capita in 2006, up 5.7% from 2003 while New Zealanders consumed 20.3 litres per capita, up 5.2%. High levels of individual consumption are logically found in those countries that are traditional producers of wine.