The global wine market is projected to grow at a CAGR of 4.28% during the forecast period 2021- 2026.
Product premiumization is one of the prime factors expected to fuel the growth of the global market for fortified wine in the upcoming years. Leading market players are concentrating on the development of new flavored fortified wines, to cater continuously to the changing consumer preferences. Marijuana-infused wines are gaining high popularity, specifically in markets, like the United States. It is possibly the most significant trend influencing the alcoholic drinks market, globally. Mostly, markets across the world witnessed consumers trading-up to higher-value products, primarily across a wide range of categories. This trend is prominent in the developed markets, like the United States. Consumers are keen to explore unique and interesting alcoholic beverages.
Asia-Pacific is leading in the demand for wine, with China dominating the market in the region. Notably, the consumption of red wine is more of a tradition in China, as the colour red is considered lucky in the country. Owing to this factor, China is one of the leading markets for red wine consumption, giving tough competition to France and Italy. Australia is second in the consumption of wine in Asia-Pacific, followed by Japan. Also, India is the fastest-growing country in terms of wine consumption and registered a growth rate of approximately 7% along with the Philippines, South Korea, and Vietnam are the other potential wine consuming markets in Asia-Pacific. Hong Kong has no import tax for wine, which is a driving factor for the market.
In August 2020, Californian winery Limerick Lane Cellars has launched a new wine brand in the United States, packaged in aluminum bottles.
As per Mordor Intelligence analysis, COVID-19 made a major impact on the wine industry due to the forced closure of on-trade wineries in various countries such as the United States, United Kingdom, India, and others in order to control the impact of the pandemic. However, the current environment may provide an opportunity for the wine industry to recapture lost consumer attention. As per the analysis, the total wine volumes are up year-over-year as more people purchase wine to enjoy with meals at home majorly in European and North American countries. On the other hand, there is uncertainty if the current boost in the off-trade will continue after pantry loading depletes, the on-trade slowly reopens and consumption behavior returns to pre-Covid-19 levels.
–Article information obtained from Mordor Intelligence