The problems facing Italian wine producers – high stock levels and falling exports to the US

Italian wine producers are facing a twofold problem: domestic stocks of their produce are rising, whilst exports to the United States are also falling, according to the country’s main winegrowers’ organisation.

The volume of wine stored in cellars exceeded 5.3 billion litres in May, which is 7.3 per cent more than during the same period last year and is equivalent to the entire annual harvest, the “Unione Italiana Vini” (UIV) warned during its annual congress in Rome.

With the new harvest already approaching, Italian grape growers are facing “difficulties in selling their produce”, according to the UIV, as demand is falling in both the domestic and international markets.

Meanwhile, exports to the US – the main market outside Europe – fell by 15.4 per cent in the first four months of this year due to tariffs imposed by US President Donald Trump, a weaker dollar and declining consumption in the US.

Due to an increase in domestic stocks, the price of wine fell by approximately 6 per cent during the first five months of this year.