The wine industry refers to the production, distribution, and sale of wines. This includes everything from growing grapes to bottling and selling the finished product.

Industry experts projected that the global wine will grow from a total of $340.23 billion in 2021 to $456.76 billion in 2028. They calculate the compound annual growth rate (CAGR) from 2021 to 2028 to be 4.3%.

In 2023, wine production decreased by 9.6%, while consumption declined by 2.6% compared to 2022, according to the International Organisation of Vine and Wine (OIV). Despite a decline in global wine production and consumption in 2023, the balance between the two remains. Notably, with production outpacing consumption by 5% to 10%, this surplus facilitates additional applications, such as distillation and vinegar production.

Some major challenges facing the wine industry include climate change, changing consumer preferences, competition from other alcoholic beverages, and regulatory hurdles. For example, climate change has led to unpredictable weather patterns that can significantly impact grape production and quality. Additionally, consumers are becoming more health-conscious and seeking lower-calorie options or alternatives to wine. This has increased competition from other alcoholic beverages, like hard seltzers and ready-to-drink cocktails.