As a result of a very poor grape harvest in 2012, the world's stock of wine is likely to be lower for 2013 and beyond. The shortage of bottles of wine is also likely to lead to higher prices.
The news about fewer and more expensive bottles of wines comes from the International Organization for Vine and Wine (OIV). The trade organization has stated, in its report on the 2012 global economic vitiviniculture situation, that the production of wine worldwide will decline to the lowest level since 1975, which is when formal reporting started.
The global production of wine is likely to decline from around 7 billion U.S. gallons to 6.6 billion U.S. gallons. This is due to different climatic effects, with some areas experiencing hot, dry summers (such as Spain) and others a high level of rain.
The BBC reports that the hardest hit regions are Argentina, which will see an almost 25% decrease in wine production, followed by Italy and France. Whilst the Argentinian market is relatively small, France and Italy are the world's major wine producers.
According to The Daily Telegraph, France’s harvest was affected by winter drought followed by a summer a heat wave; whereas with Italy, the crop has declined due to different forms of weather damage. Other affected countries are Spain, Hungary and New Zealand.
One region has, however, bucked the trend: the U.S., where production is forecast to be up by 7%, according to Metro.
The decline in bottle numbers and the corresponding increase in prices comes as the global demand for wine increases. For 2013, demand is likely to be way above production and availability.