Looming Wine Shortage Can Increase Prices Locally

Published 10/30 2013 06:35PM

Updated 10/30 2013 06:53PM

Customers may expect to pay more with their wine.

That is if the wine shortage were to occur. According to a report from Morgan Stanley Research Monday, there was a global undersupply of about 300 million cases of wine last year. That's been the lowest deficit recorded in almost 50 years.

Reasons include the lack of wine production from countries such as Italy, Spain, and France. These wine-countries have slowed down production due to factors such as weather, diseases to grapes, and cutting down on surplus when it was high.

In return, countries such as U.S. and China have consumed more wine. The U.S. alone guzzled 12% of the world's wine.

Business owners in Abilene sees the increase of wine sales and say its partially due to young adults. According to some owners, the younger generations have accepted the benefits of wine.

In a world of supply and demand, do expect prices to go up.

According to HSU associate professor Dr. Thomas Wier, prices will steadily go up within the next five years. The wine consumed now was made several years ago, so whatever is produced now will cost more in years to come.

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