The global grape market is experiencing shifts due to a series of unexpected weather events in key growing regions.
These events have led to notable losses in some areas, impacting the overall supply and market, according to a market update from Vanguard International, Issaquah, Wash.
“California, a major grape-producing region, is potentially facing a staggering 50% loss in total crop yield,” Vanguard said in the update. “This significant reduction is attributed to a combination of factors, including unseasonably hot weather, wildfires, and conditions experienced from Tropical Storm Hillary.”
The resulting 40% to 50% loss in California’s grape production was felt throughout the global market, the release said.
While Chile has had some rain, the moisture is projected to have minimal impact on the crop, according to the release.
South Africa’s grape market is currently in a favorable position, according to the Vanguard update, with a good crop yield expected.
“Fortunately, it is anticipated that the hex rains will not significantly impact the region’s production,” the update said. “This stability in supply from South Africa provides a welcome contrast to the challenges faced by other key producing regions.”
In northern Peru, growers encountered a substantial setback with a 20% to 25% loss in crop yield, according to the market update.
“Adverse weather conditions early in the season, including excessive rains and floods, created unfavorable conditions for grape production,” the update said. “This has led to a drop in volume and issues with mildew, affecting the quality of sweet globes. The result is a significant loss of over 9 million cartons, putting a strain on the global grape supply chain.”
The increasing frequency of El Niño and La Niña events is undoubtedly affecting grape production globally, according to the update.
“These climate phenomena introduce unpredictability into the growing conditions, making it challenging for growers and customers to anticipate yields accurately and resulting in a demand massively exceeding supply,” the update said.
