Since a little over a month ago the 2021 harvest began in the Canary IslandsIn the first place, the rest of the territories of Spain have gradually been added. They are also starting, or very soon they will, in the rest of the territories of the northern hemisphere.
Less production but with higher quality in the 2021 harvest
Until now, the balance that has been made of the 2021 harvest in Spanish territory is of a lower production. It is calculated that the harvest in 2021 will be 15% on average less than 2020 but somewhat higher than the average production of recent years. Especially noteworthy are the significant decreases in the areas of Castilla-La Mancha, Extremadura and Aragón. All this leads to Spanish production will reach 39-40 Mhl in this current vintage. As for the harvest forecasts in Europe, to date, they are of a production a 20-25% lower last year.
Although production will be reduced as indicated by around 15% with specific decreases, depending on the area, of 25% the quality will be exceptional. If no change occurs, the quality in the vast majority of areas will be between very good and exceptional.
Low prices on grapes continue
Although the law of the food chain must guarantee purchase prices in line with production costs, this does not seem to happen in this 2021 vintage. It is true that prices will rise somewhat in many areas but the increase is less than the decrease in production. All of this continues to complicate the viability of many farms. Currently The prices for this campaign range from € 0,15 / Kg in Castilla and Extremadura to € 0,80 / Kg that can be paid in La Rioja. In areas such as Penedés, the classic varieties of Cava production are paid between € 0,30 and € 0,35 / Kg.
All of this has been accompanied by a decline in wine sales in the first half due to the closure of the hotel business. Although Spain is increasing sales of wine abroad, being the country that exports the most in the world, it does so based on price and wine in bulk. The majority lack of value and prestige in the product in foreign markets and a stagnant national sale once again affects the winegrower with low prices.
The great hope is that the decrease in production in Europe, the increase in sales in the United States and China will help the increase in prices and these will be transferred to the winegrower. Although it should be recognized that The great pending issue is to increase the sale value of Spanish wine, especially in the international market.
