French Vineyards Face Unprecedented Crisis
France's esteemed winemaking industry is fighting for its very existence, with producers warning that up to a fifth of the country's independent vineyards face imminent closure without urgent government intervention. The sector, long considered one of the three pillars of the French economy alongside aeronautics and luxury goods, finds itself battered by an unprecedented series of setbacks that have pushed many established producers to the brink.
A Perfect Storm of Challenges
Jean-Marie Fabre, president of France's independent winemakers' syndicate, delivered a stark assessment ahead of critical crisis talks with Agriculture Minister Annie Genevard. "They are putting their final efforts into this battle for survival. The situation is dramatic and the government has to do something," Fabre declared, representing 17,000 members across the nation.
The crisis has been building over five years through multiple external shocks that have systematically weakened the industry. These include:
- 15% tariffs imposed by the Trump administration on wine and spirits imports
- The devastating impact of the COVID-19 pandemic on global markets
- Catastrophic harvests decimated by heatwaves, hail and drought
- Russia's war in Ukraine increasing production costs by a third
- A dramatic slump in sales both domestically and internationally
Damien Onorre, president of the Aude winegrowers' union, provided a sobering personal account: "For three years, we have suffered droughts and heatwaves of over 40C. I have lost 50% of my production over this period." The Aude region has seen its wine production almost halve to just 2 million hectolitres over the last three years.
International Markets Collapse
The export picture appears equally bleak. Bordeaux's grand cru wine exports to China have fallen to their lowest in a decade, with shipments halving since 2017 according to the Bordeaux wine council. In a further blow, China imposed a 32.2% customs tax on many wine-based spirit imports from the EU in July, with only three major French companies exempted.
This year's production is predicted to reach just 3.6 billion litres, matching 2024's disastrous output. The situation has become so dire that several thousand winegrowers protested in Béziers last weekend, demanding immediate government action.
Demands for Survival
The industry's demands centre on compensation for ripping up vines and converting unsold wine into biofuel. Under an existing scheme, 27,000 hectares of vines have already been uprooted with compensation of €4,000 per hectare. Fabre warns another 35,000 hectares could follow, with Bordeaux alone seeing 12,000 hectares destroyed.
Winegrowers are also calling on the European crisis reserve, which Portugal successfully accessed last year to fund a distillation programme. Their appeal, however, has thus far gone unanswered.
A survey by FranceAgriMer reveals the human cost: 20% of French winegrowers are considering shutting their businesses, potentially leading to 100,000 job losses in an industry that directly or indirectly employs more than 440,000 people and generates an estimated €92 billion in annual turnover.
Fabre, a fourth-generation winemaker producing 80,000 bottles annually at his Domaine de la Rochelierre in Fitou, summarised the desperation: "This is the last chance. People are in a fighting mood but getting to the end of their tether. They either get support or they will have to shut."
The crisis talks at the agriculture ministry come as the industry prepares for the International Exhibition of Equipment and Expertise for Wine Production in Montpellier, casting a shadow over what should be a celebration of French winemaking excellence.