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Prospects of a light crop strengthen prices for California’s 2016 wine grapes

China Agriculture Report By CnAgriChina Agriculture Report Print

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This will require wineries to adjust their processing to deal with higher alcohol content and changes in the acids and pH ratios resulting from over-ripe grapes, he notes.

Bitter predicts a quick end to this year’s harvest. “It’s coming on fast and furious,” he says. “I don’t see it dragging out.”

Expectations of a light crop this year have stabilized spot market prices of some wine grape varieties and lifted prices of others, depending on the region. “Even the market for Chardonnay, which was weak a year ago due to surplus grapes, has strengthened considerably this year,” he says.

North Coast spot market prices have increased significantly, Bitter reports. “Not a lot of North Coast grapes are available this year,” he says. “There are multiple bidders, especially for Cabernet Sauvignon and Pinot Noir. Supplies of certain white varieties, like Pinot Grigio and Sauvignon Blanc, are also short. If you want to buy in this area, you’ll have to get in line.”

In the Central Coast, he expects availability of Paso Robles Cabernet Sauvignon, which was extremely short last year, to remain limited this year. Also, the Pinot Noir crop here appears to be light, Bitter notes.

Overall, a light 2016 California wine grape crop could pay off for both growers and wineries, Bitter notes.

“It would help correct the over-supply of wine at the lower end of the market and should encourage buyers in the upper end to look at alternative areas where supplies are currently high,” he says. “That would help balance the industry and achieve our quest for stability in the market.”

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