US might be staring at a massive shortage of wine this new year as experts have warned of massive supply chain issues affecting the global market.
Senior editor of Wine Spectator Alison Napjus told Fox Business that combined factors of logistical disruptions, shipments backlogged at US ports and a lack of delivery drivers have created a “perfect storm” ahead of one of their busiest holidays.
“It’s not even just that basic transportation issue. We’re also looking at things like shortages of the cage that goes on top of your bottle, labels, boxes to put wine in,” Napjus said.
Fox Business reported that multiple companies have reported “higher logistics-related costs and disruptions” to their normal business.
Vineyards have also been impacted as they are dealing with a shortage of truck drivers and backlog at the ports, according to reports.
Earlier this month, a report from Wine Enthusiast Magazine predicted that the impact of the champagne shortage may last for years in the country.
According to the outlet, Comité Interprofessionnel du Vin de Champagne (CIVC) – the French region’s trade organisation—reported that demand for Champagne dropped 18 per cent by volume in 2020. In response, the CICV capped production limits for the year at 25 percent less than its 2019 limits.
However, towards the end of 2020 during the holiday season and in 2021, demand increased once again.
Throughout 2021, champagne’s harvest was marred with horrible weather issues, including out-of-season heat waves, frost, and torrential summer rains, according to Wine Enthusiast.
(With inputs from agencies)
