Maharashtra's grape shortage: Wine prices set to jump 25-30%
Unseasonal rains in Maharashtra from May to October 2024 have hit grape harvests hard, with key regions like Nashik and Sangli losing 80% to nearly 100% of their crop.
Since the state supplies about 80% of India's grapes, this shortage means Indian wineries are hiking wine prices by 25-30% starting January 2025.
Why is wine getting pricier?
Farmers in Nashik reported losing 80% to nearly 100% of their crop.
This has doubled farmgate grape prices (now ₹140-160/kg, up from ₹70-80 last year), pushing up costs for winemakers.
Entry-level wines—think bottles in the ₹400-800 range—will feel this price squeeze the most.
No imports allowed, so local grapes only
Indian wineries can't just switch to imported grapes because tax incentives require them to use local produce.
This rule keeps pressure on prices and limits options for keeping wine affordable.
Exports and fresh grapes also take a hit
With fewer grapes around, India's annual wine exports (worth ₹30-40 crore) could shrink further this year.
Fresh grape exports will also struggle with both supply and quality issues thanks to the rough weather.