The Invisible Crisis in Germany's Wine Industry

In a recent article in the Süddeutsche Zeitung, Uwe Ritzer wrote that “German winegrowers are experiencing the worst crisis in decades.” The reasons include consumer restraint, climate change, and cost explosion. “According to experts, the number of wine estates in Germany could be halved in the long term.” The article is behind the paywall, so I could only read a couple of sentences below the headline.

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Just a friendly reminder that the same thing could be written about California, Bordeaux, etc. so many wine regions are struggling. It is not unique to Germany.

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Exactly - which is why blaming this on inscrutable labels or whatever isn’t persuasive.

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According to the article, 10% less German wine in 2024 compared to 2023 (after a 4% drop in 2023). But not distributed evenly, with Rheinhessen and Pfalz (about a half of the total production) unchanged. Yet still 20% more than what the market can absorb.

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A key difference between Germany and many other wine countries or regions is that top sites, and not just on steep slopes, are being abandoned, leased, or sold.

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Looking at this in the “reverse direction” why would you think this is not happening at top sites in other wine growing regions? For example, Bordeaux, Napa, Wachau, Piedmont, what have you. Or is it happening and it’s below the radar. (Of course, as noted ad nauseam elsewhere, if not here, scarcity plays a big role, La Tache isn’t growing bigger, etc.)

Americans love drama so there will be articles about fallow vineyards in the Central Valley. Which is not considered “top sites.” Or there will be international recognition when a prestigious producer buys land (e.g., Conterno with Nervi and not trying to say Nervi’s land wasn’t a top site or they made crap wine but it wasn’t commanding post acquisition prices).

Just wondering out loud. If it’s not happening to “top sites” in the Barossa or Alsace or Tuscany are we just back to idiosyncratic factors in Germany? One cannot force young people to take over or set purchasing minimums among the populace or cap worker salaries. If so, also, it seems on the surface little can be done except to try to buy a few more bottles of German wine from “top sites” as a token gesture. Albeit that may be too late. Sad, but what constructive can be done?

I am also wondering which specific “top sites” he’s referring to. Top sites is a rather flexible term.

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Very sad, it’s also somehow a historical legacy…

In an earlier post, I mentioned top sites in Ürzig, Erden, Dhron, and Piesport. I didn’t list the actual site names, but these include Ürziger Würzgarten, Erdener Treppchen, Dhroner Hofberg, and Piesporter Goldtröpfchen.

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OK. Thanks. Some of those are definitely surprising. More illuminating would be if the sellers are recognizable names as well.

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I don’t know if it’s not happening in other winegrowing regions, but I doubt it’s on the same scale as in the Mosel.

There are some big-name producers as well as no-name growers.

There seems to be an ever increasing bifurcation - the prices for things like the ‘Lieser Doctor’ parcel on one hand and most other things on the other…

At the same time a lot of absolute top tier parcels are held by mediocre producers and will never come to the market…

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It should be noted that when a parcel becomes available, “the sellers” might actually be the tenants instead.

As for that parcel in Doctor, one of the bidders is decreasing his holdings in other places.

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Is it true that Burgundy is having no trouble selling wine. Certainly, it is true that the demand is really high for wines from a relative handful of in demand producers and terroirs, but is this also true if you look at Burgundy more broadly.

There’s a lot of talk about the Mosel, but the planted area under vines in the Mittelrhein (ca. 460 ha) has shrunk dramatically over the years, which I mentioned only in passing in an earlier post.

Drank my first two bottles, I’m sold!

On the way… thanks for the rec from both you and @Russell_Faulkner

I used to drink quite a bit of Mittelrhein wine, mostly Jost and a bit of Weingart. I never see either producer’s wines on the shelf anymore.

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An interesting summary here, with some figures. As expected Mosel struggles more than other regions.

https://www.handelsblatt.com/unternehmen/handel-konsumgueter/wein-nur-wenige-deutsche-winzer-fuerchten-donald-trump/100124266.html

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