Wine & Vine

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Two weeks ago, Thursday (11/20) was Beaujolais Nouveau Day. A tradition now celebrated globally on the third Thursday of every November, the “vin primeur” (a very young wine) was officially released. I polished off several bottles entertaining over the Thanksgiving holiday. Beaujolais Nouveau pairs well with turkey.

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Back in January, I first learned France’s wine and spirits industry, one of the country’s three main industrial sectors has been on a slippery slope for the past few years. Currently the sector is experiencing a crisis of overproduction (primarily red). France’s wine industry disruption can be attributed to three factors detailed below:

  • Health trends – Concerned about health and wellness, consumers are drinking less alcohol. In the U.S. one the largest global markets only 54% of adults drink alcoholic beverages. the lowest amount in 90 years. Consumption is especially low among Gen Z, but also people 65 or older who tend to drink 20% less than consumers 50-65.
  • Economic conditions – Russia’s war in Ukraine impacted costs which increased by a third due to sanctions. In addition, the impact of Trump’s tariffs and Chinese custom taxes (32.2%) levied on EU wine-based spirits combined with currency exchange rates could slash revenues by approximately £1 billion.
  • Extreme weather conditions – Thanks to warmer temperatures, grapes were yielding higher sugar content which increased the alcohol level of wines just as changing consumer preferences for less alcohol was trending. Regional hail storms and draughts/heat waves impacting water supply wiped out some vineyards. 

How is France responding to the wine crisis and planning to rebalance supply to restore the sustainability of struggling vineyards? For starters, the French Agriculture Ministry has implemented an aid plan of £130 million to supplement winemakers’ special equipment costs to tear up their vines, as well as not selling their wine due to overproduction. Note: Permanently uprooting vineyards is risky to the ecosystem. In some regions, non-marketable overstocks have been turned into alcohol used for industrial purposes (e.g., biofuel). Long-term, the Agriculture Ministry is encouraging producers to work together to get more offensive in the export markets and survive future changes in the industry.  

I am not a connoisseur of fine wine, just a consumer, but I highly recommend picking up a bottle of Beaujolais Nouveau 2025 on a shelf near you. It will pair well with your next turkey burger.

1 thought on “Wine & Vine

  1. I love the celebration of Beaujolais Nouveau! I will look for a bottle near me. Farming, weather vegetables, stock or grapes, can be a dicey business at best. Pardon the pun, but the farmers have a difficult row to hoe!

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