Climate change and farm abandonment are quietly driving a steep decline in wine production within the Alicante Denomination of Origin. The latest campaign marks a historic low for the province, with volumes sliding from 177,000 hectoliters to 110,000 hectoliters in just four years. Drought certainly plays a major role, but the fall in vineyard hectares—about 10 percent—also reflects a generational shift and insufficient solar farm projects in several areas. The Alicante Wines Origin group aims to turn necessity into opportunity, prioritizing quality bottled wines over bulk production to counteract the decline in overall output.
Numbers tell part of the story. Since 2019, roughly 1,000 hectares of crops have disappeared. The reduction in wine grape acreage—driven by slower generational change and a lack of solar energy projects—has trimmed about 10 percent of the cultivated area. The business volume stands at around 32 million euros, a figure that experts expect to hold steady through this campaign as well.
Climate change remains a real force with negative effects on many provincial crops. For vineyards dedicated to wine, harsh weather is compounded by land abandonment. Industry estimates indicate roughly 1,000 hectares have been lost in the past four years, and experts warn the trend could worsen if current conditions persist.
Eladio Martín Aniorte, director of the Alicante Wines Origin Group, notes that rural populations are shrinking and intergenerational transfer among farmers is slowing, particularly in the Vinalopó region. He adds that solar power projects have unintentionally discouraged farming activity in some communities before official approvals were granted.
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As a consequence, a gradual decline in grape harvests has emerged. This year’s harvest reached its peak expression yet showed a 31 percent drop from last year and a 43 percent drop from 2019. Even with this downturn, harvest weighs in at roughly 32 million kilos, with about 18 million kilos falling short of last year’s total. The impact on the market is tempered by aging and storage needs; wines require time before they appear on shelves, delaying immediate effects on supply. Wineries have space to store, and it is anticipated that the campaign will sustain the provincial business around 32 million euros.
The Origin Sector’s strategy leans toward packaged wine production, which currently stands at about 11 million bottles annually. The reduction in production mostly affects bulk quantities. The manager emphasizes a goal of stability amid reduced cultivation area, with a commitment to increasing bottle production when possible and a continued focus on quality.
Miguel Ángel Díaz, commercial director of the Bodegas Pinoso cooperative, reinforces this view. Over the next seven years, he expects a loss of half the members due to land abandonment, yet believes the remaining producers will specialize in high-quality wine. He also voices concern about severe drought and the rising costs of extracting water from wells.
Inflation fears loom over consumption patterns. The provincial wine industry worries that higher prices and reduced household purchasing power could dampen sales, especially during Christmas and year-end periods. Data for the campaign are not yet available, but Eladio Martín Aniorte characterizes the outlook as very important for the industry, while noting that wine remains a luxury product and consumer behavior is hard to predict. Exports also face headwinds. China holds excess stock after Covid-19 quarantines, and Germany grapples with inflation, further pressuring demand.
Overall, the sector faces a delicate balance: managing the shift from bulk to bottled wine, navigating climate-driven challenges, and maintaining momentum in a cost-conscious market. The Alicante Denomination of Origin’s leadership continues to emphasize resilience and quality as the path forward, with stakeholders watching carefully how the market and weather will unfold in the coming years. Twinned with these efforts, industry bodies highlight the importance of sustainable practices and strategic investments to safeguard the region’s wine heritage while meeting contemporary consumer expectations. [Attribution: Alicante Wines Origin Group, industry reports].