In Europe, the impact of frost damage looks likely to trigger higher prices in the coming months. Temperatures, which plunged to as low as minus six Celsius, adversely affected the young vine buds and caused widespread damage across much of France, Spain and the north of Italy during the growing season.
This has hit numerous wine growing areas such as Bordeaux, Burgundy, Champagne, Alsace, Rioja, Rueda and Ribera de Duero among others.
Although the final impact will not be known until the harvest later this year it seems certain that yields will be affected. However, in most cases, existing stocks should ensure there is still adequate availability.
Production in the US meanwhile has not suffered any major disruption but heavy rains earlier in the growing season followed by unusually high temperatures in recent weeks are creating some challenges. Production on the North Coast is expected to be average, while the Central Valley may be somewhat light. Overall production volumes for 2017 are very similar to those of 2016.