California Farmers Struggle as Wine Demand Slumps

California farmers face challenges as wine demand declines, forcing vineyard removals and economic shifts in the wine industry.

Editorial Desk

September 23, 2026 One Min Read

POLICY WIRE — Lodi, California — Harvest season has arrived in California’s wine country, but many growers are finding it increasingly difficult to sell their grapes as consumer demand for wine continues to fall. This downturn is pushing some farmers to remove vineyards that have been in their families for generations.

Wine sales have dropped by over 20% over the past five years, leading to lower grape prices and prompting California growers to take about a quarter of the state’s vineyards out of production. Growers are now facing tough decisions on whether to harvest at a loss, leave grapes on the vines, or switch to more profitable crops like almonds, walnuts, and olives.

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Third-generation grower Bill Berryhill described the situation as heartbreaking, noting that he is unable to find buyers for grapes grown on 200 of his 500 acres. He plans to remove 50 acres of vineyards after the harvest season ends, despite knowing it will result in financial losses. The decline in wine sales has also affected local businesses and workers, creating a ripple effect throughout the economy.

Reporting by Policy-Wire (PW)

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