Crisis in California wine industry: Unsold grapes and struggling farmers

Fox40.com ^ | September 21, 2025 | Kimberly Cruz

[Red Badger]

(FOX40.COM) — According to the California Association of Winegrape Growers, the Golden State produces about 80% of all wine in the United States.

The wine industry has been a major economic driver for the state for decades. Creating hundreds of thousands of jobs, generating billions in revenue, and attracting tourism.

However, now the state’s wine industry is in a crisis, tackling several challenges. It’s an impact affecting local farmers and wineries in Northern California

“I am fourth-generation farmer here in Clarksburg for my family’s farm, Wilson Vineyards, and I am the owner and winemaker of Silt Wine Company,” said David Ogilvie.

Just like many grape growers in California, this year some of Ogilvie’s grapes will go unpicked because of no buyers.

“This is the first time, in my family’s history, that this block is going unsold,” Ogilvie explained.

The block he is referring to is a section about 15 acres big and unfortunately, not the only grapes that will remain on the vine this harvest season.

“It’s an economic hit to the family farm. When we have multiple blocks like we do this year that will go on unharvested, it hurts,” Ogilvie said.

“Growers throughout California are facing an immense amount of challenges today and really, it’s not just one singular challenge. It is a host of challenges that have all stacked up and have really made things pretty dire here, Natalie Collins, President of the California Association of Winegrape Growers, said.

She said some of the challenges include a decrease in consumption by the younger generation, an oversupply of grapes, and an increase in cheaper imports.

“We’ve seen bulk wine, flood into the U.S. it’s up 17% year to date,” said Collins, “We get calls daily at our association from growers looking for answers. What can I do next? Sadly, there are generational farmers who are going out of business.”

Collins added this harvest season, more grapes will go unharvested while other vineyards will simply be lost.

“We removed over 37,000 acres of vineyards last year and there’s a call for another 50,000 to be removed,” Collins said.

“We are seeing, you know, a loss of jobs. Farm workers are struggling. The trucking companies are going to be struggling. Our suppliers, our barrel companies, the grapevine nurseries are fertilizer companies,” said Stuart Spencer, executive director of the Lodi Winegrape Commission.

Spencer added the farmers and wineries in the region are adapting during these challenging times. Finding new ways to bring in more consumers into the wine industry.

Spencer explained that right now, the biggest push is for people to support local.

“You know, we need to support local businesses. That’s how we all benefit. When you go to the stores, you know, look where your food comes from, look where your wine comes from and support Californians. It’ll benefit all of us,” Spencer said.

While the future of the wine industry in the Golden State is unknown, grape growers and winemakers in Northern California are hopeful.

[Mariner]

“She said some of the challenges include a decrease in consumption by the younger generation, an oversupply of grapes, and an increase in cheaper imports.”

I can get a decent French wine (they produce, then dump their excess in the US) for less than a decent Napa County wine...in the under $20 range.

[crusty old prospector]

We have dozens of wineries in East Texas. I had always heard that it was too humid over here.

[Red Badger]

I learned a long time ago that price does not translate to quality in wines.

I’ve had some really expensive wine that tasted awful.............

[Bookshelf]

It has been said that California vinyards think they serve wine from the Last Supper.

[Labyrinthos]

“Serious question: Can the vineyard lands be used to grow something else that will sell?”

Yes, olives.

[vpintheak]

When I see wine from California, I look for wine from somewhere else. That’s what asinine pinko commie Dim policies have done to me.

[JimRed]

wine is too expensive. no wonder consumption is down. I found a CA brand called Liberty Creek at less than ten dollars for a 1.5 liter bottle. Since I sometimes cook with wine and it wouldn't go to waste if not very good, I bought a Pinot Grigio and a Merlot. Both are (in my judgement) worth double or more. The company is a supporter of Fields of Honor, a scholarship program for families of military and first responders.

[virgil]

Olives? Avocados?

[scrabblehack]

Tennessee legalized selling wine in grocery stores a few years ago. One place I frequently shop at went from 2 aisles of soda to 1.5 aisles of wine and 0.5 aisles of soda.

I’m sure the profit margin on wine is higher than it is for soda.

I don’t know how much of it comes from California.

[Night Hides Not]

Thanks for the tip! One of my favorite wines is Mission Wine, from Fall Creek Vineyards in Driftwood, Texas. An image of The Alamo appears on the label, honoring the fallen heroes of the Alamo. The grapes are grown on land once owned by COL William B Travis, CO at the Alamo. It’s a very good Cabernet Sauvignon, I think I still have a case spread over 3 years (20-21-22). Due to its popularity, the price has gone up to $30 a bottle.

[Pete from Shawnee Mission]

There, I knew about it, but not that detail! (It could also have been made into vinegar and used to clean windows or make salad dressing!)