Wine world's changing. Can India catch the pour?

The wine industry is evolving rapidly due to climate change and shifting consumer preferences. While traditional wine regions in Europe struggle with declining demand, drought, water stress, and reduced yields, new destinations are emerging in the global wine landscape. China, Georgia, and even English sparkling wine producers are gaining recognition as viable wine regions.

In India, the wine tourism market is thriving, with Sula Vineyards reporting over 400,000 visitors annually and crossing Rs 100 crore in revenue last year. The company is expanding its footprint by acquiring Chandon's estate in Nashik. The wine tourism market is projected to grow significantly, reaching $138.4 billion by 2033, with Asia Pacific leading at a CAGR of 15.2%.

However, traditional wine regions in Europe face numerous challenges, including falling demand, wildfires, and climate change. France, the second-largest wine producer globally, has experienced a 3°C temperature increase since 1980. The International Organisation of Vine and Wine reported a decline in global wine consumption in 2025, with a 2.7% drop from 2024 and the lowest level since 1957.

Indian vineyards have expanded at an average of 4.6% since 2019, with a total area under vines of 1,97,000 hectares, making it the seventh-largest wine-producing country. Nonetheless, only around 3,000 hectares are dedicated to wine grapes. Younger generations, particularly Gen Z, are driving the demand for niche wines, organic options, and alternative alcohol experiences. As the wine world continues to transform, India has an opportunity to capitalize on this global shift.