US Wine Prices to Hit a 20-Year Low The drop is attributed to the basic concept of supply and demand.
In a 2020 analysis for the 'State of the U.S. Wine Industry,' Silicon Valley Bank Wine Division founder Rob McMilian says the supply chain for wine is "stuffed." Rob McMillan, via report McMilian adds that retail values for wine will be at their best level in two decades.
One big reason is that California has a surplus of grapes resulting from increased vine plantings in 2016.
According to Yahoo, experts say the trend will last up to three years.
This will be good for consumers, but lack of supply could be an issue for producers.
Allied Grape Growers President Jeff Bitter says that future demand could become hampered since the journey for wine to market can take up to five years.
Jeff Bitter, via CNN