Wine, 80 million exports at risk due to the Hormuz crisis

"The wine sector is already suffering the first direct damage caused by the Iranian conflict. We are recording a stoppage of orders in about twenty markets, from those in the Gulf to other neighbouring ones, which together add up to an annual export value of about 80 million euro".
This is the alarm launched by the president of the Italian Wine Union, Lamberto Frescobaldi, during the National Council of the association hosted by the Girlan Winery in Cornaiano (Bolzano).

But the effects of the conflict in the Middle East do not stop at the export blockade. Other cascading effects are feared on the Italia wine sector. "In fact," added Frescobaldi, "major criticalities are foreseen - from the cost of dry raw materials to transport costs to the drop in tourism and wine tourism.

On the tourism front, the wine sector fears two distinct effects downstream of the possible restrictions on international flights due to possible shortages of aircraft fuel: a first critical issue is linked to the probable reduction in the flow of tourists in general in Italia, which in particular during the summer months makes an important contribution to wine consumption on the Italian market. Secondly, the drop in bookings in wine tourism destinations is also much feared, which would have a direct impact on the turnover of Italian wineries and penalise a sector that has been growing strongly in recent years.

"On the whole," added the UIV president, "these are costs that are not sustainable for a sector, like ours, that has already been tried by a clearly shrinking demand. As UIV, wecall the Italia government and the EU for urgent answers on the possible measures to be taken also in favour of our sector to mitigate current and future regressive dynamics".

According to the UIV Observatory, the estimated additional costs alone for dry raw materials (glass, paper, cardboard, capsules, cages) could affect the final price of a 4 euro bottle in the range of 10 to 20%.