California Wine Export Program

Report Highlights:
The 2008 French wine harvest is estimated to reach 43.6 million hectoliters, or
approximately 5.0% less than the 2007 harvest. Despite unfavorable weather conditions
throughout the wine growing regions, the crop is expected to be of high quality.

Report Highlights:
The Australian wine industry has continued to grapple with the serious issues of drought, low
prices and high stock levels. Total wine grape production for the 2007/08 vintage is forecast

Report Highlights:
Marketing year (MY) 2009/2010 grape production is forecast to increase as younger
vineyards will enter into production. The Argentine wine industry continues to grow
domestically and internationally. Domestically, the consumption of fine/premium wines
continues to increase and in MY 2007/2008 overall domestic consumption increased for the

Report Highlights: The EU is the world’s largest wine producer, consumer, exporter and importer. Total EU-27 wine production in 2007/08 dropped 9 percent due to adverse weather, especially in France and Italy. EU exports grew by over 25 percent in 2006/07, with Russia and the U.S. as major markets. While total EU imports keep rising, shipments from the U.S.

Report Highlights:
Wine production is expected to expand again in 2008 mainly due to favorable weather
conditions. Exports are also expected to expand in volume. In the coming years, industry
sources have indicated that as new areas come into production, output will keep expanding
and wineries will have to invest in new processing and storage facilities to absorb the annual