The world is suffering from a growing wine shortage that’s already getting worse, Morgan Stanley Research has warned.
The company says demand for wine “exceeded supply by 300m cases in 2012,” making it “the deepest shortfall in over 40 years of records.”
Morgan Stanley’s analysts Tom Kierath and Crystal Wang say the shortage comes despite the fact that there are one million wine producers globally, making 2.8 billion cases every year. That’s enough to keep up with the world demand, though.
They pointed out that global wine consumption has been increasing since 1996 and presently amounts to 3 billion cases each year.
Last year, global supply of wine already barely exceeded demand.
At the current pace, a global shortage of wine is quickly approaching. Global production has been steadily decreasing since 2004, when supply outweighed demand.
Overall, global production has been on a downward trend ever sine 2000s, when there were still massive excesses.
Wine has become particularly popular in France, as the economy booms and the standard of living there rises. The French are still the world’s largest consumers of wine.