Wine production in the Algarve down 10% year-on-year, climate instability to blame

wine productionWine production in the Algarve region is expected to drop by around 10% this year compared with 2024, namely due to unstable weather conditions, the president of the Algarve Wine Commission (CVA) Sara Silva has revealed today.

“We anticipate a decline that could reach 10%, roughly 200,000 litres, compared with the previous harvest. This reduction is mainly linked to unexpected rainfall, which encouraged the spread of vine diseases,” said Silva.

The Algarve Wine Commission, responsible for certifying, monitoring, and promoting wines from the Faro district, is organising the second edition of the Algarve Wine Session. The event, featuring 30 local producers, aims to showcase the region’s wines. Last year’s inaugural session proved “extraordinary for the sector”, following a record-breaking production of around two million litres, the highest ever recorded in the region.

At present, the Algarve has 60 registered producers of certified wines bearing the geographical indication “Algarve”, operating across a total of roughly 1,400 hectares of vineyards, about 800 of which are directly supervised by the Commission.

“In 2017, we had around 30 producers; today, that number has doubled to 60. This reflects strong growth and new economic momentum, with four to five new operators entering the market each year,” Silva noted.

According to the CVA president, Algarve wine exports fluctuate annually, accounting on average for between 12% and 15% of total production, with the United States, Brazil, and several European countries among the main destinations.

While Algarve wines are increasingly recognised for their quality, most of the production is still consumed locally, thanks to the strong demand from the tourism and hospitality sectors. Around 70% of wine sales occur within the region, Notably, the average price of Algarve wine remains higher than the national average, a reflection of both its limited production and growing prestige.

Officially recognised as a delimited wine region in 1980, the Algarve has seen remarkable evolution since the CVA was established in 1994. The Commission now not only certifies and regulates production but also spearheads promotional initiatives, such as the Algarve Wine Route, launched in 2023 to boost wine tourism and connect visitors with local producers.

Wine tourism is now an increasingly vital part of the Algarve’s economy. Many wineries have opened their doors to visitors, offering tastings and vineyard experiences that combine the region’s scenic beauty with its growing winemaking expertise. As a result, Algarve wine has moved from being a local curiosity to a serious player on Portugal’s viticultural map.