Grape wine market in Japan

Earlier Report Observations

Domestic grape wine production in Japan increased to 86.1 million liters in 2019, supported by ongoing quality improvements and rising international recognition of Japanese wines. Consumer price sensitivity, particularly for budget segments, however, limited broader market expansion. The COVID-19 pandemic in 2020 severely reduced foodservice sales, shifting distribution toward online channels and contributing to a lower overall market volume.

A sharp downturn occurred in 2021 as the market size fell to 293.5 million liters and domestic production plummeted to 49.5 million liters. This decline followed a peak in domestic wine sales, which then retreated under pressure from rising prices and increased consumer frugality. From 2022, active policy discussions on alcohol tax reform, proposing lower beer taxes and higher levies on new alcoholic categories, introduced structural uncertainty. The market volume temporarily recovered to 314.2 million liters in 2022 before contracting again to 280.5 million liters in 2023, while production stabilized around 48 million liters.

Throughout the period, climate change effects, including warmer summers and shifting rainfall patterns, persistently influenced viticulture in regions like Hokkaido and Niigata, driving adaptations in cultivation techniques and geographic expansion of wine grape growing areas.

Production grape wine in Japan

In kind, 2018-2021, K l

Japan was among the world's leading grape wine producers from 2018 to 2021, ranking 27th globally by production volume during this period.

Top producers of grape wine, 2018-2021

World map of production of grape wine, 2018-2021

Japan's grape wine production declined for the second consecutive year. In 2021, production reached 49 473 K l, marking a 38.5% contraction from the previous year. Between 2018 and 2021, production decreased by 38%, equivalent to an annualized rate of 14.7%. The highest production was recorded in 2019 at 86 138 K l, which also saw the largest annual increase of 7.9%.

Annual dynamics of production in Japan in kind, 2018-2021, K l

Exports grape wine from Japan

Exports in kind, M l

The data shows irregular changes, indicating a volatile market environment. Exports reached their lowest point in 2019 at 0.1 M l, with the largest annual decline of 42.8% that year. In 2020, exports saw the largest increase of 111.0%. By 2021, exported volumes peaked at 0.4 M l, representing a dramatic 30.8% rise from 2020. Overall, the period exhibited a 2.8-fold swing between the trough in 2019 and the peak in 2021.

Annual dynamics of product's exports from Japan in kind, 2018-2021, M l

From 2018 to 2021, Asia, not elsewhere specified (43.4% of exports in kind), China (15.8%), and Hong Kong (14.7%) formed the core of Japan's grape wine exports in volume terms, together accounting for 73.9% of total flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Japan in kind, 2018-2021

Exports in value, M $ US

The market exhibited an unstable trend throughout the timeframe. Export values hit their lowest point in 2019 at 2 M $ US, with the largest annual decline of 37.2% that year. In 2020, values saw the largest increase of 102.9%. By 2021, cross-border shipments peaked at 6 M $ US, showing an abrupt uptick of 88.9% from the previous year. Overall, there was a 3.8-fold fluctuation between the low in 2019 and the high in 2021.

Annual dynamics of product's exports from Japan in value, 2018-2021, M $ US

From 2018 to 2021, Hong Kong (32.9% of exports in value terms), Asia, not elsewhere specified (21.2%), and China (20.8%) were consistently the main destinations for Japan's grape wine exports by value, together accounting for 74.8% of total flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Japan in value, 2018-2021

Imports grape wine to Japan

Imports in kind, M l

Japan's grape wine import volume declined for the second consecutive year. In 2021, imports stood at 244.4 M l, which is 5.7% lower than the previous year. Between 2018 and 2021, imports decreased by 8.4%, equating to an annualized rate of 2.9%. The highest import volume was recorded in 2019 at 285.5 M l, which also saw the largest annual increase of 7.0%. The largest decline occurred in 2020 at 9.2%.

Annual dynamics of product's imports to Japan in kind, 2018-2021, M l

From 2018 to 2021, Chile (29.0% of imports in kind), France (23.3%), and Italy (15.6%) formed the core of Japan's grape wine imports in volume terms, together accounting for 68.0% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Japan in kind, 2018-2021

Imports in value, M $ US

In 2021, grape wine deliveries to Japan amounted to 1 707 M $ US, constituting a moderate increase of 9.0% compared to 2020. The minimum value was recorded in 2020 at 1 565 M $ US, with the largest annual decline of 13.5% that year. The maximum value was reached in 2019 at 1 810 M $ US.

Annual dynamics of product's imports to Japan in value, 2018-2021, M $ US

From 2018 to 2021, France (56.2% of imports in value terms), Italy (11.7%), and Chile (10.8%) were the principal sources for Japan's grape wine imports by value, jointly accounting for 78.7% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Japan in value, 2018-2021