Grapes market in South America

Earlier Report Observations

From 2018 to 2020, South American grape production and market volume followed a declining trend. Initial high output in 2018 was supported by favorable growing conditions in major producers like Chile and active export promotion. However, inflationary pressures and rising production costs began to weigh on the sector in 2019. The following year, the COVID-19 pandemic caused significant disruptions to supply chains and consumption, leading to a sharp contraction in both production and domestic market volume.

A recovery occurred in 2021, driven by the adoption of advanced technologies such as AI for irrigation and disease prediction, which improved efficiency. Concurrently, a shift in consumer preferences towards seedless and premium grape varieties stimulated demand. This rebound was short-lived as adverse weather factors, including droughts and extreme heat, impacted yields across key growing regions in 2022, causing production to fall again.

In 2023, production remained constrained by continued climatic volatility and specific regional challenges, notably a significant harvest shortfall in Argentina due to the worst recorded crop. Despite this pressure on supply, the total market volume saw a modest increase, reflecting steady consumer demand for fresh grapes supported by heightened health consciousness.

Production grapes in South America

In kind, 2017-2020, K t

Top producers of grapes, 2017-2020

World map of production of grapes, 2017-2020

Grape production in South America has declined for the second year in a row. In 2020, the region produced 6 828 K t of grapes, representing a gradual 9.7% decrease compared to the previous year. Production peaked in 2018 at 7 846 K t, which also saw the largest annual increase of 13.6%.

Annual dynamics of production in South America in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Following two years of growth, South America's grape production value declined. In 2020, output was valued at 14 078 M $ US, marking a robust 13.7% drop from the previous year. Over the 2017-2020 period, production value decreased by 2.2%, with a compound annual growth rate of 0.7%. The highest value was recorded in 2019 at 16 309 M $ US, while 2018 saw the largest annual increase of 10.3%.

Annual dynamics of production in South America in value, 2017-2020, M $ US

Exports grapes from South America

Exports in kind, K t

Grape exports from South America declined for the second consecutive year. In 2020, exports totaled 1 122 K t, a 1.5% decrease from the previous year. Between 2017 and 2020, exports grew by 8.5%, equivalent to an annualized rate of 2.8%. The peak was in 2018 at 1 174 K t, which also recorded the largest annual increase of 13.4%. The largest decline occurred in 2019, with a 2.9% drop.

Annual dynamics of product's exports from South America in kind, 2017-2020, K t

From 2017 to 2020, the United States (38.3% of exports in kind), China (11.0%), and the Netherlands (10.3%) formed the core of South America's grape exports, together accounting for 59.6% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from South America in kind, 2017-2020

Exports in value, M $ US

After two years of growth, grape exports from South America declined. In 2020, exports were valued at 2 314 M $ US, reflecting a modest 5.8% decrease from the previous year. Over the 2017-2020 period, export value increased by 7.4%, equating to an annualized rate of 2.4%. The highest value was recorded in 2019 at 2 457 M $ US, while 2018 saw the largest annual increase of 10.1%.

Annual dynamics of product's exports from South America in value, 2017-2020, M $ US

Between 2017 and 2020, the United States (40.1% of exports in value terms), China (10.0%), and the Netherlands (9.5%) led as the top buyers of grapes from South America, with their combined share reaching 59.6% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from South America in value, 2017-2020

Imports grapes to South America

Imports in kind, K t

South America imported 46 K t of grapes in 2020, reflecting a modest 7.2% increase compared to 2019. Over the 2017-2020 period, imports decreased by 31.8%, with a compound annual growth rate of 12.0%. The lowest import volume was in 2019 at 42 K t, while the peak was in 2018 at 69 K t. The largest decline occurred in 2019, with a 38.1% drop.

Annual dynamics of product's imports to South America in kind, 2017-2020, K t

During 2017-2020, grape imports to South America were sourced from many different markets. Even the largest suppliers—the United States, Turkey, and India—together represented only 7.9% of total imports in kind.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to South America in kind, 2017-2020

Imports in value, M $ US

Grape import volumes in South America declined for the second consecutive year. In 2020, imports stood at 156 M $ US, indicating a robust 14.6% decrease from the previous year. Over the 2017-2020 period, import value decreased by 16.3%, with a compound annual growth rate of 5.8%. The highest value was recorded in 2018 at 200 M $ US, which also saw the largest annual increase of 7.2%.

Annual dynamics of product's imports to South America in value, 2017-2020, M $ US

The structure of imports in value terms from 2017 to 2020 points to a diversified set of partners. The United States (7.8% of imports in value terms), Turkey (1.7%), and South Africa (1.2%) jointly accounted for only 10.7% of total flows, while the remaining 89.3% was dispersed among numerous smaller markets.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to South America in value, 2017-2020