Wine and wine products market in Russia

Earlier Report Observations

The Russian wine market saw significant growth in the late 2010s, reaching 1 371 thousand tons in 2019. This expansion was supported by government subsidies for viticulture introduced in 2018 and successive increases in excise duties on imported wines, which encouraged domestic production. Simultaneously, robust imports from Italy fueled market volume.

The pandemic-induced downturn in 2020 reduced the market to 1 235 thousand tons, as COVID-19 disrupted supply chains and hospitality demand. A partial recovery followed in 2021, lifted by rising shipments from Uzbekistan, but the market collapsed to 971 thousand tons in 2022 after Western sanctions cut off key alcohol supplies and prompted the exit of major international players like LVMH.

Domestic production rose by 14% in 2022 to 489 thousand tons, partly compensating for lost imports. By 2023, the market had stabilized at 1 011 thousand tons, aided by new import duties that further constrained foreign wine inflows and accelerated the shift toward Russian wines, which captured 64.8% of consumption.

Production wine and wine products in Russia

In kind, 2017-2020, K t

On a global scale, Russia ranked as the 12th largest producer of wine and wine products during the period from 2017 to 2020.

Top producers of wine and wine products, 2017-2020

World map of production of wine and wine products, 2017-2020

In 2020, Russia produced 441.0 K t of wine and wine products, marking a 4.1% decline compared to the previous year. The lowest production level was recorded in 2018 at 428.0 K t, while the peak occurred in 2019 with 460.0 K t. The most significant drop was observed in 2018 at 4.5%, whereas the largest increase took place in 2019, reaching 7.5%.

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

In value, 2017-2020, M $ US

In 2020, the output of wine and wine products in Russia was valued at 563.3 M $ US, representing an 8.9% decrease from the year before. Over the 2017-2020 period, production fell by 7.1%, with a compound annual growth rate (CAGR) of 2.4%. The highest value was recorded in 2019 at 618.0 M $ US, which also saw the largest increase of 6.5%.

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

Exports wine and wine products from Russia

Exports in kind, K t

Following a two-year upward trend, Russia's exports of wine and wine products declined in 2020, totaling 145 K t—a 1.8% drop from the previous year. From 2017 to 2020, exports grew by 22.6%, with a CAGR of 7.0%. The peak export volume was reached in 2019 at 148 K t, which also experienced the largest increase of 14.1%.

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

Between 2017 and 2020, Russia's exports in kind were distributed across a diverse range of partner countries. Ukraine accounted for 19.1% of exports in kind, the United Kingdom for 13.3%, and Germany for 10.6%, with these three countries together making up just 43.1% of total flows.

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

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

Exports in value, M $ US

After a two-year period of growth, Russia's wine and wine products exports declined in 2020, with a value of 185 M $ US—a 6.6% decrease year-over-year. From 2017 to 2020, exports increased by 15.7%, equating to an annualized rate of 5.0%. The highest value was recorded in 2019 at 199 M $ US, which also saw the largest increase of 13.1%.

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

During the 2017-2020 period, Russia's wine and wine products were exported to numerous markets. Even the top destinations—the United Kingdom, Latvia, and Ukraine—collectively represented only 40.5% of total exports in value terms.

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

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

Imports wine and wine products to Russia

Imports in kind, K t

In 2020, Russia imported approximately 939 K t of wine and wine products, down by 11.3% from the previous year. Over the 2017-2020 period, imports decreased by 3.9%, with a CAGR of 1.3%. The lowest import volume was recorded in 2018 at 934 K t, while the peak occurred in 2019 at 1 059 K t, which also saw the largest increase of 13.4%.

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

From 2017 to 2020, Russia's imports of wine and wine products came from a broad portfolio of suppliers. Italy contributed 18.5% of imports in kind, Spain 14.2%, and France 8.7%, with these three countries together accounting for only 41.3% of total imports in kind, while many other nations held smaller but notable shares.

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

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

Imports in value, M $ US

After a two-year increase, Russia's imports of wine and wine products declined in 2020, recorded at 2 147 M $ US—a 9.7% drop from the year before. Between 2017 and 2020, imports rose by 4.7%, equating to an annualized rate of 1.5%. The highest value was reached in 2019 at 2 379 M $ US, which also experienced the largest increase of 13.8%.

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

During the 2017-2020 period, wine and wine products were imported into Russia from many different markets. Even the largest sources—Italy, France, and the United Kingdom—together represented only 45.9% of total imports in value terms.

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

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