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California wine industry faces devastating 24% decline in 2024 grape crush amid wildfires and oversupply

Jacob Shelton March 11, 2025

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(Image Credit: IMAGN)

(Image Credit: IMAGN) Ignacio Suruy picks the white green grapes to make sparkling wine at Westport

Sacramento, California – California, the producer of approximately 80% of U.S. wine, is facing an unusually small 2024 vintage, according to the California Department of Food and Agriculture.

The Pacific Region Grape Crush Report revealed a total combined red and white grape crush of 2.844 million tons, a 24% decrease from the 3.685 million tons crushed in 2023. This marks the smallest crush in California in two decades, significantly lower than the 3.2 million tons predicted by a recent Silicon Valley Bank (SVB) wine industry report.

The decline is attributed to a combination of factors, including vineyard removals aimed at addressing oversupply, and vine losses due to wildfires. Over 37,000 acres of vineyards were removed last year, and industry experts are calling for an additional 50,000 acres to be removed to balance the market. The 2020 Glass Fire, which devastated Napa and Sonoma counties, also contributed to the reduction, notably impacting LVMH-owned Newton Vineyard.

Furthermore, grape prices have declined across California. The average price for all varieties dropped 4.5% to $992.51 per ton, with white grapes experiencing a significant 4.8% decrease to $698.61 per ton. While Napa grapes still commanded the highest average price at $6,863.46 per ton, even those prices saw a 2.3% decline.

Industry officials anticipate the trend of smaller harvests to continue, with predictions of an even smaller crush in 2025.

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