Despite global headwinds, California’s vineyards are pouring prosperity into the state, crushing over 6.7 million tons of grapes in 2022 to fuel a $170 billion economic engine that supports over a million jobs.
Key Takeaways
- California produced 807,400 tons of winegrapes in 2022, marking a 2% increase from the previous year
- The 2022 California winegrape crush totaled 6,764,000 tons across all varieties
- Chardonnay accounted for 24% of the 2022 California winegrape crush with 1,633,000 tons crushed
- California wine industry generated $170.1 billion in total economic impact in 2023
- The California wine industry supported 1.07 million jobs in 2023, generating $71.5 billion in wages
- Wine exports from California reached $1.85 billion in 2022
- There were 4,800 wineries operating in California as of 2023
- California wine industry supported 1.07 million jobs in total in 2023
- Direct employment in vineyards and wineries was 450,000 in California 2023
- California wine exports to Canada were $586 million in 2022
- EU markets imported $496 million of California wine in 2022
- China imports of California wine totaled $93 million in 2022
- California had 985,000 acres of winegrapes planted in 2022
- Bearing acres of winegrapes in California: 885,000 in 2022
- Non-bearing acres: 100,000 in California winegrapes 2022
The California wine industry remains a massive economic force, producing billions and supporting over a million jobs.
Economic
- California wine industry generated $170.1 billion in total economic impact in 2023
- The California wine industry supported 1.07 million jobs in 2023, generating $71.5 billion in wages
- Wine exports from California reached $1.85 billion in 2022
- California wineries paid $3.5 billion in state and local taxes in 2023
- The industry's direct economic output was $61.3 billion in 2023 for California wine
- In 2022, California wine sales at retail totaled $52.4 billion
- Tourism from wine contributed $14.2 billion to California's economy in 2023
- California wine industry supplier impact was $42.1 billion in 2023
- Induced economic impact from wine was $66.7 billion in California 2023
- In 2023, the wine industry contributed 4.6% to California's GDP
- California exported wine to over 100 countries, valued at $1.9 billion in 2023
- Direct employment in California wine was 450,000 jobs in 2023
- Vineyard value in California reached $25 billion in planted acreage in 2022
- California wine consumer spending was $42.8 billion off-premise in 2022
- On-premise wine sales in California generated $10.5 billion in 2022
- The industry paid $5.2 billion in federal taxes in 2023
- California wine tourism visitors numbered 29 million in 2023
- Average winery revenue declined 5.2% in 2022 for California
- Premium wine sales (over $10/bottle) grew 4% in California 2022
- California wine industry capital expenditures totaled $2.1 billion in 2022
- Napa Valley economic impact from wine was $15.7 billion in 2022
- Sonoma County wine economy contributed $13.4 billion in 2022
- California wine direct GDP contribution was $45.8 billion in 2023
- The California wine industry employed 1,013,000 total jobs including indirect in 2023
- California wine industry farmgate value was $7.2 billion from 2022 crush
Economic Interpretation
Beyond merely uncorking bottles, California wine is a titan of liquid economics, pouring life into over a million jobs, billions in wages and taxes, and a robust 4.6% of the state's GDP, proving its influence is profoundly more complex and valuable than a simple cabernet.
Employment
- There were 4,800 wineries operating in California as of 2023
- California wine industry supported 1.07 million jobs in total in 2023
- Direct employment in vineyards and wineries was 450,000 in California 2023
- Hospitality jobs from wine tourism: 330,000 in California 2023
- Supplier chain jobs: 290,000 supported by California wine in 2023
- Average wage in California wine industry was $66,800 in 2023
- Total wages paid by industry: $71.5 billion in California 2023
- Vineyard workers in California numbered approximately 75,000 year-round in 2022
- Seasonal harvest workers peaked at 120,000 in California vineyards 2022
- Winery production staff averaged 5.2 employees per small winery in 2022
- Tasting room staff comprised 40% of winery employment in California 2022
- California had 1,200 bonded wineries in 2000, growing to 4,800 by 2023
- Napa Valley employed 25,000 directly in wine in 2022
- Sonoma wine jobs totaled 28,000 direct in 2022
- Wine-related agriculture jobs: 110,000 in California 2023
- Distribution and retail jobs from wine: 250,000 in 2023 California
- Induced employment from spending: 400,000 jobs in 2023
- Labor costs rose 8% for California wineries in 2022
- 62% of California wineries reported staffing shortages in 2022
- Average turnover rate in tasting rooms was 35% in 2022 California
- Wine tourism supported 215,000 hospitality jobs in 2023
Employment Interpretation
California’s wine industry may be fueled by grapes, but it runs on the labor of over a million people, from the seasonal harvest hands to the tasting room hosts, stitching together an economy as complex and valuable as a fine Cabernet.
Exports
- California wine exports to Canada were $586 million in 2022
- EU markets imported $496 million of California wine in 2022
- China imports of California wine totaled $93 million in 2022
- UK purchased $157 million California wine in 2022
- Japan imported $85 million from California wine in 2022
- Total California wine exports: $1.85 billion in 2022, down 9% from 2021
- California share of US wine exports: 85% by value in 2022
- Mexico imports: $124 million California wine 2022
- Hong Kong: $62 million California wine exports 2022
- Australia took $28 million California wine in 2022
- California exported 360 million liters of wine in 2022
- Top 10 markets accounted for 80% of California wine exports value in 2022
- Exports volume declined 12% in 2022 for California wine
- Bulk wine exports from California rose 5% to 150 million liters in 2022
- Bottled wine exports: 210 million liters from California 2022
- Southeast Asia exports grew 15% for California wine in 2022
- Netherlands imported $72 million California wine 2022
- Sweden: $45 million California wine 2022
- California wine export value per liter averaged $5.14 in 2022
- In 2023, California exports rebounded to $1.9 billion
Exports Interpretation
Despite the rest of the world’s continuing thirst, a 2022 dip in California wine exports proved we’re happily drowning our sorrows closer to home, letting our northern neighbor Canada quietly drink us under the international table.
Production
- California produced 807,400 tons of winegrapes in 2022, marking a 2% increase from the previous year
- The 2022 California winegrape crush totaled 6,764,000 tons across all varieties
- Chardonnay accounted for 24% of the 2022 California winegrape crush with 1,633,000 tons crushed
- In 2022, Cabernet Sauvignon crush in California reached 956,000 tons, representing 14% of total crush
- California's 2022 winegrape crush price averaged $1,069 per ton, up 12% from 2021
- Central San Joaquin Valley contributed 49% of California's total 2022 winegrape crush at 3,321,000 tons
- In 2022, red winegrape varieties made up 47% of California's crush total at 3,174,000 tons
- California's 2021 winegrape crush was 6,631,000 tons, with an average price of $951 per ton
- Zinfandel crush in California for 2022 was 135,000 tons, accounting for 2% of total crush
- In 2022, the Monterey crush district processed 1,050,000 tons of winegrapes
- Sauvignon Blanc crush in California reached 242,000 tons in 2022, up 15% from prior year
- California's 2022 crush for French Colombard was 825,000 tons, the highest among white varieties
- Merlot winegrape crush in 2022 totaled 196,000 tons in California
- In 2022, Sonoma County crushed 296,000 tons of winegrapes
- Pinot Noir crush in California for 2022 was 235,000 tons, representing 3.5% of total
- California's total winegrape acreage in 2022 was approximately 985,000 acres
- In 2020, California winegrape production was 7.3 million tons from 950,000 acres
- Yield per acre for California winegrapes averaged 7.4 tons in 2022
- Syrah crush in 2022 reached 225,000 tons in California
- In 2022, 78% of California's winegrape crush went to wine production
- California's 2022 winegrape crush value reached $7.2 billion
- Petite Sirah crush totaled 45,000 tons in California in 2022
- In 2022, the San Joaquin Valley accounted for 75% of California's total winegrape crush tonnage
- Chenin Blanc crush in 2022 was 92,000 tons in California
- California's North Coast districts crushed 1,012,000 tons in 2022
- In 2022, organic winegrape crush in California was 45,000 tons
Production Interpretation
California's 2022 vintage was a robust but pricey affair, with Chardonnay reigning supreme and the Central Valley doing the heavy lifting, ultimately proving that while 78% of those grapes were destined for wine, 100% of the effort resulted in a cool $7.2 billion hangover for the economy.
Vineyards
- California had 985,000 acres of winegrapes planted in 2022
- Bearing acres of winegrapes in California: 885,000 in 2022
- Non-bearing acres: 100,000 in California winegrapes 2022
- Chardonnay planted on 110,000 acres in California 2022
- Cabernet Sauvignon acreage: 97,000 acres in California 2022
- Central Valley winegrape acreage: 620,000 acres in 2022
- North Coast winegrape acres: 240,000 in California 2022
- Average vine age in premium California vineyards: 25 years in 2022
- Organic winegrape acreage: 125,000 acres in California 2022
- Sustainable certified acres: 850,000 in California winegrapes 2022
- Merlot planted on 32,000 acres in California 2022
- Pinot Noir acreage: 45,000 acres California 2022
- Zinfandel: 28,000 acres in California 2022
- Sauvignon Blanc: 28,000 acres California 2022
- Syrah: 25,000 acres in California 2022
- New plantings in California: 12,000 acres in 2022
- Vineyard removal: 8,000 acres in California 2022
- Napa Valley winegrape acreage: 46,000 acres in 2022
- Sonoma County: 65,000 acres winegrapes 2022
- Monterey County: 42,000 acres in 2022
- Irrigation covers 95% of California winegrape vineyards
- Drip irrigation used on 85% of acres in 2022
- Average yield variation: 6-8 tons/acre in premium regions 2022
Vineyards Interpretation
While California's vineyard is a mature, efficient giant—with 885,000 acres in full production, a quarter-century of wisdom in its roots, and an impressive 85% of it sustainably farmed—its future is carefully balanced between the enduring reign of Chardonnay, the quiet resurgence of new plantings, and the precise drip of irrigation that keeps it all thriving.
Sources & References
- Reference 1NASSnass.usda.govVisit source
- Reference 2WINEINSTITUTEwineinstitute.orgVisit source
- Reference 3WINEBUSINESSwinebusiness.comVisit source
- Reference 4SVBsvb.comVisit source
- Reference 5VISITNAPAVALLEYvisitnapavalley.comVisit source
- Reference 6SONOMACOUNTYsonomacounty.comVisit source
- Reference 7NAPAVINTNERSnapavintners.comVisit source
- Reference 8WINESONOMAwinesonoma.orgVisit source