MENA: Wine Market 2023

Wine Market Size in MENA

In 2021, after three years of growth, there was decline in the MENA's wine market, when its value decreased by -0.7% to $X. The market value increased at an average annual rate of +2.1% over the period from 2012 to 2021; the trend pattern remained relatively stable, with only minor fluctuations being observed throughout the analyzed period. The level of consumption peaked at $X in 2020, and then dropped in the following year.

Wine Production in MENA

In value terms, wine production contracted modestly to $X in 2021 estimated in export price. The total output value increased at an average annual rate of +2.5% over the period from 2012 to 2021; the trend pattern remained relatively stable, with somewhat noticeable fluctuations throughout the analyzed period. The most prominent rate of growth was recorded in 2014 with an increase of 17% against the previous year. The level of production peaked at $X in 2020, and then contracted slightly in the following year.

Wine Exports

Exports in MENA

In 2021, approx. X litres of wine and grape must were exported in MENA; picking up by 37% compared with the year before. Overall, exports enjoyed prominent growth. The pace of growth was the most pronounced in 2019 when exports increased by 38%. As a result, the exports attained the peak of X litres. From 2020 to 2021, the growth of the exports failed to regain momentum.

In value terms, wine exports skyrocketed to $X in 2021. The total export value increased at an average annual rate of +4.6% from 2012 to 2021; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Over the period under review, the exports reached the peak figure at $X in 2019; however, from 2020 to 2021, the exports failed to regain momentum.

Exports by Country

Israel prevails in exports structure, resulting at X litres, which was approx. 83% of total exports in 2021. Turkey (X litres) ranks second in terms of the total exports with a 4.6% share, followed by Lebanon (4.6%). The United Arab Emirates (X litres) and Morocco (X litres) held a little share of total exports.

Israel was also the fastest-growing in terms of the wine and grape must exports, with a CAGR of +14.0% from 2012 to 2021. At the same time, the United Arab Emirates (+8.6%) and Lebanon (+4.3%) displayed positive paces of growth. By contrast, Turkey (-3.3%) and Morocco (-7.3%) illustrated a downward trend over the same period. Israel (+31 p.p.) significantly strengthened its position in terms of the total exports, while Lebanon, Turkey and Morocco saw its share reduced by -1.8%, -8.2% and -9% from 2012 to 2021, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Israel ($X) remains the largest wine supplier in MENA, comprising 58% of total exports. The second position in the ranking was taken by Lebanon ($X), with a 20% share of total exports. It was followed by the United Arab Emirates, with an 8.5% share.

From 2012 to 2021, the average annual rate of growth in terms of value in Israel totaled +8.5%. In the other countries, the average annual rates were as follows: Lebanon (+4.7% per year) and the United Arab Emirates (+7.2% per year).

Export Prices by Country

In 2021, the export price in MENA amounted to $X per litre, shrinking by -10.3% against the previous year. In general, the export price showed a pronounced setback. The most prominent rate of growth was recorded in 2020 an increase of 11% against the previous year. The level of export peaked at $X per litre in 2014; however, from 2015 to 2021, the export prices stood at a somewhat lower figure.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Lebanon ($X per litre), while Israel ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Turkey (+2.5%), while the other leaders experienced more modest paces of growth.

Wine Imports

Imports in MENA

In 2021, purchases abroad of wine and grape must was finally on the rise to reach X litres after two years of decline. Total imports indicated a remarkable increase from 2012 to 2021: its volume increased at an average annual rate of +6.2% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, imports reached the peak and are likely to continue growth in the immediate term.

In value terms, wine imports skyrocketed to $X in 2021. Total imports indicated a strong increase from 2012 to 2021: its value increased at an average annual rate of +6.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, imports attained the peak and are likely to continue growth in the immediate term.

Imports by Country

The United Arab Emirates was the largest importing country with an import of around X litres, which accounted for 38% of total imports. Algeria (X litres) held an 18% share (based on physical terms) of total imports, which put it in second place, followed by Israel (15%), Morocco (12%) and Lebanon (5.6%). Turkey (X litres) followed a long way behind the leaders.

Imports into the United Arab Emirates increased at an average annual rate of +5.8% from 2012 to 2021. At the same time, Algeria (+21.9%), Israel (+12.1%), Turkey (+10.7%) and Morocco (+6.5%) displayed positive paces of growth. Moreover, Algeria emerged as the fastest-growing importer imported in MENA, with a CAGR of +21.9% from 2012-2021. By contrast, Lebanon (-2.0%) illustrated a downward trend over the same period. While the share of Algeria (+13 p.p.) and Israel (+5.8 p.p.) increased significantly in terms of the total imports from 2012-2021, the share of Lebanon (-5.9 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the United Arab Emirates ($X) constitutes the largest market for imported wine and grape must in MENA, comprising 60% of total imports. The second position in the ranking was held by Israel ($X), with a 17% share of total imports. It was followed by Morocco, with a 5.6% share.

From 2012 to 2021, the average annual growth rate of value in the United Arab Emirates amounted to +7.3%. The remaining importing countries recorded the following average annual rates of imports growth: Israel (+13.3% per year) and Morocco (+7.1% per year).

Import Prices by Country

In 2021, the import price in MENA amounted to $X per litre, rising by 24% against the previous year. Over the period under review, the import price saw a relatively flat trend pattern. The level of import peaked at $X per litre in 2014; however, from 2015 to 2021, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major importing countries. In 2021, amid the top importers, the country with the highest price was the United Arab Emirates ($X per litre), while Lebanon ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by the United Arab Emirates (+1.4%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform

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