Austrian Wine Industry Adds €3.8 Billion to Economy and Supports 68,000 Jobs in 2023

A new report released by the Economica Institute of Economic Research has revealed that Austrian wine production contributed €3.8 billion in gross added value to the country’s economy in 2023. The study, commissioned by the Austrian Wine Marketing Board, highlights the broad economic impact of the wine sector, which extends well beyond the vineyards and cellars.

The findings show that wine accounts for 0.9% of Austria’s total economic output. The hospitality sector is the largest beneficiary, with €1.5 billion in value added attributed to Austrian wine. Agriculture follows, with €390 million, representing 7.5% of Austria’s total agricultural output. Wholesale trade also saw a significant boost, with €353 million in added value linked to wine.

Employment figures from the report indicate that the wine industry supports 68,000 jobs across Austria, both directly and indirectly. This places it among the country’s most significant industries, alongside sectors like metal manufacturing.

Tourism is another area where wine plays a key role. The study found that 5% of holidaymakers in Austria last year participated in wine-related activities, spending 18% more than the average visitor. This increased spending benefits local economies and supports rural communities where many wineries are located.

Tax revenues generated by the wine industry are also substantial. In 2023, taxes and levies related to wine totaled €1.2 billion, with €403 million going to the federal government and additional sums distributed to state governments.

Industry leaders are using these findings to call for greater recognition and support from policymakers. Chris Yorke, CEO of the Austrian Wine Marketing Board, emphasized that wine is at the center of a complex economic ecosystem involving not only wineries but also tourism, retail, and catering businesses.

Johannes Schmuckenschlager, Chairman of the Austrian Winegrowers Association, pointed out that viticulture is more than just agriculture; it is a vital economic and social force that enhances the appeal of many regions. He noted that more than 10,000 wineries operate in Austria, with 95% being family-run businesses.

The report focused on four key wine-producing states: Niederösterreich, Burgenland, Wien, and Steiermark. These regions benefit significantly from increased activity in retail trade, hospitality, and tourism linked to wine production.

Despite these positive impacts, there are concerns about the vulnerability of smaller producers in a competitive global market. Industry representatives argue that targeted government support is needed to help these businesses cope with challenges such as declining consumption, rising competition, and high production costs.

Schmuckenschlager hopes that the report will encourage politicians to work more closely with growers and winemakers by providing strategic investment and support. He called for the federal government to resume financial contributions to the Austrian Wine Marketing Board, similar to those made by leading wine-producing states.

Yorke echoed this sentiment, stressing that continued investment is essential for maintaining both the quality and future prospects of Austrian wine producers. The industry’s leaders believe that recognizing and supporting their work will help secure jobs and sustain rural communities across Austria.