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

A new report from 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 report shows 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 the nation’s total agricultural output. The wholesale trade sector also saw a significant boost, with €353 million in added value.

Employment is another area where the wine industry has a notable effect. The report estimates that 68,000 jobs are directly or indirectly linked to wine production and related activities. This places the sector among Austria’s major employers, alongside industries such as metal manufacturing.

Tourism is closely tied to the wine industry’s success. In 2023, 5% of holidaymakers in Austria participated in wine-related activities, spending 18% more than the average visitor. This influx of tourism revenue benefits not only local businesses but also the broader economy through increased tax receipts. The study found that taxes and levies generated by the wine sector totaled €1.2 billion, with the federal government receiving €403 million and state governments also seeing substantial returns.

Industry leaders are using the findings to call for greater government support. Chris Yorke, CEO of the Austrian Wine Marketing Board, emphasized the importance of recognizing the full economic ecosystem surrounding wine, which includes not just wineries but also tourism, retail, and catering. He noted that many regions rely on viticulture as their main source of economic activity, especially in the states of Niederösterreich, Burgenland, Wien, and Steiermark.

Johannes Schmuckenschlager, Chairman of the Austrian Winegrowers Association, pointed out that more than 10,000 wineries operate in Austria, with 95% being family-run businesses. He stressed that these small producers are vital to rural economies and regional identity but face challenges from global competition and rising production costs.

The report’s authors and industry representatives hope that the documented economic benefits will encourage policymakers to provide targeted support and investment. They argue that such measures are necessary to help the sector navigate declining consumption trends and increased international competition.

Professor Christian Helmenstein, CEO of Economica, described the wine industry as an “economic and social lifeline” for many regions. He and other stakeholders are urging the federal government to resume financial contributions to the Austrian Wine Marketing Board, similar to those made by key wine-producing states.

The study’s release comes at a time when Austrian wine continues to gain international recognition for quality. Industry leaders believe that strategic investment is needed to ensure that this success translates into long-term economic stability for producers and their communities.