German Wines Hold Just 42% of Domestic Market as Producers Face Rising Costs and Imports

At a recent summit in the Rheingau region of Hesse, Germany’s eight wine-producing states agreed on a joint strategy to address the ongoing crisis in the country’s wine sector. The meeting, held at the historic Eberbach Monastery near Eltville, brought together state ministers responsible for viticulture from Rhineland-Palatinate, Baden-Württemberg, Bavaria, Saarland, Saxony, Saxony-Anhalt, Thuringia, and Hesse, as well as representatives from the Federal Ministry of Agriculture.

The summit was convened by Hesse’s Minister for Viticulture, Ingmar Jung. The main focus was to develop measures that would provide more stability for German wine producers. The group agreed on a policy paper that calls for stable regulatory conditions, reduced bureaucracy, stronger regional and quality branding, and greater visibility for German wines both domestically and internationally.

German wine producers are currently facing several challenges. Rising production costs, declining domestic consumption, overproduction, and increasing international competition have put significant pressure on the industry. According to Rhineland-Palatinate’s Minister for Viticulture, Daniela Schmitt, German wines currently hold only a 42 percent market share within Germany. The rest of the market is dominated by imported wines. Schmitt emphasized that this figure does not reflect the high quality of German wines, which she described as among the best in the world.

One of the key points discussed at the summit was how to make it easier for consumers to understand what they are buying. Schmitt stated that clearer labeling and information are needed so that buyers know what is inside each bottle and what taste profile to expect. She proposed focusing Germany’s traditional wine classification system—the Prädikat system—more closely on sweet wines in the future. This system currently divides wines into different quality levels based on factors such as grape ripeness at harvest.

Minister Jung also highlighted the importance of improving marketing efforts for German wines. He argued that better promotion would not only benefit winemakers but also help preserve the cultural landscapes of wine regions and support local tourism. Jung, who comes from a family of winemakers himself, said that raising awareness about German wine could have positive effects beyond just sales figures.

Looking ahead, Minister Schmitt pointed to the upcoming International Green Week in Berlin in January 2026 as an important opportunity to showcase German winemakers and their regions. She said that this event would be used to highlight both innovation in winemaking and the unique characteristics of Germany’s various wine-growing areas.

The summit marks the first time that all eight German wine-producing states have come together in this way to address shared concerns. The agreement reached is seen as a step toward coordinated action at both state and federal levels. The ministers hope that their joint approach will help secure a stronger future for German wine producers amid changing market conditions and growing global competition.