Oregon Wine Industry Economic Impact Rises to $8.49 Billion Despite Slower Growth

The Oregon wine industry continues to play a significant role in the state’s economy, according to the 2024 Oregon Wine Economic Impact Report released by the Oregon Wine Board on February 26. The report found that in 2024, the combined economic impact of Oregon’s wine and grape industries reached $8.49 billion, marking a 3.8% increase since the previous report in 2022. This growth, while positive, is slower than the nearly 13% increase recorded between 2019 and 2022.

Industry leaders say the sector’s influence extends across Oregon, supporting jobs in vineyards, wineries, and related businesses, as well as driving tourism revenue in communities statewide. Gina Bianco, executive director of the Oregon Wine Board, said in a statement that despite ongoing challenges in the global wine market, Oregon wine continues to make tangible and positive contributions to the state’s economy.

The report identified several headwinds facing the industry. These include a decline in consumer demand for wine, uncertainty over tariffs and immigration enforcement, and increased costs for both businesses and households. The lingering effects of the COVID-19 pandemic and recent wildfires have also impacted production and tourism patterns. Travel to Oregon’s wine regions has shifted, with visitors making fewer trips and spending less per visit compared to previous years.

Despite these challenges, wine grapes remained Oregon’s most valuable fruit crop in 2024, with a total value of $329 million. Wages and salaries supported by the wine industry rose by 2.8% to $1.75 billion. However, the number of jobs supported by the sector fell by 3.4%, with approximately 38,100 positions reported in 2024.

Tourism remains closely linked to the success of Oregon’s wine industry. The report highlighted that wine-related tourism generated nearly $861 million in statewide revenues last year through lodging, dining, and other activities not including tasting room sales—a 13.5% increase from 2022. More than 9,100 jobs and $329 million in wages were attributed to wine-supported tourism.

Data from Travel Oregon showed that 18.8% of out-of-state travelers visited wineries during their trips in 2024, up from 14.3% two years earlier. However, average visitation at tasting rooms across the state decreased by 5%. Industry analysts say attracting younger and more mobile consumers will be key for future growth.

In terms of production, planted vineyard acreage increased by 6.4% to about 47,350 acres in 2024. Of this total, only around 37,200 acres were harvested—nearly 1,600 fewer than in 2022—as some growers left grapes unpicked due to market conditions or quality concerns. Total grape production dropped by 5.3% to approximately 129,740 tons.

The median price for Oregon wine grapes rose nearly 4.8% to $2,465 per ton in 2024. Pinot noir remained the most harvested variety, followed by Chardonnay and Pinot gris. Red grape varieties continued to command higher prices compared to white varieties.

Industry experts say that while growth has slowed compared to previous years, Oregon’s wine sector remains a vital part of the state’s agricultural and tourism economies. The report suggests that continued investment in marketing and efforts to attract new visitors will be important as wineries adapt to changing consumer preferences and global market pressures.