Iran Conflict Disrupts Italian Wine Exports

The conflict in Iran is blocking orders in about 20 markets worth roughly €80 million a year in wine exports and is adding new costs to an industry already under pressure, the Italian Wine Union said Thursday.

Lamberto Frescobaldi, the president of Unione Italiana Vini, said the disruption is already affecting markets in the Gulf and nearby countries and is creating a chain of problems that could spread through the sector. He spoke at the group’s national council meeting at Cantina Girlan in Cornaiano, in northern Italy.

“We are seeing the first direct damage caused by the Iranian conflict,” Frescobaldi said, according to the association’s statement. He said the stoppage of orders in roughly 20 markets adds up to annual export sales of about €80 million. He also warned of rising costs for dry materials such as glass, paper, cardboard, capsules and wire cages, along with higher transport expenses and weaker tourism and wine tourism.

According to UIV’s wine observatory, those added costs alone could raise the final price of a €4 bottle by between 10% and 20%. The group said wine companies would not be able to absorb those increases, especially after being forced to cut export list prices to the United States by an average of 11% in 2025 and by 13% in the first quarter of this year because of tariffs.

UIV said freight costs are already rising inside Italy and that international shipping rates are also climbing, with container prices estimated to increase by 20% to 50%. The association said it was not yet possible to measure the full risk from tourism losses or from broader inflationary or recessionary pressures.

Frescobaldi called on the Italian government and the European Union to move quickly on possible support measures for the wine sector, saying the industry is facing both current disruptions and future risks at a time when demand is already weakening.