Spain’s wine cooperatives pivot to new markets after domestic consumption falls 8.3%

Spanish wine cooperatives are looking for new export destinations, new product categories, and more tourism-linked sales channels as wine demand weakens at home and abroad.

At an industry meeting held on Wednesday, November 4, in Cariñena, near Zaragoza, Cooperativas Agro-alimentarias de España said its member wineries are facing a market shaped by lower wine consumption, changing consumer tastes, and tougher international sales conditions. The group said diversification, innovation, and a broader commercial reach are becoming central to how cooperatives plan for the next few years.

The organization estimates Spain will produce about 34 million hectoliters of wine and grape must in the 2026/27 campaign. If that figure is confirmed, it would mark a fourth straight campaign below 37 million hectoliters. The harvest came unusually early after repeated heat waves reduced vineyard yields, although the group said grape quality was strong.

Demand trends are adding pressure to the supply picture. According to data presented at the gathering, Spanish wine consumption fell 8.3% in the 12 months through August 2026, while exports in the previous campaign dropped 9.4% by volume. For a country that ranks among the world’s largest wine producers and exporters, the slowdown is pushing producers to rethink both what they sell and where they sell it. That shift could have broader effects across the beverage business, where weaker wine demand may increase competition for shelf space, consumer attention, and distribution in both domestic and foreign markets.

Fernando Ezquerro, president of the wine sector council at Cooperativas Agro-alimentarias de España, said one opportunity lies in Spain’s tourism industry. Spain receives close to 100 million international visitors each year, and the group argues many travelers are still unaware they are visiting one of the world’s leading wine-producing countries. The strategy discussed in Cariñena centers on linking wine more closely to Spain’s tourism and food offerings so that visitors encounter local wines during their trips and continue buying them after returning home.

The event also focused on younger consumers, a group the sector sees as critical to long-term demand. Organizers said wine producers need to present wine not only as an agricultural product but also as part of Spain’s culture, history, and rural economy. Wine tourism was presented as one of the main tools for building that connection, especially as many producing regions look for new ways to support local businesses and jobs.

Another major theme was product diversification. One session examined the development of “San Valero 0.0,” a project involving Destilerías San Valero and BevZero that is aimed at alcohol-free wine. Speakers at the event said de-alcoholized wine is not intended to replace traditional wine, but to expand the range of drinking occasions and reach consumers who want alternatives with little or no alcohol. That includes younger adults and regular wine drinkers who may choose not to consume alcohol at certain times.

The market data cited at the meeting suggest that category is growing. Spending on low-alcohol wines rose 35.2% over the last year, while consumption by volume increased 27.4%, according to figures presented by the organizers. In a market where many traditional wine products are struggling to grow, cooperatives see no- and low-alcohol offerings as one of the few areas with room for expansion. That matters beyond wineries themselves because changing consumer behavior is also reshaping investment and product development across beer, spirits, and other beverage segments that are pursuing moderation trends.

International expansion was another focus. Susana García, director of the Interprofessional Wine Organization of Spain, or OIVE, told attendees that global wine consumption has fallen to levels not seen in six decades and that international trade has also weakened. Even so, she pointed to some markets with potential for Spanish producers, including Sweden, Switzerland, and Brazil. Brazil was described as especially relevant because of the possible commercial impact of the European Union-Mercosur agreement.

Organizers also highlighted the need to differentiate Spanish wines in a more competitive global market. As one example, participants reviewed the strategy of Castell d’Or, a cooperative project that has emphasized internationalization, diversification, and higher-value positioning in response to pressures in the cava segment.

Policy risk was also on the agenda. Representatives discussed the future of the European Union’s Common Agricultural Policy for 2028-2034 and what changes in governance and financing could mean for wine producers. Alejandro Lorca, deputy director general for fruit, vegetables, and wine at Spain’s Agriculture Ministry, addressed the transition period and the need to preserve support tools for the sector. For cooperatives, the stakes include investment capacity, farm adaptation, continued vineyard activity, and the competitiveness of wineries.

Cooperativas Agro-alimentarias de España said it represents 398 cooperative wineries that account for about 70% of national wine production. That scale gives the group a central role in many rural wine regions, where wineries support farm income, employment, and local population levels. The debate in Cariñena reflected a sector trying to respond to weaker consumption and exports not with one measure, but with a broader commercial reset that includes new products, new buyers, and a stronger link between wine, tourism, and regional identity.