“The narrative of excess production is completely wrong, what there is an excess supply [of wine]”, stated João Rebelo, a researcher at the University of Trás-os-Montes and Alto Douro (UTAD), who mentioned that this supply results from the production and import of wine, which has increased in recent years.

This is one of the conclusions of the study “Competitiveness and sustainability of Douro and Port wines. What strategy?”, developed by João Rebelo, Alberto Baptista, and Sofia Gouveia.

The work, presented in Vila Real, comes at a time when the Douro is struggling with falling sales, with excess wine stock and complaints from winemakers about the low selling price of grapes and the increase in production costs.

“I would say that, in the Douro, there is no excess production, there is an excess supply, there is an imbalance in the market and there will need to be an intervention that rebalances the market”, reinforced João Rebelo, who has been studying the demarcated region for 40 years.

In 2023, Portugal imported 2.97 million hectoliters (43.8% of national production), an increase of 64% compared to 2016. In 2023, 96% of imported wine originated in Spain.

“I agree that the Government should engage in monitoring activities, without intervening too directly in the market, in order to make the origin of wines clear to consumers,” he argued.

And he also listed “some inability to adapt the product to the market”, as there were changes in the habits of consumers who are looking for lighter and fresher wines (whites, rosés, and sparkling wines), to the detriment of wines with higher alcohol content and sweeter ones (Port wine).

This change, he argued, challenges the Douro to adjust the type of wines it produces.

Taking as a starting point the study “Strategic Direction for the Port and Douro Wine Sector”, commissioned by the Douro and Port Wine Institute (IVDP) to UTAD in 2017, the new work addresses problems that have worsened in these seven years in which the Covid-19 pandemic, Brexit, the war in Ukraine and rising inflation have occurred.

The initiative came from the local delegation of the Association for Economic and Social Development (SEDES), the League of Friends of Douro World Heritage, and the Casa de Mateus Foundation.

“The phenomenon that currently most influences wine consumption is the fall in real family income due to the effect of inflation”, highlighted João Rebelo.

Regarding the region's regulatory model, based on the public institute IVDP, he defended the "almost immediate" transition to a regional wine commission (CVR) model.

Although it does not depend on the State Budget and has its own revenue, the IVDP needs prior authorization to incur expenses.

Industry agents interviewed in the study pointed out measures that include crisis distillation (exceptional measure), support for storage, green harvesting, treasury support, and even additional support for winegrowers with low-productivity vineyards.

Regarding the production of wine spirit from wines from the region, the work states that "this measure cannot generate the wrong signal of widespread production for distillation into wine spirit" and "cannot imply an increase in the cost of producing Port wine, worsening the recession of the product".

"It is not the solution for the Douro, although it can contribute to mitigating problems", defended João Rebelo.

Finally, he said he will propose that the measures identified in the work be forwarded to the respective ministries.