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French Wine Cooperatives Weigh Mergers as Harvest Looms With Empty Coffers

Depleted treasuries plus unsold stock push about 100 cooperatives toward consolidation pending a €10 million government aid package.

Des fûts en bois stockés à la Cave Coopérative Viticole de Leucate, dans l'Aude, le 25 septembre 2024

Overview

  • French cooperatives account for half of national wine production and represent nearly 60 percent of winegrowers, but four years of climate shocks have drained their cash reserves.
  • High inventories from a normal 2025 harvest have left cooperatives struggling to cover fixed costs due to a demand shortfall.
  • The industry union reports roughly 100 cooperatives are considering mergers, fusions or cost-sharing arrangements to stay afloat.
  • Agriculture Minister Annie Genevard pledged €10 million for restructuring at the July 3 congress, with a sector meeting on July 8 to define detailed support measures.
  • Long-term trends such as declining domestic consumption and looming U.S. tariff threats compound financial pressures on cooperatives.