It was 2015 when the last report on the economic impact of the California wine industry was completed. A few months ago, the release of the National Economic Impact Study of the American Wine Industry provided us with a glimpse of California’s contribution. The shortcomings of that report are that it does not measure the impact of the California wine industry on other states. The release of the Economic Impact of California Wine this week provides us with a more complete picture.    

The California study was sponsored by the Wine Institute and the California Association of Winegrape Growers. The analysis and reporting were completed by John Dunham and Associates, an economic research firm that also released the National Economic Impact Study in September. The study measures the direct, indirect, and influential impact of the wine industry on jobs, wages, and tax revenue. The current study also reports on tourism spending and visits, as well as charitable contributions.

The research estimates the California wine industry generates around $73 billion annually for the state’s economy and $170.5 billion for the national economy. California wineries and vineyards generate 442,000 jobs in California and 1.1 billion jobs across the country. The report highlights the industry’s economic contribution to California, as well as its economic contribution to the 50 states.   

Here are several useful ways to use the report:

California’s Economic Contribution to Other States

The study provides an infographic map illustrating how California wine impacts the economies of all other states. For example, scrolling over Texas allows for a pop-up box with a summary of California wine’s annual impact on that particular state. At the bottom of the box, a one-page report on how the industry contributes to the Texas economy can be downloaded.

California Wine Economic Impact Map (Wine Institute, 2022)

Impact by Congressional and Legislative Districts

The report also provides a tool to determine how California’s wine industry impacts each of the state’s congressional and legislative districts. The tool allows for querying by the current Congressional District, State Assembly District, and State Senate District. Similar to the state reports, it provides a one-page summary.

Impact by California District (Wine Institute, 2022)

Highlights of the Economic Impact and Profile of California Wine

The analysis from the report has allowed for an update of two useful downloadable pages, including how California wine and wine grapes contribute to the state and national economy. These are convenient highlights for discussions, presentations and other forms of communication about the California wine industry.

The Economic Impact and Profile of California Wine (Wine Institute, 2022)

It’s important to note that the methodology of the report has more details of the results by sector and also explains the differences between the California and the National study.

An updated report on the economic impact of California’s wine industry on the state, as well as its economic contribution to each of the 50 states is a valuable resource for state legislators, regional associations, and wine industry professionals across the country.  

Categories: Reports