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Warming up to wine

January 25, 2026

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Financial Express Hyderabad

Amid increasing climate uncertainty, India is ensuring that the next chapter of its wine story is shaped as much by resilience and innovation as by its terroir

- MITALI

WINE HAS LONG been regarded as a mirror of its environment. From the slopes of Mendoza to the hills of Tuscany, every bottle reflects not only grape variety and tradition, but also the influence of climate, soil and season.

These elements together form terroir—the distinctive character of a wine shaped by its natural surroundings.

For centuries, this balance remained relatively stable. Today, that equilibrium is being disrupted. Rising temperatures, erratic rainfall and extreme weather events are altering growing cycles and harvest patterns. In 2025, global wine production was estimated at around 232 million hectolitres (mhl), a modest 3% increase from the historically low 2024 harvest, but still about 7% below the five-year average. Behind these numbers lies the deeper structural shift—climate change is beginning to reshape how, where and what kind of wine the world produces.

While traditional wine regions grapple with these changes, emerging producers like India face an even more complex challenge—growing a young industry amid increasing climatic uncertainty.

Changing perception

Wine and India were not always natural companions. For decades, wine remained a niche indulgence, largely confined to luxury hotels, expatriate circles and special occasions. That perception has changed dramatically over the past 15 years.

Today, nearly 10 million Indians consume wine regularly. In 2022 alone, India drank approximately 38 million litres of wine, signalling a steady expansion of the category. "India's wine industry is on a strong growth path. Demand is expanding beyond metros, and Tier II and III cities are increasingly adopting wine for social, dining and celebratory occasions," says Gorakh Gaikwad, chief operating officer and chief winemaker at Sula Vineyards.

Sula's growth mirrors the industry's trajectory.

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