Popping open bottles of bubbly on Valentine's Day is going to cost more
Valentine's Day and wedding season just got more expensive.
Valentine's Day and wedding season just got more expensive
Valentine's Day is just under two weeks away and some gifts are going to cost more this year because of supply chain issues and a demand for more product.
Valentine's Day is just under two weeks away and some gifts are going to cost more this year.
Because of shipping issues and inflation, some items on the shopping list like sparkling wine are rising in price.
"As we see those costs increase, those are going to have to get passed on. So, I will anticipate you’re going to be paying more for your sparkling wine for the holiday seasons or wedding season coming up," Wine & Spirits Wholesalers of America SipSource Analyst Dale Stratton said.
Stratton said about 11 percent more sparkling wine was sold in 2021 compared to 2020, which could also be contributing to those rising costs.
Domaine Carneros CEO Remi Cohen said the company has had to source for supplies in different places due to shipping delays and shortages.
In Napa Valley California, producers of the bubbly have faced several challenges.
SUPPLY CHAIN BOTTLENECKS SOUR WINE INDUSTRY AMID BOTTLE SHORTAGE
"There have been some issues with the supply chain, mainly as it relates to packaging material – things that are paper, cardboard, and glass-related," Domaine Carneros, CEO Remi Cohen, said.
From production to popping open bottles, Domaine Carneros does it all, but the pandemic has created challenges for them.
"We have a lot of grit here; we are agricultural workers," Cohen said.
WITH MEAT PRICES RISING AGAIN, GROCERY CHAINS BUYING DIRECT FROM PRODUCERS
California produces a majority of the nation's wine. With recent drought, fires, and other extreme weather, some crops have been killed, leading to a lower yield.
Close to 81 percent of the nation's wine is produced in California, according to the Wine Institute.
"Our industry is based in agriculture, so we’re used to dealing with mother nature and the unexpected," Cohen said.
Cohen said that they haven't had to increase their prices yet, but the cost of production is on the rise.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Stratton said there's no shortage of sparkling wine, but prices are going up, and more people are buying it for everyday occasions.
The shortage could, however, come later since certain types of sparkling wine and champagne take years to age.