Extreme cold event in BC causes near-total crop failure, Canada

The British Columbia wine industry is bracing for unprecedented crop losses due to an extreme cold event in January 2024, with preliminary estimates forecasting a production decrease of 97 – 99%, resulting in industry-wide revenue losses between $440 – 445 million.

Summary of impacts:

• 97 – 99% decrease in grape and wine production
• $440 – 445 million decrease in vineyard, winery, & supplier revenues

Between January 11 and 15, British Columbia’s wine regions experienced severe cold temperatures, dipping below -20 °C (-4 °F), particularly in the Okanagan Valley, where the cold persisted for over 50 cumulative hours. This event, following a relatively mild early winter, has caused extensive damage to grapevines, surpassing the effects of a similar cold event in December 2022.

The BC Wine Grape Council conducted thorough bud dissection tests on samples from 32 grape varieties across 9 regions, revealing extensive damage to primary and secondary buds. This damage renders typical pruning practices ineffective against the expected severe crop losses.

This year’s cold event is anticipated to be more destructive than last year’s, which already reduced grape and wine production by 58%. The current situation suggests an almost total loss of the 2024 vintage, with only 1 – 3% of typical yields expected, primarily from unaffected areas like the Fraser Valley and Vancouver Island.

As a result, the production of 100% BC grapes and wine will see a drastic reduction, impacting the availability of local wine in retail, hospitality channels, and wine club subscriptions.

The financial toll on BC’s wine industry is substantial, with vineyards and wineries facing revenue losses between $340 – 346 million. Additional revenue losses of $97 – 99 million are expected along the supply chain, totaling an estimated $440 – 445 million in losses to the BC wine industry.

These figures are based on an economic impact assessment adjusted for industry growth since 2019, indicating the industry’s revenue-generating capacity was around $453 million before the cold event.

The long-term effects on grapevine health and the need for replanting pose further challenges, requiring significant investment to rebuild the agricultural foundation of the industry.

References:

¹ Anticipated Impact of January 2024 Cold Event on BC Wine Industry – CASCADIA Partners and Wines of British Columbia – February 2024

Featured image credit: CASCADIA Partners