Cyprus wine industry faces severe decline due to drought and disease threatening future production
Cyprus viticulture is experiencing a critical downturn marked by reduced grape production and severe damage from prolonged drought, heatwaves, and downy mildew outbreaks. Recent data reveals a sharp drop in grape intake by wineries, with levels falling below the decade average of 14.5 million kilos for three consecutive years (2023-2025). This decline constrains wineries, some of which are operating at less than 50% capacity, raising concerns about the industry's future viability.
Despite the sector's growth over recent decades in both quality and scale, socio-economic challenges such as an aging rural workforce and shifting youth demographics aggravate the crisis. Major wineries in Paphos and Limassol report devastating losses due to widespread mildew infections, prompting fears of rising production costs and layoffs without state intervention.
The government views supporting the wine sector as a priority and has allocated approximately €22 million through the Common Agricultural Policy for 2023–2027. Targeted aid programs are in place to assist growers facing significant production losses, with damage declarations closing by September 2026 and financial support planned for disbursement within the same year.
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