Business & Real Estate

Wine grapes’ value in Sacramento County dropped nearly 20% in latest crop report

Wine grapes remained Sacramento County’s top agricultural product in 2024, but their value dropped sharply, contributing to the county’s largest decline in overall crop value in nearly two decades.

The county’s annual Crop and Livestock Report showed an 8% decrease in total agricultural production value, down to $536 million — the steepest year-over-year drop in 18 years. Much of that loss came from the wine grape industry.

Wine grapes led the county’s commodities by a wide margin, valued at nearly $168 million. But that figure marked an 18% decline from 2023, when the crop brought in more than $204 million.

According to Sacramento County Agricultural Commissioner Chris Flores, lower yields and reduced prices per ton drove the decline. Wine grapes fetched about $60 less per ton in 2024 than the previous year.

Flores said much of the downturn stems from shifting alcohol consumption trends, particularly among younger consumers.

“The younger people are drinking different spirits, they’re not drinking wine like they used to,” she said.

As a result, growers left grapes unharvested, pulled out vineyards, and lost contracts with wineries that reduced production. Flores said values are expected to fall further in 2025 if alcohol consumption continues to decline.

Milk products returned to the county’s second-highest spot in 2024, rebounding after falling behind pears the year prior. With federal milk prices recovering, production reached over $51 million, compared to just under $50 million for pears.

Poultry — primarily turkeys but including chickens — declined about $1.8 million, or 5%, but still climbed to the No. 4 spot as nursery stock and processed tomato values fell.

Aquaculture — which includes fish like bass, carp and crayfish, as well as sturgeon and its caviar — was the fifth-largest commodity. In 2024, its value jumped 13%, totaling $29 million.

Rounding out the top 10 in the county were nursery stock, cattle, rice, almonds, and cherries.

In her report, Flores highlighted four crops with significant gains: walnuts jumped 55%, ryegrass rose 50%, almonds increased 42%, and corn for grain grew 37%. She noted that nut crops, especially walnuts and almonds, are being planted more frequently and show steady growth.

Despite the 2024 slump, Flores said the county’s agriculture sector faces both challenges and opportunities every year.

“Agriculture continues to be a cornerstone of our local economy and plays a major role in preserving the county’s rural character,” she said.

Related Stories from Sacramento Bee
Camila Pedrosa
The Sacramento Bee
Camila Pedrosa is the California Diversions Reporter at The Sacramento Bee. She previously worked on The Bee’s service journalism team and was a summer reporting intern for The Bee in 2024. She graduated from Arizona State University with a master’s degree in mass communication.
Get one year of unlimited digital access for $159.99
#ReadLocal

Only 44¢ per day

SUBSCRIBE NOW