Enter a prestigious, elegant and profitable industry… the world of grape growing. If you’re going to start growing grapes, you need the best grape growing information you can find to help you profit from the distribution of them.
Here’s a high level overview of the market and opportunity for the entrepreneurial grape grower.
There are 3 markets or distribution channels within the grape growing industry.
1) The Production of Red, White and Blush Wines
Of all the grapes grown in the world, about 99.2% of them are produced for making wine. In the United States, seventy-one percent of grapes grown are produced to make wines.
This is important as it gives us a mental picture on the size of the market, because if you decide to start growing grapes yourself, you’ll need to know where exactly where distribute them for the highest profit.
One of your first distribution channels may be wineries or other facilities that process grapes. If you don’t plan to market your grapes for this purpose, you will probably distribute them to the other 27% of the market, which are grocery stores and the like…
2) Distributed for Direct Consumption
Grapes sold for the purpose of direct consumption are known as table grapes.
Table grapes sold to this market make up the second largest distribution channel in the U.S.. With the ever-growing reports of the health effects of the skin of red grapes, this market continues to grow and remain lucrative.
3) Dried or Dry Fruit Market
The last distribution channel for your crop, is the industry that captures 2% of the market. This market is for grapes that are produced for making dried fruits… ie) raisins.
Distributed in stand-alone packages or added to fruit boxes and cereal mixes, this market is slowly growing as the diversification of the product being distributed is being used for multiple purposes.
Yet, if you wish profit from the largest market, you’ll find yourself contacting local and possibly international wineries for the distribution of your crop. But don’t forget, not all wineries are created equal. Some may have a more selective acquisition process which may leave you with a portion of your crop unsold. To squeeze out every dollar you can, you may find it advantageous to acquire multiple contacts in all three markets and use the “trickle down” effect… if you crop gets passed from one channel, to the next.
Either way, there’s always room for your crop to be acquired, even if they don’t pass for Wine quality, but given the market for dried grapes is only 2%, you’ll want to make every effort to grow the most healthy grapes you can from the start.
If you decide to start your own small vineyard to grow grapes, your chances of success are very good, as there are many varieties of grape species that thrive in many climates.
With thousands of vineyards across the world, don’t think you’ll be discounted from distribution because you start the grape growing process in your own backyard. On the contrary, many large vineyard owners started out small and simply grew because they produced a fantastic product that grew in demand. Growing grapes is not that difficult. You just need the knowledge and the desire to succeed.
For the latest grape growing information on producing the healthiest grapes, visit our website below.