Fortified Wine Market Size, Share, Growth, Trends, and Global Industry Analysis: By Product type (Sherry, Vermouth, Port, Others), Distribution Channel (On-Trade, Off-Trade) and By Region 2020-2031

Fortified Wine Market size was valued at US$ 16,700 million in 2024 and is expected to reach US$ 22,900 million by 2031, growing at a significant CAGR of 4.2% from 2025-2031. Moreover, the U.S. Fortified Wine Market is projected to grow significantly, reaching an estimated value of US$ 6.8 billion by 2031. The fortified wine industry includes the manufacture, marketing, and sale of wines that have been strengthened with distilled spirits, most commonly brandy, to boost their alcohol level and shelf life. These wines, which include sherry, port, vermouth, and Madeira, are known for their rich Flavors and adaptability in culinary and beverage applications, making them popular among both traditional and modern consumers.

The global fortified wine industry is steadily expanding, driven by increased interest in luxury alcoholic beverages and the growth of culinary tourism. Fortified wines are in high demand due to their wide flavour profiles and versatility in cocktails, cooking, and standalone consumption. Europe has a substantial market share since it is the birthplace of many fortified wine varietals, but the Asia-Pacific region is emerging as a prospective growth area because to increased urbanization and a growing taste for high-quality alcoholic beverages. Furthermore, innovative packaging and marketing methods aimed at younger consumers are altering the industry environment.

Facts & Figures

• As Europe maintains its market share due to the cultural significance of fortified wines in nations such as Spain and Italy.
• The worldwide population growth is a primary driver, with forecasts projecting that the population will reach 8.5 billion by 2031, increasing demand for fortified wine.
• The expanding trend of experimenting with new wine styles is driving up demand for fortified wines, including varietals and blends.
• Fortified wine cocktails are becoming increasingly popular, with more people trying them out at pubs and restaurants.

List of Instances

• In June 2022, Cuceilo, an Italian vermouth company, increased its product line with the launch of Dry Vermouth di Torino. This unique offering attempts to capture the essence of the "Golden Hour" and the Italian Aperitivo Culture, with crisp aromas of fresh Sicilian citrus and a delicate herbal bitterness. It was created primarily to enrich classic aperitif cocktails, such as the legendary Martini.
• In January 2021, E&J Gallo Winery acquired five wineries and more than 30 wine brands from Constellation Brands Inc. Well-known brands that were acquired included Arbor Mist, Black Box, Clos du Bois, Estancia, Franciscan, Hogue, Manischewitz, Mark West, Ravenswood, Taylor, Vendange, and Wild Horse

Key Developments:

• In February 2024, Sokol Blosser Winery, a renowned family-owned business, introduced its first collection of aperitif wines, which are currently available for purchase online and at the Tasting Room. The collection contains two new aperitifs, one red and one white, created by Nik Sokol Blosser, the brother of board members Alex and Alison Sokol Blosser and an avid cocktail fan.
• In December 2023, the Uttar Pradesh government increased the charge on fortified wines under the new Excise Policy for 2025-25. On December 19, the state cabinet amended the UP-Winery Rules, adding three new wine categories: apple cider, Perry (pear cider), and Shelly. These modifications were scheduled to take effect on April 1, 2025. Meanwhile, the Delhi government plans to finalize its liquor excise policy for the same time by August 2025.

Fortified Wine Market Segmentation:

Based on the product type:

• Sherry
• Vermouth
• Port
• Others

The port wine segment prevails the fortified wine industry, owing to its long past, worldwide recognition, and growing consumer desire for premium, full-bodied wines. Port wine, which originated in Portugal, has long been linked with elegance and tradition, making it a popular option among wine aficionados and casual consumers alike. Port's popularity stems partly from its adaptability, which allows it to be enjoyed in a variety of ways, from dessert wine to an ingredient in cocktails. Its capacity to provide a deep, nuanced flavour profile while maintaining a higher alcohol concentration has established it as a major participant in the market. Furthermore, rising demand for premium and aged wines has accelerated the expansion of the port wine market.

Based on the distribution channel:

• On-Trade
• Off-Trade
  • Supermarkets/ Hypermarkets
  • Liquor Stores
  • Others

The off-trade distribution channel, notably supermarkets and hypermarkets, is the major player in the market, owing to the vast availability and convenience these retail stores provide. Supermarkets and hypermarkets are the key entry channels for a vast number of consumers, offering a broad selection of fortified wine selections from various locations and price points. The convenience of one-stop purchasing and the ability to browse a diverse assortment of fortified wines have substantially aided the growth of this distribution channel. Furthermore, the growing trend of premiumization, in which consumers are willing to pay more for high-quality and artisanal items, has boosted demand for fortified wines in supermarkets and hypermarkets.