The cost of grapes in Ukraine in 2026 remained roughly at the same level as last season, despite a significant increase in the cost of fertilizers, plant protection products, fuel, and logistics, which is leading to a decline in the profitability of grape-growing operations.
Tetyana Shmaglyuchenko, head of the company “VIN’S,” discussed this in an interview with the agricultural publication SEEDS.
According to her, prices for most grape varieties have essentially remained at last year’s levels. Only a few large rosé varieties have become slightly more expensive. At the same time, production costs have increased significantly.
Producers cite rising costs of mineral fertilizers, vine protection products, and fuel as the main factors. Logistics have added to the burden, especially for farms in Bessarabia, where transportation costs have risen due to infrastructure damage and restrictions on traditional routes.
The situation is further complicated by a decline in the harvest. According to producers’ estimates, the gross grape harvest at some farms this season could be 20–30% lower than last year. Winter frosts and a cold spring have negatively affected yields.
The war is also directly affecting vineyards in southern Ukraine. Some vineyards have sustained damage as a result of hostilities, falling drone debris, and other war-related factors.
The combination of virtually unchanged selling prices, rising production costs, and reduced harvests is forcing producers to seek additional sources of income.
One such avenue is the further processing of grapes. Farms are investing in the production of fruit leather, raisins, and other products with higher added value, and are using infrared dryers and vacuum equipment to process fruit puree.
Another trend is cooperation with producers of other fruits. This allows for the production of combined products using local peaches, plums, and other raw materials.
Producers are also investing in energy self-sufficiency. In particular, solar power plants are used to power wells and irrigation systems, which helps to partially reduce dependence on external energy supplies.
At the same time, some farms are considering a shift from selling fresh grapes to winemaking. With grant support from the FAO, technical grape varieties are being planted that can later be used for wine production.
Thus, for Ukrainian viticulture in 2026, the key challenge will be not so much a lack of demand for products as the gap between the selling price and the cost of production. Under these conditions, processing allows farms to derive greater added value from their own raw materials while simultaneously maintaining production capacity and preserving employment for workers after the harvest season ends.
Viticulture remains one of the most labor-intensive sectors of horticulture in Ukraine. Most commercial grape production is concentrated in the southern regions of the country and in Zakarpattia, and a significant portion of the industry has been directly affected by the full-scale war.
Source: SEEDS.
The Ukrainian Corporation for Viticulture and Winemaking “Ukrvinprom” and the state-owned “Ukrgasbank” have signed a cooperation agreement aimed at supporting the development of the Ukrainian wine industry, implementing joint projects, developing wine tourism, and introducing modern financial instruments for companies in the industry, the corporation reported.
As Ukrvinprom CEO Volodymyr Kucherenko stated in a comment to Interfax-Ukraine, the goal of the agreement is to create opportunities for further cooperation and provide winemakers with access to the bank’s financial instruments.
The agreement does not specify a fixed amount of funding. Industry enterprises will have access to the bank’s financial instruments as needed and within the framework of specific projects, in accordance with the terms of the bank’s programs.
“It is important to us that this particular agreement opens up an additional tool to support our winemakers and industry enterprises. You will see concrete results in certain areas of this cooperation, I think, in the very near future—even before the end of this year,” he said.
According to Kucherenko, the collaboration will also encompass the development of wine tourism and the preservation of Ukraine’s winemaking cultural heritage.
“We see the need to revive, preserve, study, and restore the so-called Mazepa Wine Cellar. We also see other areas that we are currently exploring. We hope that with the help of ‘Ukrgasbank’ and other patrons, we will be able to revive our Ukrainian winemaking heritage. And not only revive and preserve it, but also build upon the achievements of our winemakers,” Kucherenko noted.
He added that “Ukrvinprom” is open to cooperation with all market participants. In the first phase, the corporation plans to help its members gain access to special programs developed jointly with the bank, as well as to inform market participants about available opportunities.
The agreement was signed on September 18 during the 5th International Forum “Ukrainian Wine—Part of the World’s Cultural Heritage: From Trypillia to the Present Day” in Kyiv. One of the forum’s topics was financing opportunities for investments in winemaking and wine tourism.
Ukrainian local and craft wineries can expand their presence in national retail chains, but to do so, producers must meet retailers’ requirements regarding quality, safety, documentation, and supply stability.
This was discussed during the National Roundtable “Local Grape Varieties: Heritage, Sustainability, and Rural Development,” organized by the Public Association “UKRSADVINPROM” to mark the 10th anniversary of the Association’s activities.
Olena Gordon, a representative of the “Ukraine Food Retail Alliance” (UFRA)—which includes leading Ukrainian food retail chains such as ATB-Market, Silpo, VARUS, NOVUS, and KOLO—noted that local producers can enter retail chains provided they meet standards and are ready to scale up production.
For Ukrainian winemakers, this means that having a high-quality product is no longer the only requirement for increasing sales through retail channels. Retail chains expect suppliers to provide stable shipments, a clear quality control system, production traceability, the necessary certifications, regulatory approvals, and a willingness to work within a long-term partnership framework.
Roundtable participants noted that retailers’ interest in craft wineries and local producers is growing amid rising demand for Ukrainian products. In the context of the war, supporting domestic producers is viewed not only as a consumer choice but also as a key element of the country’s economic resilience.
For the producers themselves, collaboration with retail chains can be a crucial step in scaling their businesses. A presence on the shelves of national retailers boosts brand recognition, expands access to consumers, and helps foster a culture of Ukrainian wine consumption.
At the same time, participants in the discussion emphasized that craft winemaking requires a distinct approach. Small producers cannot always operate according to the logic of mass industrial production; therefore, flexible collaboration models, professional support, assistance with certification, and clear rules for market entry are essential for the segment’s development.
The HoReCa sector and wine tourism could serve as additional channels for promoting Ukrainian wine. Restaurants, tasting events, festivals, and wine tours provide opportunities to introduce consumers to local grape varieties, create an emotional connection with producers, and gradually build demand that can subsequently support retail sales.
The roundtable also noted that the development of local grape varieties could become part of a broader strategy for promoting Ukrainian wine. Volodymyr Pechko, Chairman of the “UKRSADVINPROM” Public Association, emphasized that Ukraine needs to more actively showcase its own varieties and build a wine identity around them. In particular, “Odesa Black” and “Sukholimansky” were cited as flagship varieties of Ukrainian breeding.
For retailers, local varieties could become a distinct competitive niche, as they allow retailers to offer customers not just Ukrainian wine, but a product with provenance, history, and regional identity. This approach could boost interest in Ukrainian wines both in the domestic market and, in the long term, in export markets.
Participants in the event also emphasized the need to create a Vineyard Register and conduct a comprehensive inventory of vineyards in accordance with EU approaches. This is important for the sector’s transparency, the development of geographical indications, Ukraine’s integration into the European system of support for viticulture, and the future use of EU financial instruments.
The “UKRSADVINPROM” General Association is an industry association operating in the fields of horticulture, viticulture, and winemaking. The organization brings together market participants, takes part in industry discussions, promotes the interests of Ukrainian producers, and supports the development of high-value-added products. In 2026, the Association celebrated its 10th anniversary.
craft wine, local producer, RETAIL, UKRSADVINPROM, WINEMAKING, ПЕЧКО
The development of local grape varieties in Ukraine is already moving from the level of professional discussion to practical implementation and is becoming one of the key areas for enhancing the competitiveness of Ukrainian winemaking, building regional brands, and promoting high-value-added products in domestic and international markets.
This was discussed during the National Roundtable “Local Grape Varieties: Heritage, Sustainability, and Rural Development,” organized by the UKRSADVINPROM Association to mark the 10th anniversary of the Association’s activities.
Participants in the event noted that local grape varieties are already becoming for Ukrainian producers not only an agricultural resource but also an element of cultural heritage, regional identity, and the future export specialization of Ukrainian winemaking. It is precisely around these varieties that the new identity of Ukrainian wine is taking shape—with its own history, origin, taste, and distinctiveness.
Volodymyr Pechko, Chairman of the “UKRSADVINPROM” Public Association, emphasized that Ukrainian winemaking already has its own foundation for development, and this foundation is linked to the promotion of domestic grape varieties. According to him, the flagship and ambassadorial varieties of Ukrainian wine could be, first and foremost, “Odesa Black” and “Sukholymansky,” which reflect Ukrainian breeding, authenticity, and the country’s wine identity.
Special attention was given to the creation of a Vineyard Register and the conduct of a comprehensive inventory of vineyards in accordance with EU approaches. This work is intended to serve as a practical foundation for Ukraine’s further integration into the European system of support for viticulture and winemaking, as well as for the potential use of EU financial instruments following the country’s accession to the European Union.
Pechko also reported that approximately 10,000 hectares are currently under vineyards in Ukraine. According to him, the reduction in vineyard acreage requires additional attention from the government and the industry, as it is impossible to ensure the stable growth of winemaking without preserving and developing the raw material base.
Interest from retailers and the HoReCa sector in local producers is already becoming an important factor for the Ukrainian wine market. Olena Gordon, a representative of the “Ukraine Food Retail Alliance” (UFRA)—which includes leading Ukrainian food retail chains such as ATB-Market, Silpo, VARUS, NOVUS, and KOLO—noted that local producers can enter retail chains provided they meet standards and are ready to scale up production.
This factor is particularly important for craft wineries, which are already creating a strong local product and have their own history, but face the chains’ requirements regarding supply stability, quality, safety, documentation, and production traceability.
Representatives of the restaurant and hotel sectors, in turn, noted that Ukrainian consumers’ interest in domestic wines is already growing. There is potential for promoting Ukrainian wine both domestically and abroad; however, strengthening the industry’s position requires systematic promotion—participation in international exhibitions, professional presentations, tastings, and “blind tastings,” which allow for an objective demonstration of product quality.
Wine tourism is already emerging as a distinct promotional tool. Festivals, tastings, and the development of wine routes help forge an emotional connection between producers and consumers, introduce Ukrainian wine to a wider audience, and create additional opportunities for the development of rural areas.
According to the participants, craft winemaking requires a distinct approach to regulation and development, as it cannot be evaluated using the same criteria as mass industrial production. For the sector to grow, it is important to foster a culture of Ukrainian wine consumption, support local producers, and develop the domestic market, which can serve as a foundation for future exports.
Mykola Patyka, Vice President of the National Academy of Agrarian Sciences of Ukraine, highlighted the role of science in preserving and developing the genetic potential of Ukrainian grape varieties. Scientific support, breeding, research into the adaptability of varieties, and work with genetic resources are essential for ensuring that local varieties become not only part of the country’s heritage but also a competitive product in the modern market.
The development of local grape varieties is already laying the groundwork for the emergence of new regional brands and geographical indications, the revitalization of rural areas, and increased recognition of Ukrainian products in international markets. For the industry, this means a shift from the general idea of promoting Ukrainian wine to a more specific model—one with its own varieties, origin, history, quality standards, and distribution channels.
The “UKRSADVINPROM” General Association is an industry association operating in the fields of horticulture, viticulture, and winemaking. The organization brings together market participants, takes part in industry discussions, promotes the interests of Ukrainian producers, and supports the development of high-value-added products. In 2026, the Association celebrated its 10th anniversary.
GRAPES, local variety, UKRSADVINPROM, WINE, WINEMAKING, ПЕЧКО
Updated rules for producers of grapes and wine products have been in force in Ukraine since January 1, 2026, they are approved by the law “On grapes, wine and wine products” (#3928-ІХ), adopted by the Verkhovna Rada on August 22, 2024. The law introduces updated rules for producers of grapes and wine products, establishes modern requirements for the cultivation of grapes, production, labeling and circulation of wine, and brings the Ukrainian system closer to European standards.
One of the key elements of the document is the protection of geographical indications – classification according to the European model, according to which a clear division of wines by origin into wines with protected appellation of origin (PAO) and wines with protected geographical indication (PGI) is introduced. Clear rules have been established for the official recognition and protection of geographical indications, allowing producers to secure regional brands and guarantee consumers authentic quality.
An important tool for streamlining the industry will be the creation of the Viticulture and Wine Registry: the state is introducing a unified information system where all grape plots, grape production and viticulture products will be registered. This will guarantee full traceability of the product from the vine to the store shelf.
In addition, the said law provides for simplification of conditions for small winemakers, which will stimulate the development of the craft segment and gastrotourism.
At the same time, Ukraine introduces strict requirements to the label: the information that must be available to the consumer is clearly regulated, which prevents falsification of wines.
The law updates the terms and classification of wine products, establishes quality standards and labeling requirements. It defines the procedure for state control and general principles of development of the winegrowing and winemaking industry.
The Verkhovna Rada of Ukraine has adopted in the second reading a draft law on support for the development of viticulture and winemaking, said Acting Minister of Agrarian Policy and Food Taras Vysotsky.
“I am grateful to the people’s deputies for their unanimous support for the development of viticulture and winemaking! Bill 9139 – 311 votes in favor,” he wrote on Facebook.
The draft law “On grapes and viticulture products” (No. 9139), which the government registered in the Verkhovna Rada on March 22, is aimed at implementing the relevant EU regulations on viticulture and winemaking, oenological practices, production of flavored wine products, use and protection of geographical indications of wines.
“At the same time, the purpose of the draft law is to create a unified state information system, the Viticulture and Winemaking Register, which will include information on: grape producers; wine products; vineyards; mandatory declarations and other data on wine products provided for by this law, the entry of which is mandatory, which will ensure effective administration and state support for the viticulture and winemaking industry,” the explanatory note to the document says.
The document envisages the introduction of requirements for the production and circulation of wines, viticulture and winemaking products, and flavored wine products with geographical indications similar to current rules in the EU. In particular, it is not allowed to blend wine produced in Ukraine with imported wine, as well as wines produced outside Ukraine.
The draft law provides for the possibility of state support for viticulture and winemaking within the framework of the general laws “On State Support for Agriculture” and “On Peculiarities of Insurance of Agricultural Products with State Support” without any details, except for the principles of objectivity, equality and proportionality.
The document contains the principles for conducting inspections of wine production from the vineyard to the final product, defines the controlling institutions and their powers, and specifies sanctions, according to the explanatory note.
