Algarve loses the stigma of bad wine and wins awards, but production challenges persist

Consumer can pay another 30% for national wine

Algarve wine has freed itself from the stigma of poor quality and is increasingly successful, with the number of producers growing annually, but it is necessary to reach scale to launch into exports, said sector officials.

“20 years ago no one would have imagined the qualitative leap that the region would take. We went from a discredited image, associated with poor quality wines, to a region [vitivinícola] which, despite being the second smallest in the country, has shown great success”, summarizes Pedro Valadas Monteiro.

The vice-president of the Algarve Regional Coordination and Development Commission () recalls that the limited amount of production continues to be an obstacle to “reaching certain channels, such as export, which requires scale”, even more so when the neighboring Alentejo region has a huge wine production.

“In tourism, there are business models with purchasing centers in other areas of the country, which handle large volumes and undifferentiated products”, he says, highlighting that, despite being the second smallest region in terms of production, the Algarve has “been freeing itself from its old bad image”.

According to Sara Silva, president of the Algarve Wine Commission (CVA), the growth in the number of producers has been large: in 2017 there were around 30 producers, currently the Algarve has 60, with average areas of four hectares of vineyards, although there are larger producers.

“There is a huge focus on quality. We may have a greater production potential, but the region’s positioning is that of ‘premium’ wines. This implies selection in the productive part and the choice of vineyards, which naturally reduces productivity”, he acknowledges, stressing that since 2017 between four and five new producers have emerged per year.

According to Sara Silva, in addition to producers expanding their vineyard areas, new investors have emerged, some in less traditional areas, such as Vilamoura, areas bordering Aljezur or even in Vila do Bispo, on the west coast of the Faro district.

However, we must not forget that production depends on nature and that wine is not a standardized product: “There are years that are more productive and others that are less. In 2024 we reached a record of two million liters. This year it will be lower, around 15% less”, he said.

“The important thing is that the 60 producers are active, have vineyards producing and put wine on the market. 15 years ago the reality was different: we could have 25 producers, but some of them did not have active wines on the market. Today the numbers reflect real production and effective dynamics of the sector”, noted the president of CVA.

The mayor of Lagoa, where the first cooperative of wine producers in the Algarve was created in the 1940s, also highlights the “excellent quality” of Algarve wines, noting that they have been very well positioned in oenological competitions in Portugal and Europe.

“I have attended blind tastings where they are very well positioned, winning silver and gold medals. When you taste wine blindly, the stigma disappears. Our wines have quality and are well placed among the best in Portugal”, says Luís Encarnação.

According to the mayor, if a few years ago it was very difficult to find Algarve wines on the menus of restaurants and hotels in the region, today this scenario has changed and even in large supermarkets it is easy to find references from the region, with there even being specific spaces dedicated to Algarve wines.

This work between sector entities in the region has led to combining wine tasting with gastronomy and tourism, an example of which is the “Between dishes and wines” event, the third edition of which runs until the end of the month in around 20 participating establishments.

The event, organized by CVA and which, for the second year, includes the “Stay” section, which promotes accommodation with experiences associated with wine, contributes to boosting restaurants and hotels in the low season, presenting exclusive pairing menus between dishes and certified wines from the region.

The Algarve Wine Commission is the entity responsible for certifying and promoting wines with the geographical indication “Algarve” and the designations of origin Lagos, Portimão, Lagoa and Tavira.

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