Italian De-alcoholised Wines: Production Ready to Surge Following Regulatory Green Light – BASSO VOLUME

BASSO VOLUME

Italian De-alcoholised Wines: Production Ready to Surge Following Regulatory Green Light

Data from the Uiv-Vinitaly Observatory highlights significant potential for “Made in Italy” NoLo references. With the resolution of recent legislative hurdles, 50% of Italian wineries are prepared to launch domestic production, targeting export markets (91%) and the retail channel. While alcohol-free sparkling wines are currently leading the charge, the industry’s focus remains on refining organoleptic quality and penetrating the traditionalist domestic market.

Tempo di lettura: 3 min

In 2025, the NoLo (No and Low alcohol) wine segment reached a total retail value exceeding €1.2 billion across Germany, the United Kingdom, and the United States—the three primary destinations for Italian wine exports—accounting for the equivalent of 160 million bottles commercialised.

The latest study by the Uiv-Vinitaly Observatory, presented at Vinitaly and focusing on references below 8% ABV, reveals that de-alcoholised Italian products are beginning to carve out a distinct space within these markets. In Germany, the segment represents 2.8% of Italian exports with €26.8 million, while in the UK it sits at 2%, valued at €46 million. The most striking performance is found in the USA, where the share reaches 18.9% (€432.4 million), a figure almost entirely linked to the success of the Stella Rosa brand. These figures remain relatively modest due to a legislative vacuum that, until last year, effectively prohibited production within Italy. Now that these regulatory barriers have been removed, the industry is eyeing the segment with renewed interest. Volume growth is expected to be aggressive, with 91% of production destined for foreign markets and a clear focus on the retail channel, which accounts for 77% of trade. Already, half of the companies surveyed intend to activate production lines on Italian soil.

The current market offering shows a slight preference for no-alcohol products (54%), with a significant surge in “wine-based beverages,” which jumped from a 3% share in 2025 to 27% today. .

Zero-alcohol: the smallest yet top-performing segment

While the zero-alcohol sub-segment remains the smallest, it is proving to be the most dynamic. Except for Germany, where Italian references have seen a slight dip, these products are performing in line with the market in the UK and significantly outperforming in the United States. According to IWSR data, 25% of global alcohol-free wine is consumed in Germany, followed by 22% in the USA and 12% in the UK. Forecasts through 2028 are bullish, with double-digit consumption growth expected in Switzerland (+18.2%), the United States (+12%), and China (+11.8%). For Italian firms, target destinations among traditional markets include North America (USA and Canada) and the DACH region (Germany, Austria, and Switzerland). Mexico, Poland, and China are emerging as the most promising new frontiers.

A further analysis by the Observatory, based on Nielsen-IQ and IWSR data, highlights a divergence in trends: alcohol-free products are gaining ground while low-alcohol references retreat. In particular, zero-alcohol sparkling wines are capturing market momentum more effectively than any other category. In the UK, the segment grew by 24% (with Italian products up 17%), while in the USA, the category rose by 15%, with Italian offerings skyrocketing by 200%.

Drivers for choosing NoLo wines

Health remains the primary driver for 48% of consumers, though “product quality” is gaining traction as a motivation for purchase (35%), along with a growing awareness of the category as a whole

“However, the issue of taste,” said the Secretary General of Unione Italiana Vini (UIV), Paolo Castelletti, “still represents a deterrent to consumption for 25% of potential customers. This share is gradually decreasing in direct proportion to the quality of productions, which can only improve, and this is where Italy will play its decisive game. De-alcoholised wine is a segment that remains open both to teetotalers—with Gen Z consumers (under 28s) in the UK and USA already preferring them to beer—and to regular wine users who, in certain situations, prefer not to consume alcohol.”

Despite this international momentum, this shift has yet to be seen in Italy, where traditional consumption remains deeply rooted. The domestic market remains a territory to be conquered: 94% of non-drinkers claim they have not purchased a no-alcohol wine in the last six months, a figure that rises to 98% among younger demographics and falls to 89% among more mature consumers.

Among motivations for consumption, driving takes the top spot (50%, rising to 56% among Gen Z). Even in the “out of home” sector, interest has not yet sparked. A survey by the Fipe-Uiv “Wine & Catering” Observatory shows that 71% of restaurants are not interested in listing de-alcoholised wines, while only 3% have already introduced them with success.

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