Off-trade

Freixenet furloughs 80% of employees in Catalonia

The Cava producer cites a 45% drop in yields and introduces a new wine range due to grape scarcity

To adapt to the challenging market conditions, the company plans to introduce a new sparkling wine range made from Spanish grapes (Photo by Joonas kääriäinen via Pexels)

Freixenet announced this week that it will furlough at least 615 employees starting in May due to a significant drop in sparkling wine yields, down by more than 45%. 

To adapt to the challenging market conditions, the company plans to introduce a new sparkling wine range made from Spanish grapes. However, this range will not qualify as Cava due to potential non-compliance with the DO’s strict requirements, according to the Drinks Business.

The company, Freixenet said: “The furlough, caused by force majeure, is an exceptional measure that has been taken in the current context of a crisis that had been brought about by a lack of raw materials because of the harsh drought that has affected the sector since 2021 – and which hit the El Penedès area particularly hard in 2023.”

Vanessa Lehmann, head of communications, Freixenet, said: “The new range is a Cuvée de España using varieties such as Macabeo – one of the grape varieties that characterise Cava – and Chardonnay.

“With this grape scarcity the industry faces a gap of 80 million bottles just in 2024 and it is impossible to meet the global customer demand that is rising steadily.”


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