Temecula Valley wine $78M annual industry

The Temecula Valley American Viticultural Area (AVA) has an annual economic impact of $78 million to the regional economy, and supports 4,800 jobs, according to Visit Temecula Valley (VTV)

The group this week released results of its 2016 Temecula Valley Southern California Wine Country economic impact study.

Led by Dean Runyan Associates, a research services firm emphasizing travel and economic development, with input from Riverside Agriculture, the study tracks data pertaining to case production, revenue, employment and visitation gathered from 36 winery members of the Temecula Valley Winegrowers Association (TVWA).

A sampling of wineries in the Temecula Valley AVA shows the region produced over 500,000 cases in 2016, yielding $65.3 million in annual revenue, up 6.2 percent from the previous year.

While only 11 percent of Temecula Valley wineries are currently in distribution outside of the winery, the region supported more than 1.7 million winery visits last year. Riverside Agriculture reported 2,460 harvested acres in 2016, yielding 8,000 tons and $12.4 million in grape sales

Temecula Valley wineries/Courtesy

 The majority of growers farming Temecula Valley vineyards sell their wine grapes to Temecula Valley wineries.

“As Temecula Valley Wine Country approaches its 50th anniversary, the new wine country impact report shows the vibrancy of our region as a true destination for quality wines, restaurants, lodging, and employment,” said TVWA Board President Danny Martin.

Seventy-five percent of Temecula Valley wineries reported annual revenue of $1 million or more in 2016, with 35.7 percent  reporting revenue above $3.5 million. Winery production varies in the region, with nearly 60 percent of Temecula Valley’s wineries reporting they produce fewer than 10,000 cases annually. Visitation to the region is robust, with roughly half of the wineries reporting over 50,000 winery visits annually, and nearly 20 percent reporting visitation over 100,000.

Visitation is predominantly categorized as “paid wine tastings” and “other visitors,” which includes wine club tastings and events. The region also supported nearly 500,000 restaurant patrons and 32,000 overnight stays in wine country in 2016. Dining and lodging in wine country are unique features to the Temecula Valley, and key pillars of the region’s tourism.

“Temecula Valley is ideally situated within close proximity to all of Southern California’s major cities and airports, and offers several easily navigated trails of contiguous vineyards and wineries,” said VTV President and CEO Kimberly Adams. “This, combined with a Mediterranean climate and the laid back spirit of Southern California, makes Temecula Valley the ultimate destination for wine-related travel.”

The full report, which can be viewed HERE, will guide and support comprehensive marketing and tourism planning efforts by Visit Temecula Valley and the Temecula Valley Winegrowers Association.

ABOUT TEMECULA VALLEY WINE COUNTRY

Located within a 60-minute drive from San Diego, Orange County, and Palm Springs, and within 90 minutes of Los Angeles, Temecula Valley is widely recognized as Temecula Valley Southern California Wine Country. The popular wine destination is southern California’s largest wine producing region by volume.