The withering enthusiasm toward wine among young consumers just got more apparent.

Washington’s Ste. Michelle Wine Estates recently announced its decision to reduce grape purchases by over 40 percent over the next five years, as well as its plan to relocate the production facility for the brand’s 14 Hands Winery. Chateau Ste. Michelle, well known for its decent wines typically in the $10–$15 range, is a popular choice among young drinkers looking for inexpensive offerings.

The move to scale back production was kickstarted not only due to rising costs of, well, everything, but also declining interest in cheaper budget wine brands in a world where RTDs and hard seltzers can offer the same for less.

On this episode of the “VinePair Podcast,” Joanna and Zach discuss what this news might mean for Washington’s wine industry as well as the broader landscape of inexpensive wine that makes up a sizable percentage of Ste. Michelle’s portfolio. Inflation aside, will we start to see fewer and fewer affordable bottles in wine shops sooner than we expected? Tune in for more.

Zach is drinking: Chambers Bay Distillery “Rán” Vodka

Joanna is drinking: Domaine du Pelican Arbois Rouge

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