PORT WINE DYNAMICS: PRODUCTION, TRADE AND MARKET STRUCTURE

In the last decades the world has seen some acceleration in the process of internationalization, affecting virtually all industries. The wine sector is no exception, witnessing increased exports and imports and a movement of mergers and acquisitions. Among European wines, Port Wine can be seen as a representative case of integration in international markets, with about 90% of its production to be exported. After the World War II, although the Port Wine activity has been subjected to cycles there has been a trend towards a continued increase in production and exports, stabilization of real market prices and a slight increase in the real prices paid to grape growers, leading to positive economic effects for Port Wine firms and grape growers.