OXNARD, California — Each Friday night, Jewish families across the globe partake in a cherished tradition: a blessing over wine, poured into a communal cup and shared around the table. This age-old practice becomes even more significant during Passover, perhaps shedding light on the surprising resilience of the kosher wine sector amid a broader downturn in the wine industry.
Wine consumption is on the decline both in the United States and worldwide. Baby boomers, once a reliable demographic for the industry, are entering a stage where their drinking habits are changing. Meanwhile, younger consumers are gravitating toward craft beers, spirits, or ready-to-drink cocktails. In California, wineries have begun to lay off staff, reduce production, and even cease operations.
Contrary to this trend, the kosher wine market is experiencing a more tempered slowdown.
Royal Wine, the leading distributor of kosher wine in the United States, usually sees annual growth rates in the double digits, according to Jay Buchsbaum, a vice president at the New Jersey-based company. “By our usual standards, this year wasn’t exceptional, but we still saw an increase, while the overall industry has faced declines of up to 12%. We’re defying the trend,” he remarked in an interview.
At Herzog Wine Cellars in Oxnard, California, this resilience is evident on the production floor. As Passover approaches, the busiest time for kosher wine, forklifts maneuver pallets through the warehouse while bottling lines operate non-stop to prepare holiday shipments.
“For us, Passover mirrors the year-end rush that other wineries see in October, November, and December,” explained Herzog’s winemaker, David Galzignato.
David Galzignato, an Italian Catholic, is director of winemaking and operations at Herzog Wine Cellars, a major kosher winery. (Asaf Elia-Shalev)
Herzog serves as the flagship American winery for Royal Wine, owned by the Herzog family, an Orthodox lineage with roots in Slovakia that has thrived in the industry for nine generations. Their operations are unusually large for kosher production, with price points ranging from affordable table wines to premium Napa Valley selections priced at up to $300, sourced from California’s finest vineyards.
Galzignato, who joined Herzog in 2021, was specifically tasked with enhancing the quality of kosher wine. “I was brought in to elevate kosher wine to match, or even surpass, the standards of non-kosher products,” he shared. However, he must adhere to strict kosher laws, which stipulate that only Shabbat-observant Jews handle the wine from the moment grape juice is extracted through to bottling. This requirement influences all aspects of staffing and workflow. “It requires additional planning,” he acknowledged.
Despite these challenges, Herzog Wine Cellars has continued to invest significantly in its facilities, with over $2 million spent on equipment upgrades and expanding production capacity, even as competitors scale back. “In downturns, companies usually retract investments, yet our commitment to producing premier kosher wine stands unwavering,” Galzignato asserted.
A view of one of the many vineyards supplying Herzog Wine Cellars, the flagship winery of Royal Wine, the largest distributor of kosher wines in the United States. (Courtesy)
This resilience isn’t restricted to industry giants like Royal. At Covenant, a boutique kosher winery in Berkeley, California, similar trends have emerged. “We’ve actually experienced a 5% increase this year,” stated Jeff Morgan, Covenant’s founding winemaker.
Covenant has played a key role in popularizing high-quality kosher wine in recent decades. Morgan attributes this stability to a deeper cultural foundation. “The current downturn reflects a reevaluation of American wine culture,” he said, emphasizing that wine hasn’t become an ingrained aspect of American life. “Our nation tends to follow trends rather than establish a lasting wine culture. In contrast, Jewish traditions deeply integrate wine—not just as a beverage, but as an obligation.”
Covenant’s founding winemaker, Jeff Morgan. (Courtesy)
This cultural obligation fosters a consistent level of demand, regardless of larger trends.
Those involved in kosher wine production observe similar patterns. “We continue to celebrate Shabbat and life cycle events as always,” noted Rabbi Nahum Rabinowitz, a senior rabbinical coordinator at the Orthodox Union who has dedicated over 20 years to wine oversight. “These traditions endure.”
Dovid Riven, who runs KosherWine.com, the largest retailer exclusively focusing on kosher wines in the U.S., anticipates matching last year’s sales this year. “While there’s some sluggishness, it pales in comparison to what’s happening in the non-kosher sector,” he mentioned. Customers might be adjusting their purchases, opting for more affordable bottles or curbing their collections. He added that many believe young consumers are substituting alcohol with cannabis.
Yet the ritualistic importance of kosher wine helps maintain demand. “No one is going to sit down for their seder and smoke four joints,” he quipped. “You need four cups of wine.”
Industry leaders suggest adapting to changing preferences by offering lighter, more approachable wines and implementing modern marketing strategies aimed at younger audiences, according to Ernie Weir, co-owner of Napa Valley’s Hagafen Cellars, established in 1979. “While the industry isn’t immune to broader trends, we must address them proactively,” he advised.
Wine grapes ripen on the vine, almost ready for harvest. (Courtesy of Herzog Wine Cellars)
The kosher wine sector has managed to avoid some of the industry’s toughest challenges, partially because its consumer base is still adapting to trends that have influenced the broader market for years. For a long time, kosher wine in the U.S. was often associated with sweet, lower-quality options, even as general consumer preferences shifted toward drier, more upscale varieties.
Buchsbaum contended that the kosher wine industry may have been sheltered from some market downturns partly because its consumers have historically been slower to adapt. “In the past, an Orthodox or kosher-observant individual would only drink a bottle at the table during Friday dinner. Now, it’s common for them to have multiple bottles on the table and enjoy wine during the week.”
Simultaneously, the less observant American Jew demographic has diminished; these individuals often bought kosher wine during special occasions without adhering strictly to kosher laws. Buchsbaum lamented a bygone era where every Jewish community had kosher butchers and caterers, as even non-observant families sought kosher options for milestones like bar mitzvahs and weddings. That landscape has significantly shrunk.
The outcome is a smaller but more dedicated market, with engaged consumers who are willing to spend more per household, despite a decline in casual buyers. “Today’s kosher consumer has picked up much of the slack,” Buchsbaum explained.
This shift in buyer demographics mirrors broader trends in American Jewish life. As assimilation and disaffiliation reshape the community, observant populations are playing a greater role.
Left to right: Mordy, David, Morris, and Joseph Herzog. (Courtesy)
Another positive trend generating enthusiasm within the industry is the increasing interest in kosher wine from outside the Jewish community. A prime example is Royal’s Bartenura label, which stands as the best-selling premium Moscato in the United States, with nearly 10 million bottles sold annually. Interestingly, only about 15% of Bartenura purchases come from Jewish customers, as the blue-bottled wine has gained traction among Black consumers.
Buchsbaum also noted a rising number of Christian Zionists drawn to Israeli wines for both religious and cultural reasons. In places like Texas, this group has become an influential and growing segment of the kosher wine market.
Royal partners with Total Wine, one of the largest wine retailers in the country, which has expanded its selection of Israeli wines and actively markets them to a predominantly non-Jewish clientele. “Their stores feature a substantial Israeli wine section, complete with maps of Israel’s wine regions and tasting events aimed at familiarizing new customers with the offerings,” Buchsbaum remarked.
Furthermore, Israeli winemakers are receiving international accolades, earning high ratings and competing alongside established wine regions in Europe and California. Such recognition is shifting perceptions of kosher wine from mere religious products to high-quality options.
“With over 5,000 years of winemaking history, it’s only recently that their excellence has come to light,” stated Josh Greenstein, executive vice president of the Israeli Wine Producers Association.
