Chile is moving to allow the production of low-alcohol wines, opening a new category for an industry that has been under pressure to adapt to changing drinking habits and the rise of so-called no- and low-alcohol products.
The change comes through a decree that modifies the regulations under the country’s alcohol law and creates a category for wines with lower alcohol content. According to official statements cited by local and sector media, the measure would allow wines with an alcohol level starting at 8.5% to be produced under authorized winemaking practices. Traditional Chilean wine would still be required to meet the current minimum alcohol level of 11.5%.
The decree has not yet taken effect. It is still under review by Chile’s state audit authority before it can be enacted. If approved, the measure would mark a formal entry by Chile into a segment that has expanded in many wine-producing countries as consumers increasingly look for lighter products or reduce alcohol intake altogether.
Chile’s Agriculture Ministry presented the move as a response to a broader international shift in demand. In a public statement, the ministry said the change answers a global trend toward the consumption of wines with lower alcohol content and creates new opportunities for the domestic industry. It said the measure is intended to strengthen competitiveness and add value to Chile’s wine sector, which the government described as internationally recognized for quality.
Agriculture Minister Jaime Campos said the government had issued a decree modifying the alcohol law regulations, a step that would now allow Chile to produce low-alcohol wines within the category of special wines. His remarks signaled an effort by the government to align wine rules with a market that is changing faster than many traditional regulations.
The move is notable because Chile holds a major place in the global wine trade. It is widely regarded as the fourth-largest wine exporter in the world and the largest in South America. For a country with such a strong export profile, any regulatory shift tied to consumer trends carries implications beyond the domestic market. Producers are facing buyers in many countries who are asking for more options, including wines with reduced alcohol, products aimed at moderation, and beverages designed for occasions where full-strength wine may be less appealing.
Low- and no-alcohol products still represent a small share of the wider wine business, but they are one of the most closely watched growth areas in the drinks industry. Their expansion has been driven by several forces at once: health concerns, moderation among younger consumers, tighter drinking rules in some settings, and a broader premiumization strategy in which producers try to offer more styles and formats. In wine, that shift has been more complex than in beer or spirits because alcohol is deeply tied to structure, aroma, texture, and stability. That has made regulation and production methods especially important.
Chile’s planned rule change does not lower the standard for what counts as conventional wine in the country. That point appears central to the government’s approach. By keeping the 11.5% minimum for traditional Chilean wine and creating a separate category for products beginning at 8.5%, the authorities are drawing a clear line between established wine definitions and new products designed for a different market segment. That may help limit concerns among producers who want to protect the identity and reputation of Chile’s main wine categories while still giving companies room to innovate.
For wineries, the measure could create a legal framework for investment in new production methods and new labels aimed at export and domestic retail. Many producers in major wine countries have already tested technologies and vineyard strategies to reduce alcohol while preserving flavor, and the absence of a clear category can slow commercialization even when technical solutions exist. Chilean producers, if the decree is approved, would be better positioned to market lower-alcohol wines under rules specifically written for that purpose.
The change also reflects a wider policy question facing wine-producing nations: how to respond to declining or shifting consumption without weakening long-standing product standards. Governments and industry groups have been trying to balance tradition with flexibility, especially as wine competes with other beverages for younger and more health-conscious consumers. Chile’s answer, at least for now, is not to rewrite the definition of its regular wine, but to carve out a new space for a separate product class.
The final step is administrative. Until the decree clears official review and is published in force, producers will be waiting for the legal framework to become operational. If that happens, Chile will join the growing list of producing countries that have adjusted their rules to accommodate lower-alcohol wine, a category that remains small but is gaining commercial importance across international markets.
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