PARIS - Wine production worldwide is estimated at 259 million hectoliters(Mhl) in 2016, down five percent compared to that of 2015, the International Organization of Vine and Wine (OIV) announced on Thursday.

According to OIV, global wine consumption is estimated to reach between 239.7 and 246.6 Mhl.

Italy will be the world's leading wine producer, with a production volume of 48.8 Mhl. It is followed by France and Spain, respectively at 41.9 Mhl and 37.8 Mhl, OIV estimated.

As the fourth largest wine producer this year, production in the United States is estimated to reach a new record level in 2016, or 22.5 Mhl, while Australia's production is estimated at 12.5 Mhl, up five percent compared to 2015 and is relatively stable over the period from 2012 to 2015, according to OIV.

China, a major new world wine market, maintained its production level of 11.5 Mhl in 2016, securing its place as the world's sixth largest wine producer, OIV said.

In South America, the output of three main producers, Argentina, Chile and Brazil, is in net decline, said the organization, adding Argentina registered in 2016 a sharp decline with a production of 8.8 Mhl, 35 percent less than that of 2015.

At the same time, wine production in Chile this year is expected to fall down to 10.1 million hectoliters, a level very close to that of 2014 (10.5 Mhl), registering a significant decline relative to the 12.9 Mhl wine it produced in 2015. Brazil's production has fell down to 1.4 Mhl in 2016, a decrease of 50 percent compared to 2015, OIV said, explaining that the production of the three countries was affected by climatic events.

South Africa, with a production of 9.1 Mhl, saw its production level in 2016 decline by 19 percent from 2015, according to OIV.