Data Irregularities in Wine Sector Statistics: A Benford’s Law Approach to the Portuguese Case

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Authors: Piotr Luty, Hana Bohušová
Cited by: 0
References: 29

Abstract

The wine industry plays an important role in many national economies, it combines agricultural production with cultural heritage and global trade. In Portugal, it contributes significantly to economic value, regional identity, and rural sustainability. As international wine markets become increasingly complex, the information from financial and production data is essential for regulation, policymaking, and economic analysis. Despite the growing emphasis on viticulture and market dynamics, the wine sector data anomalies have attracted only limited attention so far. This study introduces Benford’s Law – a statistical method used to detect irregularities in naturally occurring datasets. Applying first- and second-digit Benford’s Law tests to Portuguese wine industry data from 2014 to 2023, which includes company-level financial statements and wine production figures, the analysis reveals data irregularities. Nonconformity between empirical data and theoretical expectations refers to wine must production data and profit before tax. The irregularities must be explained in a further and more detailed survey. The study offers a novel application of Benford’s Law in the wine sector.

Fields of Study & Subjects

Benford’s Law and Fraud Detection Auditing Earnings Management Governance Taxation and Compliance Studies

Publication details

Journal / source
Wine Economics and Policy
Volume
15
Issue
1
Pages
61–72
Publication date
16 February 2026
Language
EN