The Spanish food manufacturing sector is grappling with challenges in 2023. Unfavorable weather conditions have led to supply constraints, coupled with a surge in food prices impacting consumer demand. While Spain’s food and drinks industry is less cyclical than some sectors, it is not immune to economic slowdown and inflation. Extreme weather has significantly impacted the country’s food processing sector, which experienced a 2.5% decline in production levels up to the middle of summer. This reduction is attributed to weakened domestic and international demand, highlighting the sector's vulnerability. Consumer behavior reflects these challenges. Food and beverage retail sales volumes experienced a 1.7% decrease in 2022 and continued to face pressure in the first quarter of 2023, as reported by the national statistics agency INE. However, Spain differs from some EU counterparts with food retail sales volumes showing improvement, partially due to a robust influx of tourists. The Spanish Federation of Food and Beverage Industries (FIAB) has issued warnings about the impact of drought on agriculture, livestock and subsequently, the food processing industry. Water scarcity, intensified by lack of rainfall and high temperatures, poses a significant threat. The FIAB emphasized the importance of water in food and beverage processes and urged the development of plans for basin interconnections, transfers and investments in water storage and irrigation infrastructure. Adapting to climate change, the industry advocates for the use of non-conventional water resources such as reuse and desalination. These measures are crucial for water security and mitigating the effects of climate change. Specifically, Catalonia's Penedes cava-producing region faces the harsh reality of drought with vineyards suffering. The region's dry start in 2023, the driest since records began in 1961, underscores the severity of the water crisis. The intersection of weather-related issues, economic factors and sustainability concerns necessitates strategic planning and adaptation to ensure the sector's continued success.