(Reuters) - Italian wine quality is expected to improve as volume falls slightly this year after farmers dug up vines, encouraged by incentives from the European Union, research showed. Italy's wine output is expected to fall 1 percent to just above 4.5 billion litres, farmers' research centre ISMEA said in a statement after its joint research with wine industry body Unione Italiana Vini (UIV). The quality is expected to be good but a lot will depend on the final 20-25 days of harvesting which has just started in Italy, the research said, adding the harvesting got back to normal timing after hot weather spurred it in 2009.